China’s hottest carmaker is going global: Xiaomi is planning to break out of China and sell it cars in Europe, which bodes well for the 2026 Xiaomi SU7 and YU7 to come to Australia eventually to battle the Tesla Model Y, Zeekr 7X and BYD Sealion 7

A new Chinese carmaking behemoth is planning an all out global offensive.

Xiaomi, which is best known for making smartphones but now also makes electric cars, is now planning on selling its vehicles in Europe by 2027, according to Bloomberg.

This puts Australia firmly on the radar for Xiaomi. We’ve seen this playbook before, where a premium Chinese car maker such as Zeekr makes a play for Europe and then expands into Australia soon after once it can accommodate right-hand drive production.

Australia's close proximity and its free trade agreement with China make it an attractive market for Chinese car brands.

The tech company-turned-automaker has made headlines recently with its smash hit YU7 electric SUV, which recorded more than 200,000 orders in just three minutes when it launched earlier this year. By the end of that same month it was reporting more than 400,000 orders.

This popularity for its Tesla Model Y, Zeekr 7X, BYD Sealion 7 and Kia EV5 alternative filled the company’s current production capacity until 2027, which is when the company is planning on expanding.

Xiaomi is in the process of bulking up its factory footprint, which will help alleviate the long wait times of the YU7 and make global expansion possible.

The YU7 isn’t the only car Xiaomi produces, with the SU7 performance sedan also causing a stir.

Ford boss Jim Farley hasn’t been shy about his love for the SU7.

Last year he told the Everything Electric Show: “I don’t like talking about the competition so much, but I drive a Xiaomi. We flew one from Shanghai to Chicago and I’ve been driving it for six months now, and I don’t want to give it up.” 

He said it’s companies such as Xiaomi that pose the biggest threat to established players.

“I’ve had two trips to China the last two years that were literally epiphanies,” he said.

“In the west, our cell phone companies are not into cars – they don't have car companies. But in China, both Huawei and Xiaomi, the two biggest cell phone companies, are inside of every vehicle that is made.”

"Everyone's talking about the Apple car, but the Xiaomi car, which now exists – it's fantastic."

Even the mighty Ferrari has taken notice of Xiaomi.

A Xiaomi SU7 Ultra was seen leaving the Prancing Horse’s headquarters in Maranello.

Ferrari bought the high-performance electric car for testing and development purposes as it prepares its first electric car next year, according to reports.

It is the fastest electric car around the Nurburgring and delivers a bonkers amount of grunt.

The SU7 Ultra uses three electric motors to make an insane 1138kW, which is about the same as 10 Toyota Corollas combined and more than the quad-turbocharged W16 engine from the Bugatti Chiron.  

Those outputs are good enough to catapult it to 100km/h from a standstill in blistering 1.97 seconds on the way to a top speed of 350km/h.