Chinese smartphone maker Xiaomi unveiled its first electric vehicle on Thursday, announcing that the company aims to become one of the world’s top five automakers.
The sedan, dubbed SU7, is a long-awaited model that should make full use of the operating system that the company shares with its popular phones.
But the car makes its debut at a time when the world’s largest car market is struggling with excess capacity and falling demand, leading to a fierce price war.
That didn’t stop Xiaomi CEO Lei Jun from outlining grand ambitions, including building “a dream car comparable to Porsche and Tesla.”
“By working hard over the next 15 to 20 years, we will become one of the world’s top five automakers and strive to elevate China’s auto industry as a whole,” Lei said at the event.
Like several other tech companies, Xiaomi is trying to diversify its business and focus on electric vehicles, a plan that was announced back in 2021.
The company has pledged to invest $10 billion (around Rs 83,171 crore) in autos over the next decade and is one of the few new players in the Chinese electric vehicle market as authorities are reluctant to contribute to the surplus supply.
At the launch event in Beijing, Lei said that Xiaomi cars’ autonomous driving capabilities will be at the forefront of the industry.
The Xiaomi-branded cars are produced by a unit of state-owned automaker BAIC Group at a plant in Beijing. The annual capacity is 200,000 vehicles.
© Thomson Reuters 2023
