Xiaomi is rewriting the rules of China’s electric vehicle game—at lightning speed. With its latest E V model Y U 7 virtually sold out until 2027 and its stock price breaking records, the company has sent a clear message: it’s not just a smartphone giant anymore. This bold momentum has now made CEO Lei Jun the richest person in China, positioning Xiao mi at the forefront of a new industrial revolution.
Xiaomi Stock Hits Record High, Propelling Lei Jun to Top of China’s Rich List Amid Soaring Demand for YU7 E V
Xiaomi Group has once again taken center stage in China’s business landscape, as its stock price surged to a new all-time high of 61.45 HKD, catapulting its founder and CEO, Lei Jun, to the top of the country’s wealth rankings. This landmark achievement eclipses the company’s previous record on February 27, when Xiao mi shares briefly reached 52 HKD, momentarily making Lei Jun China’s wealthiest individual before a same-day correction reversed the gain.
The dramatic rise in Xiaomi’s stock value is widely attributed to the overwhelming market response to the company’s electric vehicle ambitions, particularly the successful launch of its latest model, the Y U 7 . Within just one hour of its release, Xiaomi reported nearly 300,000 firm orders for the Y U 7 , signaling both massive demand and growing consumer confidence in Xiao mi’s automotive strategy.
Lei Jun’s net worth, closely tied to Xiao mi’s performance on the Hong Kong Stock Exchange, soared alongside the company’s share price. When shares previously peaked at 52 HKD in February, his fortune was estimated at 440 billion yuan (approximately 68 billion USD). At the time, this valuation placed him at the top of China’s rich list, overtaking Nongfu Spring founder Zhong Shanshan, who had dominated the rankings for four consecutive years with a net worth of 50.8 billion USD, as per Forbes’ China Mainland Rich List in November 2024.
However, Lei Jun’s reign as China’s richest man was short-lived. Following a tragic and highly publicized fatal car accident involving a Xiao mi S U 7 in late March 2025, investor confidence took a hit. Xiao mi’s share price tumbled significantly in the days following the incident, and Lei Jun temporarily lost his crown. Nevertheless, the company has since rebounded strongly, powered by consumer enthusiasm for its rapidly expanding lineup of smart electric vehicles.
Market Momentum and Automotive Challenges
While the surge in Xiao mi’s valuation and Lei Jun’s wealth has captured headlines, the company’s automotive division is facing real-world growing pains. Despite the runaway success of the S U 7 and now the Y U 7 , Xiao mi is contending with serious production constraints.
Currently, Xiaomi operates a single automotive production facility located in the Yizhuang district of Beijing. This plant is responsible for manufacturing the S U 7 and its variants, including the high-performance S U 7 Ultra. Though highly automated and advanced, the plant’s maximum annual capacity is approximately 150,000 vehicles. Given Xiao mi’s revised delivery target of 350,000 E V in 2025—up from its original 300,000 goal—it is clear the Yizhuang facility alone cannot keep pace with demand.
In response to these limitations, Xiaomi began expanding its manufacturing footprint. In July 2024, the company acquired land for a second facility adjacent to the original Yizhuang plant. This second phase of its Smart Manufacturing Industrial Base completed equipment verification in April 2025. However, the company has yet to announce an official date for when production will commence.
Both the first and second factories are each designed to have an annual production capacity of 150,000 units. Combined, they would support Xiao mi’s target of producing up to 300,000 vehicles annually still slightly short of the ambitious 350,000-unit goal set for 2025. These plants are expected to produce all current E V models under the Xiao mi Auto brand, including the S U 7, S U 7 Ultra, and the Y U 7 .
As of June 2025, Xiaomi’s official website indicated a staggering 33-week waiting period for new S U 7 orders, underscoring the intensity of demand and the bottlenecks the company is facing. The situation suggests that without immediate increases in output, customers may wait months before receiving their vehicles, potentially dampening consumer enthusiasm and creating pressure to accelerate production timelines.
Third Factory in the Pipeline
Further solidifying its long-term commitment to the E V space, Xiao mi secured an additional 485,100 square meters of industrial land in June 2025. This land, situated next to its second factory, is earmarked for what would become Xiaomi’s third E V production facility. However, while the acquisition signals strategic foresight, construction on the new site has yet to begin, and production from the third plant is unlikely to commence before late 2026 at the earliest.
This lag in capacity development poses a risk to Xiaomi’s growth trajectory, particularly if demand for its vehicles continues to outstrip supply. Adding to the complexity is the fact that, despite both the S U 7 and Y U 7 being built on Xiao mi’s in-house Modena E V platform, the two vehicles share few components. Reports indicate that approximately 90% of the Y U 7 ’s components were newly developed, requiring distinct production lines and manufacturing processes. This makes it challenging for Xiao mi to quickly repurpose S U7 production lines for the YU7 or vice versa, thereby limiting manufacturing flexibility.
Xiao mi’s Rise Reflects Broader Market Trends
Xiaomi’s stock rally and surging E V orders reflect a broader trend in China’s electric vehicle market, where tech companies are increasingly gaining ground against traditional automakers. Xiaomi, in particular, has leveraged its ecosystem of smart devices, software, and A I capabilities to create vehicles that appeal to a new generation of digitally native consumers. Features like deep smartphone integration, high-performance chipsets, and advanced autonomous driving functions have set its vehicles apart in a crowded marketplace.
