Xiaomi Corporation has revised its electric vehicle (EV) delivery target for 2024 to 130,000 units, reflecting a surge in demand for its debut EV, the SU7 sedan. The updated forecast, announced by CEO Lei Jun, marks the third increase this year, up from the initial goal of 76,000 units set at the car’s launch in March.
The SU7 sedan, inspired by Porsche styling, is competitively priced under $30,000—$4,000 cheaper than Tesla’s Model 3 in China, Reuters news report said.
A premium variant, the SU7 Ultra, was introduced at over $110,000 to cater to high-end customers.
EV and plug-in hybrid sales now account for more than half of all vehicle sales in China, with October sales growing 56.7 percent year-on-year.
Xiaomi’s factory, with a capacity of 20,000 cars per month, has doubled shifts since June to meet demand.
Plans are on to scale production further.
Xiaomi reported a 30.5 percent increase in Q3 revenue, totaling 92.5 billion yuan ($12.77 billion), beating analyst expectations.
The EV division posted a loss of 1.5 billion yuan, with EVs contributing 8 percent of revenue.
Analysts predict EVs will make up 20 percent of Xiaomi’s revenue by 2025, with an estimated 400,000 deliveries that year.
Xiaomi retained its position as the world’s third-largest smartphone maker, with Q3 shipments rising 3 percent to 42.8 million units.
Xiaomi aims to grow its offline retail stores in China from 13,000 to 15,000 by the end of 2024 and to 20,000 in 2025.
The company is investing heavily in R&D, focusing on autonomous driving and new EV models to strengthen its market position.
Despite operating losses in its EV business, Xiaomi is committed to aggressive investment and innovation, betting big on its transition from electronics giant to a significant player in the competitive EV market.