In Beijing, on April 1st, Xiaomi of China (1810.HK) is informing potential buyers of its SU7 electric sedan about potential delays ranging from four to seven months, indicating high demand for its debut vehicle. The company, known for smartphones and other consumer electronics, commenced taking orders on Thursday and reported 88,898 pre-orders within the initial 24 hours. Reuters’ investigations on Xiaomi’s car app suggest that deliveries for the standard SU7 model, priced at 215,900 yuan ($29,870), may require 18-21 weeks.
For the SU7 Pro model, deliveries might take 18-21 weeks, while the priciest variant, valued at 299,900 yuan, may necessitate 27-30 weeks for delivery. The SU7, which has been likened to Porsche’s Taycan and Panamera sports car models in terms of design, is introduced amidst a fierce price competition in the world’s biggest auto market, where over 40 brands compete for consumer interest.
On Monday, Aito, backed by Huawei, provided discounts of up to 20,000 yuan on its new M7 SUVs until the end of April, while Xpeng (9868.HK) also offered subsidies of up to 20,000 yuan on its flagship electric SUV G9 for a limited period.
Furthermore, Chery (CHERY.UL) declared its intention to provide tax incentives, trade-in subsidies, and cash discounts on certain top-selling gasoline-engine vehicles. Despite the tough market conditions for new entrants, analysts have pointed out that Xiaomi possesses greater financial resources compared to many electric vehicle startups. Moreover, its proficiency in smartphones gives the company an advantage in smart dashboards, a feature highly valued by Chinese consumers.
