Chinese smart phone maker Xiaomi launches its first EV, shares surges

Shares of Chinese smartphone maker Xiaomi are surging on the Hong Kong market after company launched its SU7 electric car.

As of press time, shares of Xiaomi have surged over 15% on the announcement of the SU7 which Xiaomi priced at about $4,000 less than Tesla’s Model 3. Xiaomi also claimed the new car would have a longer driving range.

Xiaomi also claimed to have received orders for more than 50,000 cars in the 27 minutes since sales started at 10 p.m. Beijing time Thursday. As of Tuesday morning, Xiaomi’s online store showed wait times of at least 5 months for a basic version of the SU7.

The Chinese EV market has been heating up madly as startups Xpeng and Nio announced car purchase subsidies Monday of 20,000 yuan ($2,800) and 10,000 yuan each, respectively.

Apart from Xpeng and Nio, Xiaomi has to contend with Li Auto, Huawei’s new energy car brand Aito, and industry giant BYD.

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