Xiaomi prepares to attack the European car market

After conquering the Chinese market with the revolutionary SU7, Xiaomi is once again betting on an expansionist policy that will allow it to expand into new markets, including, in a prominent position, Europe. The Chinese company had already planned to enter the European market in its operational plan, but the huge demand generated in China, with more than 140,000 vehicles sold in the last twelve months, has been compounded by a long waiting list to purchase a new car. All of this has put a strain on the production line, absorbing all production and generating waiting lists among customers who wish to purchase the aforementioned SU7 and other future models of the brand.

Xiaomi has already announced that it is in the final phase of expanding its Beijing factory, with which it plans to increase vehicle production and reduce waiting times for its customers. The Chinese brand is already planning new models, such as the YU7, a high-performance electric SUV with a range of around 750 kilometres, which takes advantage of the mechanical and technological base of the SU7.

But the key to conquering the European market is the ability to supply, sourcing and distribute its products. And it is in this sense that we understand Xiaomi's new alliance with the state-owned logistics company China National Machinery Industry, known as Sinomach, which will provide the infrastructure and logistics support necessary for Xiaomi's electric vehicles to reach the European market.

The Chinese alternative to Tesla

The support of Xiaomi from a state-owned company like Sinomach is self-explanatory if we take into account the growth and importance of Xiaomi for the economy of the Asian giant in recent years. It is a mobile phone giant capable of taking on Apple, but it also has a thriving household appliance division that sells everything from headphones to televisions and vacuum cleaners, among others, and a new automotive division, which aims to become one of the heavyweights in the segment.

Both the SU7 and the upcoming YU7 are vehicles that aim to compete in terms of performance, autonomy, quality and technology with Tesla models, with a price that is significantly cheaper than that of its rival. The entry-level SU7 with a rear-wheel drive system, 295 hp of power and 700 kilometres of autonomy, for example, has a retail price in China of around 28,000 euros at the exchange rate. However, it is not all roses and violets: some Chinese users have complained about the final quality of the product, below the standards of the brand's sample models, as well as the impossibility of cancelling an order once the initial payment has been made.