Xiaomi‘s ambitious foray into the electric vehicle market appears to be paying off handsomely. The Chinese tech giant’s first model, the SU7 EV, is a runaway success in its home market, prompting the company to ramp up production capacity significantly.

According to reports, Xiaomi has requested its suppliers to increase production to a staggering 10,000 units per month, with a focus on higher-end variants of the SU7. The decision is said to have been made after initial sales of the EV massively exceeded expectations.

Xiaomi SU7

The original production plan reportedly aimed for 3,000 vehicles per month by March, gradually increasing to a stable 6,000 per month by the end of 2024. However, the overwhelming demand for the SU7 in China looks to have rendered this plan insufficient. If Xiaomi continued at the original pace, delivery times could become excessive.

Xiaomi Motors has publicly acknowledged the production shortfall, stating that the company is “making every effort to increase production capacity and speed up delivery.” The pressure is on, as the current delivery cycles of different SU7 models range from 19 to 32 weeks, which is up to 7 months.

Xiaomi’s EV success has also been reflected in the Hong Kong stock market, where the company’s shares surged by nearly 15% before settling at a 10.17% increase.

The SU7’s blockbuster launch saw an astonishing 88,898 units sold within the first 24 hours. Reports from a prominent Chinese car blogger on Weibo suggest an average of 1,800 to 2,000 orders per store with a lock-in rate of 35-40%.

The Xiaomi SU7’s strong start indicates a promising future for the company’s automotive venture. Whether Xiaomi can maintain this momentum and establish itself as a major player in the global EV market remains to be seen, but this early success is certainly a positive sign.

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