01

Xiaomi Motors sales rise against the trend in the first week of July

Yesterday, the list of domestic new forces in the automotive industry for the first week of July was released. Lixiang, AITO, and NIO have maintained the top three positions for three consecutive weeks. However, sales have declined significantly. In the first week of July, except for Xiaomi, all other brands on the list in the Chinese market saw a decline in weekly sales compared to the previous week, with some brands dropping by more than 40%.

From the sales figures of new force brands in the past month, Lixiang Motor has exceeded 10,000 units for four consecutive weeks, ranking first in sales among new force brands in the Chinese market for 11 consecutive weeks. However, in the first week of July, it dropped by 5,000 units compared to the last week of June. AITO is also catching up closely, trailing Lixiang by just 100 units in the first week of July, raising the possibility that AITO could end Lixiang's 12-week streak in the second week of July.

NIO, ZEEKR, and Leapmotor continue to compete fiercely, but NIO has maintained a top-three position for three consecutive weeks. With weekly sales exceeding 5,000 units, the monthly sales target of 20,000 units is highly achievable.

However, it is worth noting that Xiaomi Motors is the only brand among the new forces on the list that saw an increase in sales in July.

02

Xiaomi Motors sales reach new highs, production capacity accelerates, and deliveries speed up

Compared to the large number of orders placed after the launch, Xiaomi Motors' sales showed a cooling trend in April-May and mid-June. During this period, when sales declined, the brand frequently appeared on trending topics on various platforms, attracting widespread attention.

Let's first look at Xiaomi Motors' delivery situation since April. April: 7,058 units

May: 8,646 units

June: 11,561 units

Cumulative deliveries as of June: 27,265 units

First week of July: 3,700 units

Cumulative deliveries as of July 7: 30,965 units.

At the Future Mobility Pioneer Conference during the 2024 Greater Bay Area Auto Show, Lei Jun set a target in his speech: to fully expand production capacity and accelerate deliveries. Xiaomi Motors aims to deliver 100,000 vehicles this year, with a sprint goal of 120,000.

Based on the above data, it is evident that the core issue with Xiaomi Motors' sales lies in production capacity. Public information shows that Xiaomi Motors has accumulated over 100,000 locked orders, but the actual sales volume achieved depends entirely on the factory's production capabilities.

Xiaomi Motors announced a new round of delivery acceleration plans in early June. The Xiaomi Motors factory officially began operating in a double-shift mode to ensure that over 10,000 vehicles were delivered in June. According to the data, the delivery acceleration plan was successfully implemented.

To achieve Xiaomi Motors' goal of delivering 120,000 vehicles this year, it means that in the remaining six months, the company needs to complete the delivery of 92,735 vehicles, or an average of over 15,000 vehicles per month. Time is tight, and the Xiaomi Motors factory is sprinting to fully enhance production capacity.

In the increasingly competitive new energy vehicle market, where major brands are launching new models and technologies, Xiaomi Motors, with only one model, ranked 26th in Chinese automotive brand sales in the first week of July.

As Xiaomi Motors' delivery capabilities improve, where will it rank in the future?

03

Xiaomi Motors' second phase factory is scheduled to officially commence construction in 2024

Xiaomi Motors' factory is located in Beijing Economic-Technological Development Area. According to the plan, the factory will be built in two phases. The first phase covers an area of approximately 720,000 square meters with an annual production capacity of 150,000 vehicles and was completed in June 2023.

According to a report by Cailian Press in May, the second phase of the Xiaomi Motors factory is also progressing as scheduled. Located in Fangxindian Village and Xiaozhangwan Village in Yizhuang New City, this area has entered the demolition stage, with the landmark archway of "Fangxindian" already removed. The second phase of the Xiaomi Motors factory is scheduled to commence construction in 2024 and be completed in 2025, with an annual production capacity of 150,000 vehicles. The cumulative annual production target for both phases is 300,000 vehicles.

04

Three models in three years? Xiaomi Motors sparks heated debate again

It is understood that Xiaomi Motors' third model will be an extended-range SUV. Following Xiaomi Motors' release schedule, it plans to launch three models in three years: the first, a pure electric sedan, was released in March this year; the second, a pure electric SUV, will be released next year; and the third, currently rumored to be an extended-range SUV, is set for release in 2026.

The third extended-range SUV model, which targets the household market, will be launched in 2026. For this model, Xiaomi is exploring a new business model where automotive-grade components that do not involve functional safety can be replaced with consumer electronics-grade hardware. Unlike traditional automakers, Xiaomi will not pre-install these components but instead deliver bare vehicles and allow users to customize and assemble their own cars.

Will Xiaomi Motors' new business model advance as scheduled? We learned that Xiaomi Motors stated that the company will not consider entering the 150,000 yuan market segment in the short term due to difficulties in competing with BYD in terms of brand influence, product lineup, and cost pricing.

Although Xiaomi Motors' pricing strategy and market positioning differ from other models, the market can expect the price of vehicles to gradually decrease as technology advances and iterations continue.

What will be the pricing of Xiaomi Motors' second and third models?

Let's wait and see what innovations and breakthroughs Xiaomi Motors can bring to the new energy vehicle sector.