JAKARTA - Xiaomi has chosen an external engine supplier for the Skynomad line. The Chinese technology giant uses a range extender from Harbin Dongan Auto Engine, a subsidiary of Changan, with a unit price of only 1,100 US dollars.
CarNewsChina quoted Friday, July 31, reported that Harbin Dongan became the only range extender supplier for Skynomad N70 and N90. This decision highlights how Xiaomi is cutting costs when entering the EREV market.
Range extenders are small gasoline engines used to generate electricity and extend vehicle range. In EREV, the wheels are still driven by an electric motor, while the gasoline engine works as a generator when the battery is depleted.
EREV is an electric vehicle with a range extender. In China, this technology is no longer considered just a bridge before pure EVs. Many manufacturers now offer pure EV and EREV versions for the same model.
Sina Auto said the purchase price of the 1.5T engine for the Skynomad was only 8,000 yuan or about 1,100 US dollars.
For Xiaomi, the choice is no small matter. The company began to be taken into account in the Chinese automotive market after launching the SU7 sedan and the YU7 SUV. However, building an EREV platform from scratch takes time and costs a lot.
Unlike old manufacturers who already have internal combustion engine technology, new players like Xiaomi have to find independent suppliers. At this point, Dongan has an important position.
Harbin Dongan previously supplied range extenders for Leapmotor C11 SUVs and Li Auto's first SUV, Li One. However, Li Auto later switched to another supplier for its next model due to major problems, including carbon buildup.
In terms of technology and efficiency, the Dongan range extender is said to be on par with many other products in the Chinese market. However, its low price makes it attractive to manufacturers who are pursuing volume and margins.
CarNewsChina notes that Xiaomi's decision to use external suppliers is also inseparable from the mature Chinese EREV supply chain. Long-term manufacturers such as Changan and Dongfeng are developing range extenders from the internal combustion engines they already have.
New suppliers such as Horse Powertrain, a company owned by Geely and Renault, also offer ready-made solutions for existing EV platforms.
Harbin Dongan also took advantage of this trend. The company refined Mitsubishi-derived gasoline engines from a joint venture that is no longer operating into a special range extender line.
Xiaomi chose the M15DRE engine for the Skynomad. Data from the Chinese Ministry of Industry and Information Technology or MIIT shows that the engine has a thermal efficiency of 44.3 percent.
Thermal efficiency is a measure of how well an engine converts heat from fuel into power. The higher the number, the more efficient the engine.
The M15DRE figure is still below the Geely Galaxy A7 which reached 47.26 percent. However, the Dongan engine still makes the N90 record fuel consumption WLTC at low battery of 5.7 liters per 100 kilometers.
WLTC is a standard for testing fuel consumption and vehicle mileage. The figure of 5.7 liters per 100 kilometers is good for large-sized SUVs.
Xiaomi's choice shows the cost pressures the company faces as it enters the electric car and EREV markets. By using external engine suppliers, Xiaomi can cut the cost of developing engines. The low price of the M15DRE can also help maintain margins.
Margin is an important issue. Although the SU7 is said to be one of the best-selling sedans in China, Xiaomi reportedly lost 5,600 US dollars for each car in the first quarter of 2026.
Therefore, Xiaomi needs a large-volume model that can be sold at an affordable price, but still make money.
Dongan itself started as a small supplier for microvans and entry-level sedans. Now the company is focusing on combustion engine-based drive systems for NEVs.
NEV is a new energy vehicle, a term in China for pure electric vehicles, plug-in hybrids, and some other low-emission vehicles.
On its website, Dongan offers a range extender from a 1.2T three-cylinder engine to a 2.0-liter naturally aspirated generator or engine without a turbo.
In addition to Xiaomi, Dongan also supplies Maextro, a brand associated with Huawei. Dongan's 1.5T range extender is used in the Maextro S800 Grand Design, a luxury sedan priced at $235,300 and is among the most expensive NEVs in China.
Dongan has also previously attracted attention for developing a new PHEV engine that meets China's VII and Euro VII emission standards.
PHEV is a plug-in hybrid vehicle. This type of car uses an electric motor and a gasoline engine, and can be charged from an external power source.
The company also developed China's first high-powered rotary engine for aerial vehicles in the low-altitude economic sector.
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