Xiaomi's smart manufacturing capability is one of the main contributors to Xiaomi Auto's success, according to Lei Jun, founder and chief executive officer of the Chinese electronics giant.

"Xiaomi's car factory has achieved a high level of automation, with most processes completed entirely by machines," Lei told the media, including Yicai, during a group interview yesterday. "It can now produce 20,000 to 30,000 vehicles per month."

Xiaomi Auto's success is tightly connected to Beijing's favorable industrial environment, which provides a well-developed supply chain and strong support from governments at all levels, among other benefits, Lei noted.

Since its establishment 15 years ago, Xiaomi has formed a unique business model that enables it to accurately grasp user needs while achieving breakthroughs in core technologies, he added.

During its 15-year development, Xiaomi accumulated cross-industry experience and lessons from setbacks, so it approached the automotive business with a sense of awe, said Li Xiaoshuang, vice president of Xiaomi Auto.

Operating in an industry with extremely high technical complexity, Xiaomi Auto benchmarks its operations against leading competitors, including Tesla as a leader in electrification and Porsche as a leader in vehicle mechanical quality, Li explained.