Xiaomi Stakes Growth on Debut in China's Cut-Throat EV Market [BNN Bloomberg (Canada)]
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It will start selling its SU7 series in China, the result of a $10 billion foray into the world's largest EV market dominated by Tesla Inc. and BYD Co. The sedan will probably enter the most competitive segment, based on pricing predictions by analysts. Billionaire co-founder Lei Jun has called the challenge his final major endeavor, testing Xiaomi's ability to crack a crowded market for a second time with its technological capabilities. With a year-long EV price war going on in China, reception for the SU7 will likely dictate Xiaomi's stock momentum after a 22% gain since a February low. “The EV business is likely to be a profitability drag for Xiaomi until it achieves scale, but we expect this to be a positive share price driver in the initial phase during early volume shipments,” JPMorgan Chase & Co. analysts including Gokul Hariharan wrote in a note. The market expects more than 50,000 shipments in the first 12 months of SU7's launch, they added. China's electrified-car mar
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