Xing Lei, Founder of AutoXing and the Former Chief Editor of ChinaAutoReview speaks to CGTN Europe about company's ambition to conquer the global EV market.
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00:00 Currently, the EV business of Xiaomi is still relatively small.
00:06 If we look at the revenue potential from those 120,000 sales, let's just take 100,000,
00:16 which is their official target for this year. It's about 25 billion MNB, which is going to be
00:25 slightly less than 10% of their total revenues expected for this year. So it's still small.
00:32 But the other number I wanted to point out was Leijuan is earmarking $10 billion
00:39 over the 10 years on the EV business. So you have kind of an idea of how big it would be.
00:49 And what should we make of the company's pivot, the timing of the company's pivot to EVs?
00:55 It's definitely coming at an interesting point in time, given the current price war and the
01:04 geopolitical sentiment around the world on EVs. But I think Xiaomi has definitely injected
01:13 vitality into the current environment, given that in less than one year,
01:20 they're going to be trying to sell 120,000 units. That's unprecedented.
01:25 And when it comes to the global beauty contest of the EV market,
01:31 where does Xiaomi find itself, do you think?
01:34 Well, it's definitely one of the new kids on the block, but the ambitions is huge. I mean,
01:41 the expectations, what they're trying to achieve has exceeded every expectation possible. My own
01:50 expectations was 40,000 to 70,000 units for this year would be a success. But it looks like they're
01:58 going to double that based on what you just mentioned, 120,000 units.
02:05 Many commentators used to say that Tesla was seen as all conquering. Some say it's now
02:11 misfiring somewhat. So what is your outlook for Xiaomi's plan to conquer the EV world?
02:18 Well, I guess now if we look at the landscape in China, at least BYD is number one,
02:27 Tesla is number two, and there's yet a clear number three emerging in terms of the scale
02:35 and the sales comparable to BYD or Tesla. But it looks like Xiaomi, given their current momentum,
02:44 120,000 this year, given their later products, the SUV coming, I wouldn't be surprised
02:55 if that number doubles in 2025, the 120,000 units. So they could very well quickly emerge
03:04 as the number three player in China.
03:08 Shinglei, good to see you. Thanks so much for coming on the program. All the best.
03:11 Thank you for having me.