Xiaomi EV sales overhaul with Tesla China executive Kong Yanshuang

Rapid restructuring underway inside Xiaomi highlights a decisive shift in its electric vehicle business, as the company transitions from aggressive product expansion to disciplined sales execution. The appointment of Kong Yanshuang, formerly a senior executive at Tesla China, reflects a strategic pivot aimed at optimizing retail channels, improving conversion rates, and stabilizing growth in an increasingly competitive EV market.

Leadership shift signals sales-focused transformation

Kong Yanshuang joined Xiaomi in early March to lead the overhaul of its EV sales and distribution system, replacing Li Xiaorui. Her mandate includes restructuring regional sales operations, refining channel strategies, and enhancing overall efficiency. With prior experience in building Tesla’s sales network across tier-one and lower-tier cities in China, she brings operational depth aligned with Xiaomi’s current scaling challenges. This move underscores Xiaomi’s recognition that strong product appeal alone is insufficient without robust sales execution frameworks.

Tesla expertise strengthens Xiaomi’s operational depth

Kong’s tenure at Tesla included involvement in production ramp-ups, coordinated model launches, and regional market expansion. Her expertise in aligning supply, branding, and retail execution is expected to directly address Xiaomi’s evolving needs. Additionally, another Tesla-affiliated professional, known as Eason, has joined Xiaomi’s advisory department, a unit closely linked to CEO-level strategic planning. Such appointments indicate elevated priority toward correcting inefficiencies in sales performance and internal coordination.

Sales system gaps emerge after rapid growth phase

Over the past two years, Xiaomi prioritized product development and brand positioning, achieving strong early traction. However, this approach led to underinvestment in sales team capabilities, resulting in high attrition among experienced hires. As order inflow stabilizes, the company now faces a transition from demand generation to demand conversion. Market expectations are shifting toward refined retail execution, customer engagement, and operational consistency, areas where Tesla-derived expertise is expected to deliver measurable improvements.

Production leadership reinforcement complements strategy

Parallel to sales restructuring, Xiaomi is strengthening its manufacturing leadership. Reports indicate that Song Gang, previously associated with Tesla’s Shanghai Gigafactory ramp-up, is expected to join Xiaomi EV operations. His role will likely involve co-managing production facilities alongside existing leadership. This dual reinforcement of sales and production functions suggests Xiaomi is building a synchronized ecosystem to support sustained volume growth and operational scalability.

Delivery performance and future targets

Xiaomi EV reported March deliveries exceeding 20,000 units, though still below the 30,000 threshold. The rollout of the updated SU7 model, launched mid-March, has contributed to cumulative deliveries surpassing 7,000 units within a short span. While product demand remains strong, achieving the company’s ambitious 550,000-unit delivery target for 2026 will depend heavily on improving sales conversion efficiency and operational precision.

Strategic implications for Xiaomi EV

Xiaomi’s evolving strategy reflects a broader industry trend where EV makers move beyond initial hype-driven growth into operational maturity. By integrating experienced leadership from Tesla, the company aims to institutionalize best practices in sales management, customer lifecycle handling, and channel optimization. Success in this phase will determine whether Xiaomi can convert strong product demand into sustained, scalable market leadership in the global EV landscape.

Frequently Asked Questions

Why did Xiaomi hire Kong Yanshuang from Tesla China?
Xiaomi appointed Kong Yanshuang to strengthen its EV sales execution and improve operational efficiency during its transition from rapid growth to a stable sales phase. Her experience in building Tesla China’s sales network and managing large-scale EV rollouts provides Xiaomi with the expertise needed to optimize channels, reduce inefficiencies, and enhance conversion rates. This strategic move reflects Xiaomi’s focus on refining internal capabilities rather than relying solely on product-driven demand.

What challenges is Xiaomi EV currently facing?
Xiaomi EV is dealing with slowing sales momentum, high turnover in sales teams, and gaps in retail execution after prioritizing product development. As the market matures, the company must shift toward improving conversion efficiency and operational consistency. Strengthening both sales and production leadership indicates Xiaomi’s intent to address these challenges holistically, ensuring it can meet ambitious delivery targets while maintaining competitiveness in China’s fast-evolving electric vehicle market.