Xiaomi unveils its first EV, the SU7, setting its sights on Tesla in highly-competitive China market

Chinese smartphone and gadget giant Xiaomi has unveiled a much-anticipated electric vehicle (EV), the SU7, and a range of related technologies as it aims to take on leading domestic and foreign players such as Tesla and Porsche in a fiercely competitive market.

The SU7, revealed on Thursday, features a sleek look and a sports-car level of performance in two versions, the single motor SU7 and dual motor SU7 Max. It is powered by Xiaomi’s HyperEngine electric motor – with up to 21,000 revolutions per minute (rpm) – and batteries from China’s Contemporary Amperex Technology (CATL), offering a driving range of up to 800 kilometres.

By comparison, Tesla’s Model S Plaid and Porsche’s Taycan Turbo have motors with 20,000rpm and 16,000rpm, respectively. Xiaomi did not elaborate on pricing for the SU7 line or the precise launch date.

“Our goal is to build a vehicle that matches up to Porsche and Tesla [models], a dream car for the new era of the automobile industry,” said Lei Jun, Xiaomi’s billionaire founder and CEO at the launch event in Beijing. He added that the company will strive to become a top five global carmaker in the next 15 to 20 years.

However, Xiaomi will be joining a crowded sector. China is the world’s largest automotive and EV market with sales of battery-powered vehicles accounting for nearly 60 per cent of the world’s total. But massive research and development costs for new models, heavy spending on marketing, as well as price cuts offered to lure customers, have made it difficult for most carmakers to post a profit.

On Tuesday, Aito, an EV brand backed by smartphone rival Huawei Technologies, said it had booked 54,000 orders for its flagship sport-utility vehicle M9 since presale began on September 25, with the first batch of cars likely to be delivered in late January.