Xiaomi CEO Lei Jun has recently shared some interesting tidbits with the media, offering a more precise timeline for the tech giant’s automotive arm’s launch of its tri-motor SU7 Ultra. Additionally, the billionaire CEO spoke about Xiaomi Automobile’s willingness to lose money upfront to expand its portfolio to markets in Europe and become a top-five automaker in the world.
Becoming a top five automaker in the world is a lofty goal for an automaker that is a mere three years old, but Xiaomi Automobile has the backing of an electronics manufacturing powerhouse in Xiaomi Inc. as well as the support of its CEO Lei Jun, who has already pledged to invest $10 billion in the BEV development venture.
Xiaomi is trying to do something Apple teased but could never really get moving on – transitioning from a smartphone behemoth to a bonafide competitor in the EV market. Xiaomi Automobile’s track record is short but quite promising so far.
The Chinese automotive arm developed its flagship model, the SU7 sedan, faster than expected. The SU7 launched in late 2023 and locked in over 50,000 orders during the first 27 minutes it was on sale. The company has since had to bolster its assembly lines and production targets to keep up with demand, all while developing additional BEV models as an encore.
In July, Xiaomi announced a new 1,548hp Ultra trim of the SU7, coming in the first half of 2025. Xiaomi Automobile also already has a second bespoke model in development that will compete against the Tesla Model Y, possibly in markets around Europe and beyond.
The Xiaomi SU7 Ultra sedan / Source: Xiaomi Automobile / Wiebo
Xiaomi CEO hints at expansion plans to Europe and beyond
As pointed out by CnEVPost, Xiaomi CEO Lei Jun shared some company updates via livestream earlier today, including a clearer timeline of when customers will see the arrival of the production version of the aforementioned SU7 Ultra. Per the video, the 1,548 horsepower four-door sedan will launch in China in Q1 of 2025.
Because the BEV is so powerful, Jun said each build will leave Xiaomi’s production facility in “beginner mode. ” Drivers must complete and pass a step-by-step exam to unlock the vehicle’s full performance, to “unleash it.”
While Xiaomi initially focuses on its two variants of the SU7 in China, expansions to Europe might soon be in the cards. The automaker had the SU7 on display in Paris during the 2024 Olympic Games, where Lei Jun said it would be available globally, without sharing a specific time frame on when that might happen.
Xiaomi also recently took the SU7 Ultra to the world-famous Nürburgring track, reaching a top speed of over 350 km/h (217.5 mph). Although it only has one EV on the market, Xiaomi’s CEO has big goals for the automotive arm, previously stating a target to become one of the world’s top five automakers in 15 to 20 years. It’s possible, but it will cost a lot of money to get there, something Xiaomi executives are aware of and don’t seem phased by.
In a conversation with Bloomberg TV, Xiaomi CFO Alain Lam confirmed plans for global expansion, including Europe, but was realistic about the pending costs to get there:
We are more focused on our growth than profitability at this point. We do believe scale will bring profit in the future. Right now at this point I only have one SKU, it’s far away from what we call profitability. We need to continue to invest in this business.
Per Xiaomi’s Q2 2024 financial report, its automotive arm recorded an adjusted net loss of RMB 1.8 billion ($252 million) and delivered 27,307 SU7 BEVs in China. Those delivery numbers should grow in the second half of the year as Xiaomi has completed its assembly line expansion and has twice increased its production targets for the year, which now sits at 120,000 units.
Before Xiaomi becomes a top automaker in Europe and beyond, its immediate focus will remain on China, as it should. Lam again spoke:
We do have the global expansion in mind, although right now we are trying to fulfill all the demand from customers in China.
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Now, we have the delivery numbers for Tesla in all European countries, and the automaker is down 37% on the old continent compared to 2024, which was already a down year for Tesla.
On top of it, Tesla is down in every single country except the UK.
Here are Tesla’s Q1 2025 deliveries in each European country compared to Q1 2024:
Country
Q1 2024
Q1 2025
Change
Germany
13,068
4,935
-62.2%
UK
11,768
12,474
6.0%
France
11,360
6,696
-41.1%
Belgium
7,219
3,019
-58.2%
Netherlands
6,854
3,445
-49.7%
Norway
5,121
3,817
-25.5%
Other
4,420
3,301
-25.3%
Sweden
4,312
1,929
-55.3%
Italy
3,721
3,469
-6.8%
Spain
3,601
3,169
-12.0%
Denmark
3,558
1,549
-56.5%
Switzerland
3,264
1,238
-62.1%
Portugal
2,888
2,145
-25.7%
Austria
2,506
1,304
-48.0%
Poland
1,264
899
-28.9%
Finland
894
475
-46.9%
The drop in sales in Germany was the most devastating for Tesla. It went from being Tesla’s biggest European market to being a distant third.
France also saw a significant 41% decline in sales.
This is also happening while electric vehicle sales are surging, regardless of Tesla’s performance.
