Xiaomi's Wuhan smart appliance factory begins production after 14-month build

by PENG Peng

Xiaomi Group has officially begun production at its first self-built smart home appliance factory in Wuhan, marking the completion of its "Human–Car–Home" ecosystem of large-scale intelligent manufacturing bases. Founder Lei Jun attended the launch ceremony on October 28.

According to Wang Hua, general manager of Xiaomi's public relations department, the factory was completed in record time—just 14 months from contract signing to operation. Construction began in November 2024, with the structure topped out within two months, equipment installation starting after six months, and full completion and production achieved in 11 months—nearly halving the industry's average construction cycle.

Located in Wuhan's Donghu High-tech Zone, the plant covers more than 750 mu (around 500,000 square meters) and represents a total planned investment exceeding 2.5 billion yuan. It has a peak annual capacity of 7 million high-end air conditioners, with each unit rolling off the production line every 6.5 seconds. The facility is expected to generate an annual output value of 14 billion yuan and will begin large-scale mass production next year, supporting Xiaomi's move to self-develop and manufacture premium home appliances.

The factory operates on Xiaomi's in-house Hyper Intelligent Manufacturing Platform (Hyper IMP), integrating R&D, production, supply chain, and logistics through advanced AI-driven automation. The first phase focuses on air conditioners, covering both household and central systems, and includes six core sub-factories, a testing building, logistics warehouses, and a central depot.

Future phases will expand to refrigerators, washing machines, and other smart home products, positioning the site as a new benchmark for next-generation digital manufacturing in China's home appliance sector.

Xiaomi is scheduled to release its third-quarter results on November 18. In the second quarter of 2025, the company reported record revenue of 116 billion yuan, up 30.5% year on year, and adjusted net profit of 10.8 billion yuan, up 75.4%.

Revenue from its smart EV and AI businesses reached 21.3 billion yuan in the first half of 2025, with 81,302 cars delivered in the second quarter and more than 300,000 cumulatively. Xiaomi now runs 335 sales outlets in 92 mainland cities.

Its smartphone business continued to expand in the premium segment, with shipments hitting 42.4 million units in the first half, marking eight consecutive quarters of growth and keeping a top-three global ranking for five years. In mainland China, Xiaomi led the 4,000–5,000 yuan range with a 24.7% share, while its 5,000–6,000 yuan range rose to 15.4%, up 6.5 percentage points year on year.

Its IoT and lifestyle products business also hit record highs, with revenue climbing 44.7% to 38.7 billion yuan. Large smart appliance sales jumped 66.2%, led by a 60%-plus surge in air conditioner shipments to 5.4 million units. Refrigerator and washing machine sales rose 25% and 45%, respectively, while tablet shipments grew 42.3%, making Xiaomi the fastest-growing among the world’s top five manufacturers.