Xiaomi, the Chinese smartphone giant (HKG: 1810, OTCMKTS: XIACY), has taken a significant step towards its goal of entering the overseas automotive market by showcasing its first experimental vehicle registered in Europe. The company’s president, William Lu, shared a photo on Weibo of the SU7 Ultra with a German license plate, marking a milestone in Xiaomi’s EV ambitions.
“I test-drove the Xiaomi SU7 Ultra in Munich, Germany today. This is our first experimental vehicle registered in Europe,” Lu wrote on Weibo, showcasing the vehicle with the license plate “M SU7088E,” where “M” likely represents Xiaomi and “SU7” the model name.
During the Mobile World Congress (MWC) 2025 event in Barcelona, Lu announced Xiaomi’s plans to start selling EVs in overseas markets by 2027. He expressed the intention to visit European countries to assess their automotive markets and evaluate the performance of Chinese automakers in those regions.
Xiaomi officially launched the SU7 electric sedan on March 28, 2024, positioning it as a competitor to Tesla’s Model 3. The company later unveiled the SU7 Ultra on February 27, 2025, with a maximum horsepower of 1,548 Ps, expanding its electric vehicle lineup.
On June 26, Xiaomi introduced the YU7 SUV, a direct competitor to Tesla’s Model Y, with deliveries commencing shortly after. However, Xiaomi is currently facing production capacity shortages in the domestic market, leading to extended delivery wait times for both the SU7 and YU7 models.
The company’s Beijing-based EV factory, with an annual production capacity of 150,000 vehicles, remains the sole operational facility. The second phase of the factory is yet to commence operations, highlighting Xiaomi’s efforts to scale up production to meet growing demand.
In preparation for its overseas expansion, Xiaomi EV is assembling a dedicated team to sell cars in international markets. The company plans to test market response by selling small batches of vehicles in different regions in the coming years, paving the way for its global expansion strategy.
With a strong focus on innovation and market penetration, Xiaomi’s foray into the automotive industry signals its commitment to establishing a prominent presence in the global EV market by 2027. As the company continues to fine-tune its strategy and expand its product lineup, Xiaomi is poised to make a significant impact on the future of electric mobility.
