Tesla Rival Xiaomi Sets Production Records as Chinese Challenge Accelerates
Xiaomi, a Chinese EV maker, celebrated its 500,000th vehicle production milestone in just over 19 months, a record for new energy vehicle makers. Despite this, Xiaomi's shares fell over 4%. The achievement highlights Xiaomi's rapid production scaling and growing market presence, posing a challenge to U.S. rivals like Tesla. Xiaomi plans to boost production and enhance AI integration in manufacturing. In Q3, Xiaomi Auto delivered 108,796 vehicles, up from previous quarters.
Shares in Chinese EV maker Xiaomi (XIACF) dropped over 4% today despite hailing the record-breaking 500,000th vehicle rolling off its production line.
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Best-Ever Figures
According to TechNode, the company reached the figure in just over 19 months, a best-ever achievement by a global new energy vehicle maker. The development could heat up the pressure on U.S. rivals including Tesla (TSLA).
That's because industry analysts said the move marked a shift towards mass production in China's smart electric vehicle sector. In addition, it signalled Xiaomi's ability to scale up production quickly, reflecting growing consumer confidence in China and its increasing market presence.
Xiaomi founder Lei Jun posted on Weibo that while the figures might look modest for industry giants, it "represents significant progress for Xiaomi Auto, demonstrating the company's strength across R&D, manufacturing, sales, delivery, and service."
He said Xiaomi will now accelerate production numbers and focus on increasing technological innovation such as further integrating AI with smart manufacturing.
Taking on Tesla
The company's recent third-quarter earnings report revealed that Xiaomi Auto recorded 108,796 deliveries in Q3. That's up from 75,869 vehicles in Q1 and 81,302 in Q2.