Tesla is feeling the pain virtually everywhere in Europe except in the UK, but that’s because Tesla is selling its vehicles for much cheaper there.
In the UK, the Model Y PCP leasing starts at £399, which is the equivalent of €462, when the same vehicle starts €570 in Germany:
Interestingly, that’s not the case for the Model 3, which starts higher in the UK than in Germany.
Electrek’s Take
The reason for that is unclear to me. I’d love to hear theories in the comment section.
Could it be that Tesla planned to produce too many right-hand-drive vehicles and had to lower prices to ensure that it could deliver them?
It’s unclear, but I think the theory has some traction since I just learned that Tesla is also already discounting the new Model Y in Hong Kong – another right-hand-drive market.
Either way, I think it’s clear at this point that Tesla is having significant brand issues in Europe, in addition to increased competition.
Yes, Model Y had some supply issues due to the design changeover, but Model 3 sales are also down 11% compared to Q1 2024, when Tesla was still ramping up production of the Model 3 design refresh.
Tesla shareholders need to wake up. This is a self-inflicted wound that can be remedied by removing Elon Musk.
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That Kia EV sedan we’ve been waiting for is almost here. Kia also confirmed it will launch a midsize pickup in North America. Next week, three new Kia vehicles, including the EV4, its first electric sedan, will debut at the New York International Auto Show. Here’s what to expect.
Kia’s first electric sedan will debut at the NY Auto Show
Back in 2023, the EV4 stole the show as a concept during Kia’s first EV Day. Earlier this year, Kia unveiled the production model, debuting as the brand’s first electric sedan and hatchback.
The electric sedan is among the most highly anticipated EV launches of 2025. Kia’s EV4 will arrive this year as part of its low-cost EV lineup, and it could be a true challenger to the Tesla Model 3.
After opening orders in Korea last month, Kia said the EV4 will “set a new standard for electric sedans,” starting at just 41.92 million won, or about $28,000. It has two battery options, 58.3 kWh or 81.4 kWh, providing a range of 237 miles (382 km) and 331 miles (533 km) in Korea.
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With its North American debut now officially set for next week, Kia teased the new EV, claiming it will be one of three new vehicles.
The new vehicles include a sedan, an SUV, and “something in between.” Two will be fully electric, while the other offers a “sporty and versatile approach in the compact car segment.”
Kia EV4 electric sedan teaser for North America (Source: Kia)
More EVs are on the way, including an electric pickup
During its CEO Investor Day on Wednesday, Kia confirmed plans to launch a new midsize EV pickup for North America. In the long-term, the company aims to eventually sell 90,000 units for about 7% of the market share.
Kia’s electric pickup will be based on a new EV platform built for city and outdoor use. According to Kia, it will offer “best-in-class interior and cargo space, a robust towing system, off-road capabilities, and advanced infotainment and safety features.”
Kia Tasman pickup truck (Source: Kia)
Following the EV6 and EV9, Kia is expanding its electric car lineup with the new EV3, EV4, and EV5, which will roll out this year. Kia is also launching its first electric van, the PV5, to kick off its new PBV business.
By 2030, the company plans to sell 2.33 million electrified vehicles, accounting for 56% of global sales. This includes 1.26 million EVs and 1.07 million hybrids.
Kia unveils EV4 sedan and hatchback, PV5 electric van, and EV2 Concept at 2025 Kia EV Day (Source: Kia)
As it expands its lineup, Kia expects electrified models to account for 70% of sales in North America, 85% in Europe, and 73% in Korea by the end of the decade.
Kia boasted that it will “lead the mass adoption of EVs by expanding its EV lineup with the addition of another volume model, the EV2,” which is expected to launch in early 2026.
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An oil pumpjack is seen in a field on April 08, 2025 in Nolan, Texas.
Brandon Bell | Getty Images
U.S. crude oil futures fell about 3% on Wednesday, as China announced retaliatory tariffs on the U.S. after President Donald Trump’s sweeping levies took effect.
The U.S. benchmark dropped $1.83, or 3.07%, to $57.75 per barrel by 9:41 a.m. ET. Global benchmark Brent tumbled $1.93, or 3.07%, to $60.89.
The oil sell-off took a leg lower earlier in the session after Beijing announced tariffs of 84% on U.S. goods in response to Trump’s levies. U.S. crude fell more than 7% to an intraday low of $55.12, while Brent tumbled to $58.40 at its lowest point during the session.
China’s tariffs take effect on April 10.
Traders are worried the world is descending into a full-blown trade war that will trigger a recession, hitting crude oil demand. OPEC+, meanwhile, has agreed to accelerate output in May, which will bring more oil to a market that was already facing a surplus.
The collision of recession fears and growing oil supply is a “toxic cocktail,” Helima Croft, global head of commodity strategy at RBC Capital Markets, told CNBC on Tuesday.
The U.S. and Iran are scheduled to hold talks in Oman on Saturday to discuss the Islamic Republic’s nuclear program. Successful negotiations could result in more Iranian oil entering the global market.