What if Xiaomi forms an alliance with one of the main automakers in its country? This seems to be the brand’s new strategy to achieve its goals on time… without too much pain along the way.

The exclusivity comes from Bloomberg, and according to the information that has always been spread this way, Xiaomi would have a hard time meeting the goals it promised. A word, let’s remember, it goes like this: in the first half of 2024 we will have Xiaomi’s first electric car.

BAIC will be Xiaomi’s best ally

Xiaomi Corp. to hold talks with Chinese state-owned BAIC Group Beijing Automotive Group. that produces vehicles and even industrial and agricultural machinery for different companies. Originally established in 1958, BAIC is China’s fifth largest domestic automaker.

Xiaomi encounters many (and expected) hurdles along the way in its new project. The country’s own government is reviewing licensing concessions, and the China National Development and Reform Commission is resisting giving the green light.

Meanwhile, the company’s financial results decreased net income. Inflation and slow chip supply, in addition to the outbreak of COVID and general concern in many markets in the face of the Russia conflict, have also slowed a plan that hasn’t left much room for improvisation.

This negotiation will benefit Xiaomi to achieve its goals in a much more agile manner., both in licensing material and production times. First, if you have an ally with an infrastructure, you accumulate a fortune.

Xiaomi is investing heavily in its new apartment. More than 10,000 people participate directly or indirectly, an estimated spending of 10,000 million yuan and the rest. But this collaboration is surprising, BAIC does not have departments dedicated to electric vehicle production beyond its subsidiary BAIC BluePark.Based in Shanghai.

Let’s not forget that a handful of tech companies in China are currently trying to demonstrate strength and commitment in electric vehicle production, but not all of them are up to the task. Those who recognize their approval will benefit from substantial tax exemptions and government subsidies. So, we’ll have to wait to confirm if these rumors end up with anything real.