AutoBeta(AutoBeta.net)11/27 Report--

On November 27, the Beijing Economic and technological Development Zone Management Committee and Xiaomi Science and Technology signing ceremony was held, with the signing of the "Cooperation Agreement" between the two sides, it was officially announced that Xiaomi Motor had settled in Beijing Economic Development Zone. According to the plan, the Xiaomi automobile project will build Xiaomi automobile headquarters, sales headquarters and R & D headquarters, and will build a vehicle factory with an annual output of 300000 vehicles in two phases, with a production capacity of 150000 vehicles in the first and second phases respectively. The first car is expected to be offline and mass produced in 2024.

In fact, the arrival of Xiaomi cars in the Beijing Economic Development Zone is nothing new. As early as October 19, Xiaomi Group Chairman Lei Jun revealed at Xiaomi Investor Day that Xiaomi's first factory will be located in Yizhuang, Beijing, and Xiaomi is expected to be in mass production in the first half of 2024.

As for the reason why Xiaomi Motor settled in Beijing Yizhuang, not only because Beijing Yizhuang is the base of Xiaomi intelligent factory, more importantly, Beijing Economic Development Zone has formed a sophisticated industrial development pattern based on the new generation of information technology, high-end cars and new energy smart cars, biotechnology and great health, robotics and intelligent manufacturing, as well as emerging industries. In addition, Beijing Economic Development Zone has laid out complete vehicle enterprises such as Beijing Mercedes-Benz and BAIC New Energy, leading to the formation of a relatively perfect industry chain of high-end cars and new energy vehicles.

The relevant person in charge of Beijing Economic Development District said that under the leadership of the Beijing Municipal Party Committee and Municipal Government, Beijing Economic Development District will give full play to the efforts of the whole region and actively promote the work of special classes at two levels in the urban area to provide security services for the millet automobile project. promote the project to start early and put into production as soon as possible, coordinate to build the industrial ecology, and actively seize the highland for the development of the automobile industry in the future. To build Xiaomi Automobile into a national brand of new energy vehicles with global influence, and to contribute to the construction of Beijing into a global intelligent network of automotive science and technology innovation highland.

On March 30 this year, Xiaomi Group announced at a press conference that it had officially entered the field of car manufacturing and proposed to set up a wholly-owned subsidiary in charge of smart electric vehicle business, with an initial investment of 10 billion yuan and an estimated investment of US $10 billion in the next 10 years. Lei Jun, CEO of Xiaomi Group, will also serve as CEO of Smart Electric vehicle business.

At the launch of Xiaomi's new products in spring, Lei Jun said that Xiaomi would make every effort to build Xiaomi cars with its existing cash reserves of 108 billion yuan, a research and development team of more than 10000 people, the top three mobile phone business in the world and the best smart ecology in the world.

On September 1st, Xiaomi Automobile Co., Ltd. was officially established with a registered capital of 10 billion yuan. Lei Jun, chairman and CEO of Xiaomi, served as the legal representative. On November 18, Xiaomi Automotive Technology Co., Ltd. was established with Lei Jun as its legal representative with a registered capital of 1 billion yuan. Its business scope includes vehicle manufacturing of new energy vehicles, technical research and development of vehicle parts and components, etc. The company is registered in Beijing.

However, Xiaomi Motor has settled in Yizhuang, Beijing, and will also choose to build its own factory to solve the manufacturing problem, but the production qualification remains to be solved. Earlier, according to the Financial Associated Press, Beijing authorities are actively promoting Xiaomi's acquisition of Bowo car production qualification, transferring 180000 Bowo car production capacity to Xiaomi car project. At the same time, as the existing capacity of the Baowo automobile plant cannot meet Xiaomi's investment of as much as US $10 billion in the next four years, Xiaomi will select a site and build its own factory in Wuhan by acquiring existing production capacity and production qualifications. Adopt the "Beijing + Wuhan" dual-plant model to ensure a stable production capacity effect in the future. Xiaomi did not respond to the relevant reports. In addition to Baowo, it was once rumored that Xiaomi had acquired Evergrande's Tianjin plant and Jianghuai Automobile, but all of them were denied.

As a cross-border car maker, Xiaomi still has many problems to solve. From the perspective of the current market, car building needs an industry with technology as the foundation, capital as the support, and more competitiveness as the guarantee, so there are higher requirements for cross-border car building, but the threshold for car building is not high. as long as you have money, you can buy technology, production qualifications, factories, etc., but the era of relying on imitation, trickery and luck has passed.

Earlier, Lei Jun said in an interview with the media that doing the automobile business is not for the "limelight". Now the electric car has changed from the machinery industry to the information industry. Coupled with the fact that some peers are already doing it, Xiaomi will be eliminated if it is not done. Xiaomi, from smart phones to smart homes and smart offices, is a fully intelligent ecology. If it is well integrated with electric cars, it will have a strong expansibility. When Guan Xuan entered the automobile industry market, Lei Jun also set up Flag: this is the last major start-up project in his life, and he is willing to bet all his reputation to lead the team to fight for Xiaomi car. As for the measures that may be encountered on the way to building cars, Lei Jun said bluntly, "We can afford it."

According to the financial report, the total operating income of Xiaomi Group in the first three quarters was 242.734 billion yuan, up 38.39 percent over the same period last year; gross profit was 43.601 billion yuan, up 71.49 percent over the same period last year; and net profit was 16.854 billion yuan, up 46.02 percent over the same period last year.

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