Xiaomi's strategy to enter the European automotive market is becoming increasingly clear.

In August this year, Xiaomi Group President Lu Weibing revealed that Xiaomi's automotive division plans to officially enter the European electric vehicle market in 2027. Now, more details are emerging.

Recently, Xiaomi Vice President Xu Fei disclosed the timeline and details of this strategy in a CNBC interview. She confirmed that the company began conducting field research in Europe in June this year, preparing to establish sales networks and seek partnerships.

According to the plan, Xiaomi will first open showrooms in Europe to showcase its highly anticipated electric vehicles and smart ecosystem. Xu Fei also indicated that while local production is not the "first step," from a long-term perspective, establishing factories in Europe is inevitable to achieve the goal of becoming one of the world's top five automakers.

Xiaomi's European expansion plan will bring it directly into an increasingly competitive market. At that time, Xiaomi will not only face European local brands but also engage in direct competition with Chinese peers like BYD and XPeng that have already established presence in the region.

**Showrooms First, Local Production as Long-term Planning**

Xiaomi's European market entry strategy will center on user experience. According to Xu Fei, the company plans to replicate its showroom model from China in Europe, allowing potential customers not only to test drive vehicles but also to gain deep understanding of its complete product ecosystem spanning from smartphones to home appliances.

"Users need to experience the car, not just test drive it... they also need to understand the entire ecosystem," she said.

Regarding the production layout issue that investors are highly concerned about, Xu Fei clearly pointed out that establishing production facilities in Europe will not be the "first step" for Xiaomi's automotive business in the region, but it is part of the company's long-term strategy.

She explained: "The logic is simple. We want to become one of the world's top five players within 15 to 20 years. If you want to achieve that, you definitely must have your own factory here (in Europe), right?"

**Using Existing Models, Cautious European Market Layout**

In terms of product strategy, Xiaomi seems inclined to adopt market-proven models. Xu Fei stated that the company will not "design a completely new product" for the European market, but did not reveal which specific models will be introduced. Xiaomi entered the electric vehicle market last year with the SU7 sedan and subsequently the YU7 SUV, and has since delivered over 300,000 vehicles.

Facing the situation where Chinese competitors have already established footholds in the European market, Xu Fei defended Xiaomi's relatively "slower" pace. She emphasized that the company needs sufficient time for preparation to ensure its products are "reliable enough" for European market users and meet "very high standards."

"When we enter the market, we are very focused. This is not just some random Chinese product coming to the European market," she added, "This is a product that provides the best user experience for European users."