Chinese consumer electronics giant Xiaomi has made a bold entry into the electric vehicle (EV) market with the introduction of its new electric SU7 sedan. Priced at around $30,000, the SU7 is set to compete head-to-head with Tesla in China.
Xiaomi has teamed up with Beijing Automotive Group Co. to manufacture the SU7, which is expected to rival Tesla’s Model 3. The cheapest model of the SU7 is priced at $30,000, approximately $4,000 lower than the Model 3 in China.
One key advantage of the SU7 is its impressive range of 700 kilometers on a single charge, outstripping the Model 3’s 610 kilometers. This competitive pricing and extended range have already attracted significant interest, with Xiaomi revealing that customer orders for the SU7 surpassed 50,000 in less than half an hour.
This move marks Xiaomi’s first foray into the EV market, following investments of over $1.38 billion in research and development. Despite being a newcomer, Xiaomi’s market capitalization stood at over $47 billion as of Friday, with co-founders like Lei Jun benefiting from the company’s success.
The Chinese EV market is becoming increasingly competitive, with companies like Xiaomi driving down prices to attract buyers. With Tesla’s strong presence in China, Xiaomi’s entry with the SU7 signals a new era of competition in the electric vehicle sector.
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