Xiaomi Expands EV Battery Strategy for Skynomad Family SUV Launch

Xiaomi is expanding its electric vehicle supply chain strategy by introducing new battery suppliers for its upcoming family-focused extended-range SUV under the new Skynomad sub-brand. The Chinese technology company has reportedly selected Sunwoda and CALB to supply batteries for the internally coded Kunlun N3 model, which is expected to launch in the second half of 2026. According to local media reports, Sunwoda is expected to receive around 60 percent of the battery supply allocation, while CALB will account for the remaining 40 percent.

The Skynomad brand is being positioned separately from Xiaomi’s existing EV lineup and is expected to target family-oriented consumers looking for extended-range sport utility vehicles at more competitive price points. Reports indicate that the Kunlun N3 will be a full-size SUV measuring more than 5.3 meters in length. The vehicle is expected to feature a battery pack larger than 70 kWh and deliver a pure electric driving range between 400 and 500 kilometers, supporting long-distance family travel and daily commuting requirements.

The upcoming Skynomad lineup is expected to be priced around 200,000 yuan, significantly below several premium extended-range SUVs currently dominating the Chinese market. The model is anticipated to compete directly against vehicles such as Li Auto’s Li L9 in the growing family SUV category. Industry data cited in the report noted that seven of the top 10 best-selling extended-range SUVs in China during 2025 were produced by Li Auto and Huawei-backed Aito, with most models priced above 250,000 yuan.

Xiaomi Adjusts Battery Supply Chain Strategy

Xiaomi’s decision to onboard additional suppliers reflects a broader effort to diversify its battery sourcing strategy and improve supply chain flexibility. For its existing SU7 and YU7 vehicle models, the company has mainly relied on battery packs supplied by CATL and BYD. As of April 2026, cumulative Xiaomi EV deliveries reportedly approached 700,000 units, with CATL accounting for more than 80 percent of the company’s battery supply volume.

Industry sources cited in the report stated that Xiaomi is seeking greater operational leverage and supplier flexibility by reducing overdependence on its existing battery partners. Suppliers outside the dominant CATL and BYD ecosystem are reportedly viewed as more cooperative in terms of commercial negotiations and production coordination. The move also allows Xiaomi to better manage supply risks while preparing for rapid product expansion in the coming years.

Battery Supplier Market Position in China

Both Sunwoda and CALB have established strong positions within China’s hybrid battery market. Sunwoda’s cumulative installed hybrid battery capacity has reportedly exceeded 1.5 million units, while CALB is expected to begin large-scale deliveries of its hybrid battery products during 2026. Their inclusion in Xiaomi’s next-generation vehicle program highlights increasing competition among battery manufacturers seeking larger shares of the country’s rapidly growing electrified vehicle market.

China’s power battery market continues to remain highly competitive, with leading suppliers maintaining significant market dominance. Data released by the China Automotive Battery Innovation Alliance showed CATL holding a domestic market share of 46.64 percent in April 2026, while BYD ranked second with a 16.83 percent share.

Below is a summary of major battery supplier market shares in China during April 2026.

Reports regarding Xiaomi’s second vehicle brand have intensified in recent months as spy images of the extended-range SUV continue to surface across Chinese automotive media channels. While Xiaomi has not officially confirmed whether Skynomad will operate as a fully independent brand or as a dedicated vehicle lineup, the project is increasingly viewed as a major part of the company’s long-term automotive expansion strategy.

Xiaomi EV’s growth momentum has remained strong through 2026. The company reportedly achieved monthly deliveries exceeding 30,000 vehicles in April and has established an ambitious full-year delivery target of 550,000 units for 2026. Expanding the model lineup through projects such as the Kunlun N3 is expected to play a central role in achieving these production and sales objectives.

Frequently Asked Questions

Why is Xiaomi adding new battery suppliers for its Skynomad SUV?
Xiaomi is adding Sunwoda and CALB to diversify its battery supply chain and reduce dependence on existing suppliers such as CATL and BYD. The strategy is intended to improve supply flexibility, strengthen commercial negotiations, and support higher production volumes as Xiaomi expands its EV portfolio. By working with multiple suppliers, Xiaomi can better manage supply risks while preparing for increased vehicle demand in China’s highly competitive extended-range SUV segment during 2026 and beyond.

What is the expected range and positioning of the Xiaomi Kunlun N3 SUV?
The Xiaomi Kunlun N3 is expected to be a full-size extended-range SUV designed for family-oriented consumers in China. Reports indicate the model will feature a battery pack larger than 70 kWh and deliver a pure electric range between 400 and 500 kilometers. Xiaomi is reportedly targeting a price point around 200,000 yuan, allowing the vehicle to compete against higher-priced extended-range SUVs from brands such as Li Auto and Aito in the growing family mobility market.