Xiaomi Denies Rumors of Ford Partnership, Focuses on European Growth

Xiaomi KYG9830T1067

Chinese technology giant Xiaomi has issued a firm denial regarding speculation of a potential collaboration with Ford Motor Company. The rebuttal came in response to a Financial Times report, which cited unnamed sources suggesting the two firms were in exploratory talks, including discussions about a joint venture to manufacture electric vehicles in the United States. A company spokesperson explicitly told China Daily that reports of such negotiations are "untrue," adding that Xiaomi neither sells its products and services in the U.S. nor is engaged in any talks to do so.

As Xiaomi dismisses U.S. market speculation, its strategic focus appears firmly elsewhere. However, this comes against a backdrop of tempered expectations from Wall Street. Analysts at Citigroup, in a note dated January 30, forecast a challenging 2026 for the company, citing potential margin pressures. This followed a move by Goldman Sachs just four days earlier, where the investment bank reduced its revenue and profit estimates for Xiaomi for both 2026 and 2027. The company's shares have faced continued pressure following a weak January performance.

Investors will gain clearer insight into the company's trajectory when Xiaomi releases its fourth-quarter 2025 earnings on March 24, 2026. These results are anticipated to reveal whether the firm's aggressive expansion plans and burgeoning electric vehicle division can offset the cautious outlook held by market experts.

Ambitious UK Retail Rollout Underway

Concurrent with its U.S. denial, Xiaomi is aggressively pursuing growth in Europe, with the United Kingdom being a key target. The company has unveiled plans to open approximately 150 new retail stores across the UK market within the next four years. This significant retail expansion is designed to showcase Xiaomi's full ecosystem of products, encompassing:

• Smartphones and wearable devices
• Home appliances and IoT (Internet of Things) products
• Electric vehicles

The UK market has already proven fruitful for Xiaomi, generating around 1 billion Yuan (approximately $144 million USD) in revenue last year. The broader IoT ecosystem reached a significant milestone, surpassing 1 billion connected devices globally as of September 30, 2025.

EV Segment Shows Robust Growth

Xiaomi's foray into electric vehicles is demonstrating strong momentum. The company reported deliveries of 108,796 EVs in the third quarter of 2025, representing a substantial year-over-year increase of 173%. Furthermore, the gross profit margin for its electric vehicle segment achieved an impressive 25.5%, underscoring the segment's growing financial contribution to the overall business.