The Chinese tech company Xiaomi signed preliminary agreements with eight German dealership groups to build its sales and service network for electric vehicles in Europe, where it plans to start commercialization in 2027. The memoranda of understanding were signed during the IFA technology fair in Berlin, with the groups Ernst Dello, Autohaus Dinnebier, Emil Frey Germany, Fett & Wirtz Automobile, Hahn Automobile, LUEG Mobility, Penske-Jacobs Innovation and SPT Avior.
The company indicated that these agreements represent the first step to build its commercial and service network in Europe, planning to add new distributors in other countries on the continent. Germany will be one of the first European markets for the tech company's automotive division, which also has a research and development center in Munich.
Xiaomi entered the automotive sector in 2024 with the SU7 and later expanded its range with the YU7 SUV. Since the beginning of the process in March 2024, the company claims to have delivered more than 700,000 vehicles in China and set a goal to sell 550,000 vehicles in 2026, representing a 34% increase from the previous year.
The founder and chief executive of Xiaomi, Lei Jun, had previously indicated that the high demand in China and the limitations of production capacity prevented bringing forward the international expansion beyond 2027.
