Xiaomi EV, the car-making unit of Chinese smartphone giant Xiaomi, is reportedly gearing up to implement a double-shift production model starting next month in a bid to meet soaring delivery demands.
According to local media outlet Cailian, Xiaomi EV’s factory in Beijing is poised to transition to a double-shift production schedule in June, doubling daily production hours from 8 to 16 hours. Xiaomi founder, chairman, and CEO Lei Jun had previously stated that the factory can produce 40 Xiaomi SU7s per hour, with a new car rolling off the line every 76 seconds. With the implementation of the double-shift model, the factory’s full monthly production capacity is expected to nearly double to around 20,000 units.
In preparation for the increased production, Xiaomi EV has been actively hiring production line employees over the past month. The company had also utilized the Labor Day holiday earlier this month for equipment maintenance and renovation to boost delivery capacity, as mentioned on its Weibo account on May 13.
To support the increased production, Xiaomi EV is reportedly requesting its upstream suppliers to enhance parts supply. Orders from suppliers have seen a significant uptick, with an increase of about 80 percent overall. For one category of parts, orders have surged from around 10,000 sets per month to 18,000 sets recently.
Construction for the second phase of the Xiaomi EV factory, which is set to increase the total annual capacity to 300,000 units, is scheduled to begin in 2024 and be completed by 2025. The factory is currently located in Yizhuang, Beijing, with planned annual capacities of 150,000 units for each of its two phases.
Yesterday, Xiaomi EV announced the completion of the delivery of its 10,000th SU7 vehicle and reaffirmed its commitment to meeting its 100,000-unit delivery target for this year. The SU7, which was officially launched on March 28, offers three trims with varying starting prices, ranging from RMB 215,900 to RMB 299,900.