[Asia Economy Reporter Jo Yoo-jin] Lei Jun, chairman of Chinese electronics company Xiaomi, said, "Xiaomi's first electric vehicle will be a sports utility vehicle (SUV) or sedan priced between 100,000 and 300,000 yuan (approximately 17 million to 51 million KRW)," South China Morning Post (SCMP) reported on the 7th.
On the same day, Chairman Lei promoted Xiaomi products during a live streaming video session on Douyin, the Chinese version of TikTok, and partially revealed the company's electric vehicle plans.
He said, "Xiaomi's first electric vehicle will not be a sports car or camper van," adding, "It will be an SUV or sedan." He also noted, "(The plan) is still in the early stages, so details are still being discussed."
He also mentioned that according to a survey Xiaomi conducted among internet users, about 45% preferred sedans, while 40% wanted SUVs.
Among the respondents, two-thirds voted for a price above 100,000 yuan, and the remaining 8% voted for a price above 300,000 yuan.
Li Lianfeng from research firm IDC said, "The price range presented by Chairman Lei is the most familiar price range for electric vehicle consumers."
According to a policy China announced last April, only cars priced below 300,000 yuan are eligible for national subsidies. Tesla Model S, priced at 800,000 yuan, and Nio EC6, priced at 368,000 yuan, are excluded from subsidies.
Li Lianfeng explained, "Most companies entering the electric vehicle market focus on either low-priced or high-priced models, but the most popular price range in the Chinese market is between 100,000 and 250,000 yuan," adding, "The sales volume in that price range is the largest."
Earlier, major foreign media outlets reported at the end of last month, citing anonymous sources, that Xiaomi would begin mass production of electric vehicles around 2023 at the assembly plant of Changcheng Automobile. Changcheng Automobile is a local Chinese automaker known for its strengths mainly in the SUV and pickup truck sectors.
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