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Xiaomi CEO Lei Jun denies US entry rumors after YU7 sightings in California

globalchinaev

11 hours ago3 min read
Xiaomi CEO Lei Jun denies US entry rumors after YU7 sightings in California

Xiaomi Group founder, chairman and CEO Lei Jun said on February 10, 2026 that Xiaomi has no current plans to enter the U.S. auto market, after photos circulated online showing a Xiaomi YU7 driving on a California highway with local test vehicle plates.

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Lei said the vehicle was most likely purchased by a U.S.-based industry peer or supplier as a benchmarking vehicle, and was not part of Xiaomi’s own market entry strategy. The images were reported by CARSCOOPS and triggered widespread online speculation about Xiaomi’s overseas expansion plans.

Source: Carscoops

“We currently have no plans to enter the U.S. market,” Lei said in public comments carried by multiple Chinese media outlets, adding that the vehicle was likely bought by “industry peers or suppliers” for comparison purposes.

The clarification comes as Xiaomi Auto continues to scale production and delivery in China while preparing for its first overseas market entry in Europe, rather than North America.

Earlier on February 10, Lei also hosted a livestream ahead of the Lunar New Year “Little New Year” holiday, during which he disclosed new operational and sales details for Xiaomi’s vehicle business.

Lei said the Xiaomi Auto factory received more than 130,000 visitors in 2025, reflecting growing public interest in the company’s automotive operations. He said the livestream would include a virtual tour of the factory.

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The California sighting of the YU7 sparked renewed attention on Xiaomi’s international strategy, but Xiaomi’s management has consistently pointed to Europe as its first priority for overseas expansion.

Xiaomi first displayed the SU7 at a Xiaomi store in Paris in 2024, with an original target of achieving European sales before 2030. At the company’s 2025 mid-year financial results briefing, Xiaomi Vice President Lu Weibing announced that Xiaomi Auto would officially enter the European market in 2027, moving the timeline forward by three years.

Xiaomi SU7 test vehicles have reportedly already entered Europe, supporting preparations for the planned market entry.

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Lei’s statement emphasized Xiaomi’s traditionally cautious approach to market expansion. The U.S. market remains dominated by pickup trucks and large SUVs, and electric vehicle adoption has lagged behind Europe.

According to data cited from Cui Dongshu, secretary-general of the China Passenger Car Association, U.S. new energy vehicle penetration in the fourth quarter of 2025 was only 7%, significantly below European levels.

In addition, some reports noted the impact of a 100% tariff environment in the U.S., which could undermine Xiaomi’s pricing competitiveness if it were to enter the market. Europe has a clearer policy direction, more developed charging infrastructure, and higher consumer acceptance of electric vehicles.

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Operationally, Xiaomi Auto continues to ramp deliveries. Xiaomi Auto delivered more than 39,000 vehicles in January 2026, following deliveries of more than 50,000 vehicles in December 2025.

For full-year 2025, Xiaomi Auto delivered more than 410,000 vehicles in total. During a livestream in January 2026, Lei announced a full-year 2026 delivery target of 550,000 vehicles.

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