Xiaomi is expanding its second electric vehicle (EV) factory in Beijing, adding an adjacent 52-hectare plot to its existing 53-hectare facility in the Yizhuang district, Bloomberg reported, citing a person familiar with the matter. The move comes as the company ramps up production to meet rising demand for its EV lineup.
The expansion follows Xiaomi’s decision to increase its 2025 vehicle delivery target to 350,000 units, up from the previous goal of 300,000.
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The company, which launched its first electric sedan, the SU7, in March 2024, has seen strong market demand, with over 248,000 locked-in orders and 136,854 units delivered last year.
Customers ordering the SU7 now face a wait time of at least 30 weeks, reflecting sustained interest in the model.
Xiaomi’s EV plant, currently in its first phase, has an annual production capacity of 150,000 units. Construction of the second phase began last year following the company’s acquisition of land for RMB 842 million ($116 million).
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With the latest expansion, speculation has grown that Xiaomi may be preparing for a third phase of production.
Beyond the SU7 and its high-performance SU7 Ultra variant, Xiaomi is expected to introduce a new electric SUV, the YU7, in mid-2025. The model is anticipated to compete with Tesla’s Model Y, further expanding Xiaomi’s presence in the EV market.