Xiaomi, the Chinese technology giant, is set to begin delivering its first electric vehicle (EV) this month, marking its entry into the competitive automotive industry.
The price of the car will be revealed on 28 March.
The company, which is China’s fifth-largest smartphone maker, has 59 stores in 29 cities across the country where customers can place their orders.
This move comes as a price war heats up among companies like BYD and Tesla in China, the largest car market in the world.
During the launch of the Speed Ultra 7 (SU7) last year, Xiaomi’s CEO Lei Jun expressed the company’s ambition to be among the top five car manufacturers globally.
Xiaomi has announced plans to invest $10bn (£7.8bn) in its vehicles business over the next decade.
Mr. Lei described the SU7 as having “super electric motor” technology that allows for faster acceleration than some Tesla and Porsche EVs.
Xiaomi is banking on the appeal of the car’s shared operating system with its phones and other devices to attract its existing customer base.
The SU7, produced by a unit of state-owned car manufacturer BAIC Group in Beijing, will have a production capacity of up to 200,000 vehicles annually.
Xiaomi’s entry into the electric car market in China coincides with an escalating price war.
Tesla, led by billionaire Elon Musk, has reduced the prices of its cars in China by thousands of dollars, while local competitors like BYD have also slashed their prices.
Following today’s announcement, Xiaomi’s shares surged by over 10% in Hong Kong.
