(CNBC) Shares of Chinese smartphone maker Xiaomi rose over 5% on Tuesday after its CEO said the company will mass-produce electric vehicles in the first six months of 2024.
The CEO, Lei Jun, confirmed the news via a post on China’s Weibo. The comments were initially made at the company’s investor day.
The news comes months after Xiaomi said it will enter the electric car space in March and plans to allocate $10 billion into the venture over the next decade.
Xiaomi registered its electric vehicle venture Xiaomi EV, Inc. last month. The venture boasts 300 employees.
Xiaomi is now set to rival other EVs in China, which include Nio and Xpeng, as well as Tesla is a fast-growing industry. It is estimated that 1.9 million EVS will be sold in China this year, a gain of 51% from the prior year.
1810: HKG is up +5.39%.
