Xiaomi strengthens its position in the electric vehicle market with this major partnership
This is a strategic investment, formalized on December 31, 2024,as the YU7 electric vehicle was unveiled by Xiaomi. This business partnership was established in May 2024 with capital of one billion yuan, or approximately $137 million.
Xiaomi joins strategic partnership
Several industry giants are united around this partnership such as CATL, a battery specialist, which holds 51% of the shares. Next is BAIC Hailanxin Energy Technology with 39%.
Xiaomi continues its expansion in the automotive industry by taking a 5% stake in Times BAIC (Beijing) New Energy Technology Co., Ltd, a new entity created from Beijing Times Power Battery.
This investment, made official on December 31, 2024, strengthens the manufacturer's position in the strategic sector of batteries for electric vehicles. Beijing Jingneng Technology owns the remaining 5% with Xiaomi Automobile Technology.
For Xiaomi, this partnership allows it to integrate its HyperOS system with future battery solutions to create a direct link between its smartphones and its electric vehicles. The company also ensures privileged access to cutting-edge battery technologies for the development of its automotive range.
The Times BAIC battery production base, inaugurated on June 18, 2024 in Beijing, represents the central project. The automated facility features flexible production lines and zero-carbon technologies to supply manufacturers in the Beijing-Tianjin-Hebei region, including Xiaomi Automobile.
The new entity expands its scope of action to technical advice, technological development, technology promotion, battery sales and import-export services. Xiaomi will therefore be able to benefit from a complete ecosystem to develop its electric vehicles by relying on CATL's expertise in batteries and BAIC's automotive know-how.
