Shanghai (ZXZC)- Xiaomi Automobile Co.,Ltd. was officially registered in Beijing Economic Technological Development Area on September 1 with a registered capital of 10 billion yuan ($1.546 billion), according to the business data provider Tianyancha. The registration means that Xiaomi's electric vehicle (EV) unit has been headquartered in the capital of China.

Lei Jun, Xiaomi's founder, chairman, CEO; photo credit: Xiaomi

The smartphone giant announced on Wednesday the completion of the business registration for its EV unit, where Lei Jun, Xiaomi's founder, chairman, and CEO, will serve as legal representative. However, it didn't unveil the concrete location then.

“This is the first milestone in the development of Xiaomi's automobile arm. Led by Mr. Lei, Xiaomi is taking the fast lane for its car building business,” said the company.

Since Xiaomi announced its foray into the EV industry at the end of March, there were many rumors about where Xiaomi's auto business will be headquartered. Beijing and Shanghai were much discussed as the company released job ads for autonomous driving and other auto-related posts in these two cities. Besides, the two metropolises also boast great policy supports and abundant resources for EV development. 

During the past five months, Xiaomi held talks with quite a few automakers and suppliers, and also made investment in many auto-related companies, including Hesai Technology, ZongMu Technology, SVOLT, and Ganfeng Lithium. Moreover, Xiaomi announced last month it had entered into a purchase agreement to acquire the entire shareholding in DeepMotion Tech Limited, a four-year-old Chinese autonomous driving startup, for about $77.37 million.

Up until now, Xiaomi has employed nearly 300 staff members for its EV unit and it will continue to recruit talents, according to Lei Jun.