In a significant development for the electric vehicle (EV) sector, Xiaomi and Samsung Electronics are potentially exploring a partnership. On March 22, 2025, Jay Y. Lee, the President of Samsung, met with Xiaomi’s CEO, Lei Jun, at Xiaomi’s EV factory in Beijing. This meeting, which marks the first official interaction between the two leaders in seven years, occurred during the annual China Development Forum. This event brings together global executives and Chinese authorities to discuss industry advancements.
Xiaomi has quickly established itself in the EV market with the launch of its inaugural model, the SU7, in 2024. In its first year, the company sold nearly 137,000 units, generating approximately $4.5 billion in revenue. With ambitious plans to ramp up production to 350,000 vehicles in 2025, Xiaomi aims to expand its footprint internationally by 2027. This rapid growth has created a pressing need for essential components, an area where Samsung can play a pivotal role. With subsidiaries like Samsung SDI for batteries and Samsung Display for screens, the partnership could significantly benefit both companies.
The Potential for Collaboration
Despite being traditional competitors in the smartphone arena, this meeting suggests a willingness to explore collaboration in the automotive sector. Samsung already supplies Xiaomi with crucial components such as memory chips, NAND storage, and OLED displays for mobile devices. This existing relationship could serve as a foundation for a transition into EV collaboration. For Samsung, this opportunity is timely, especially as it faces challenges in its semiconductor business and seeks to diversify its revenue streams into high-growth areas like electric vehicles.
While neither company has confirmed specific details about a potential partnership, the discussions seem to have progressed beyond initial stages. Analysts believe that a collaboration could be mutually beneficial. Xiaomi would gain access to advanced technology and high-quality components, while Samsung would strengthen its position in the expanding EV supply chain, particularly in a market dominated by local players like BYD and CATL.
Broader Implications for the Industry
Lee’s visit to Xiaomi‘s production facility is not an isolated incident. He also visited BYD’s headquarters in Shenzhen, signaling Samsung’s commitment to becoming a key supplier in the electric automotive industry. Amidst economic pressures and global competition, this strategy could represent a significant step for Samsung as it seeks to diversify its operations and capitalize on the electric mobility boom.
| Company | 2024 Vehicle Sales | Projected 2025 Production | Revenue Generated (USD) |
|---|---|---|---|
| Xiaomi | 137,000 | 350,000 | $4.5 billion |
| Samsung | N/A | N/A | N/A |
As the landscape of electric vehicles continues to evolve, the potential collaboration between Xiaomi and Samsung could reshape the future of the industry.
Xiaomi and Samsung collaboration
Xiaomi and Samsung are exploring collaboration in the electric vehicle sector, which could lead to significant advancements in technology and production.
Tags: Xiaomi, Samsung, electric vehicles, SU7, BYD, automotive technology