Investors appear bullish not only on the company’s automotive ambitions but also on its diversified revenue streams. Xiao mi continues to lead in smartphone and smart home device shipments across several key markets, and its expansion into electric mobility is seen as a natural evolution rather than a risky pivot.
As Xiao mi continues to build its E V empire, Lei Jun has reiterated his personal commitment to making Xiao mi a top-five global automaker within 15 to 20 years. The road ahead may be riddled with logistical and operational hurdles, but for now, Xiao mi’s stock is soaring, its vehicles are in high demand, and its founder sits atop China’s wealth pyramid—at least for the moment.
At the time of writing, Xiao mi’s stock was trading at 58.7 HKD, slightly below its all-time high but still up significantly for the year, reflecting investor confidence in the company’s ability to navigate its growing pains and deliver on its lofty automotive vision.
Xiao mi’s Y U 7 S U V Sells Out Until 2027 as Production Struggles to Keep Up
Xiao mi’s latest electric S U V, the Y U 7 , has seen overwhelming demand since its debut, with the company announcing 289,000 orders in the first hour and 240,000 locked-in orders within 18 hours. That staggering response has essentially sold out the company’s production capacity for the Y U 7 until early 2027.
Currently, Xiao mi operates a single automotive plant in Beijing, divided into two phases. The first phase (F1) began construction in April 2022, was completed in June 2023, and started mass production in March 2024 with the launch of the S U 7 sedan. F1 has an annual capacity of 150,000 vehicles.
The second phase (F2), which began construction in July 2024, spans 531,000 square meters and was last reported in May to be on track for completion by June 2025. However, Xiaomi has not issued an official update since. Mass production is expected to begin in July. Like F1, F2 is designed to produce 150,000 units annually.
Ahead of full-scale production, Xiao mi assembled 500 showroom-ready Y U 7 units at F1, along with 653 prototypes used for internal testing. With the first deliveries underway and F2 still ramping up, the 240,000 confirmed orders will take roughly a year to fulfill—assuming both plants run at full capacity.
This massive demand presents a logistical challenge for Xiao mi. The company must now balance output between the newly launched Y U 7 S U V and the previously released S U 7 sedan. June data showed S U 7 insurance registrations hitting their second-lowest point of the year—only surpassed by the slowdown during the Chinese New Year holiday—despite overall E V market growth.
Delivery wait times for the S U 7 have grown significantly. According to Xiao mi’s app, customers now face a 47 to 50-week wait for the S U 7 Pro and 41 to 44 weeks for the Standard version. With production lines stretched thin, prioritizing between two high-demand models will be increasingly difficult.
Scalping has become another issue. Some customers with lock-in orders are trying to resell their reservation slots or even flip the vehicles for a profit after delivery. In response, Xiao mi emphasized that orders are non-transferable and cannot be resold.
Looking ahead, Xiaomi’s long-term solution may lie in a third phase of its manufacturing base (F3). The company recently acquired 485,100 square meters of land next to its existing facilities, according to a filing by the Beijing Municipality. While no details about construction or timelines have been shared, this move hints at Xiao mi’s plan to further expand its E V production capabilities.
Officially, Xiaomi has stated that its current production capacity across F1 and F2 will total 300,000 vehicles per year. However, data suggests that figure may refer to output based on a single shift. From January to May this year, the company delivered 132,467 S U 7 units—putting it well on track to exceed the 150,000 annual figure if additional shifts are used.
Ultimately, even with both plants operating at peak efficiency, Xiao mi will need at least a year to fulfill just the Y U 7 lock-in orders from launch day. Managing production lines, curbing scalper activity, and preparing for long-term expansion are all critical steps as Xiao mi attempts to sustain its E V momentum.
Xiaomi E V intends to begin overseas market deployment in 2027
During the MWC 2025, Lu Weibing, Partner and President of Xiao mi Group, unveiled the company’s global market expansion roadmap for its automotive division, announcing that Xiao mi E V plans to officially start overseas market deployment in 2027.
Mr. Lu emphasized that Xiao mi’s primary strategy is to solidify its position in the Chinese market first. As an indigenous automaker, failing to establish a strong foothold at home would make international expansion significantly more challenging. Therefore, Xiao mi EV’s current focus is on deepening its presence in China before launching its global operations in 2027. He also highlighted the extensive groundwork required for automobile globalization, including product adaptation, regulatory compliance, and policy considerations across different markets. These complexities necessitate meticulous planning and execution.
Beyond its electric vehicle expansion, Xiaomi is accelerating its global retail strategy, aiming to open 10,000 MiHome retail stores worldwide over the next five years. This initiative is designed to extend the Xiaomi ecosystem to a broader consumer base, enhancing brand visibility and supporting the global rollout of Xiao mi smartphones, E V and IoT products. The move underscores Xiaomi’s long-term commitment to expanding its international footprint across multiple industries.
In February 2025, Xiaomi S U 7 model’s deliveries once again surpassed 20,000 units, marking its fifth consecutive month to exceed this delivery mark. As of today, Xiao mi E V has cumulatively delivered over 180,000 vehicles.
On the new product launch front, on February 27, 2025, Xiaomi held a new product launch event in Beijing, officially putting the mass-produced unit of the Xiao mi S U 7 Ultra model onto the market with a guidance price of 529,900 yuan.
During the event, Xiao mi’s Chairman and C E O Lei Jun announced that the production version of the S U 7 Ultra would take on the Nürburgring Nordschleife track challenge, after which a Nürburgring Limited Edition would be released at 814,900 yuan.