China’s Xiaomi Corp. said it anticipated delivering 130,000 electric vehicles this year, raising its forecast for the third consecutive quarter as the auto startup reported a 30.5% increase in third-quarter sales.
According to CEO Lei Jun’s social media post, the electronics maker is raising its goal from an earlier target to deliver 120,000 of its first EV, the SU7 car, as demand increases. Furthermore, this is a lot higher than the original goal of 76,000 that was established when the SU7 made its debut earlier this year.
With a startling basic model pricing of less than $30,000, $4,000 less than Tesla’s, Xiaomif made its entrance in the competitive Chinese EV market in March with the Porsche-inspired vehicle. The company also introduced the new Tab Model 3 in China.
For the largest carmaker in the world, sales of plug-in hybrids and electric cars have increased to over half of total sales in China. October saw a 56.7% increase in battery-powered vehicles, including plug-in hybrids, over gasoline-powered vehicles countrywide for the fourth consecutive month.
In order to satisfy demand, Xiaomi has been increasing manufacturing shifts since June and introducing the high-end SU7 Ultra model, which costs over $110,000. Lu Weibing, the president of Xiaomi, said during a call following the company’s profits that there was still opportunity for expansion and that the plant could currently build 20,000 cars each month.
“We are always improving our software and technology, and we continue to make large expenditures. Furthermore, regardless of the ultimate delivery level, we continue to make substantial expenditures. We are doing research and development, or R&D, for new models,” he said.
