Xiaomi«s shares continue to fall with a spark 0 37

In China, the Xiaomi SU7 electric car caught fire after an accident, and bystanders were unable to save the 31-year-old driver — he died at the scene, Bloomberg reports. How did the company's shares react?

Xiaomi's stock fell by 8.7% on the very first day after the incident, marking the largest drop since April. Analysts believe that pressure on the company's shares may ease following the police statement that the driver of the electric vehicle was driving under the influence.

The disaster occurred a few months after a fatal accident involving the Xiaomi SU7 on a Chinese expressway, which led to a decline in the company's shares and raised questions about the intelligent driving systems used in new cars.

The incident may lead to renewed scrutiny of the electronic door handles of vehicles. The Chinese regulator is considering a ban on fully concealed designs.

The Xiaomi SU7 is a full-size electric car produced by the Chinese company Xiaomi under a license from BAIC Motor since December 2023. Deliveries began in February 2024. According to the manufacturers, "SU" stands for "Speed Ultra," and the number 7 indicates the market segment of the vehicle. The model is available in Pro and Max configurations.

In April 2025, the first fatal traffic accident occurred in China, resulting in the deaths of 3 people. The company published a detailed report on the incident, which indicated that the autopilot warned the drivers of an obstacle several seconds in advance.