- Xiaomi lost a lawsuit over a misleading carbon fiber hood design.
- The owner found no cooling benefit, only minor weight reduction.
- Approximately 300 SU7 Ultra owners have reported issues with the hood.
While it might seem like Xiaomi can do no wrong with its much-hyped SU7 and YU7 electric models, the company has been nursing a legal headache since mid-year over one particularly controversial feature: the carbon fiber hood offered for the SU7 Ultra.
What began as a flashy performance upgrade has now turned into a courtroom lesson in customer trust.
Read: Chinese Super Sedan Owners Furious Over Fake Aero Ducts In $6K Aero Hood
Originally touted as a functional component with sizable air ducts designed to improve cooling, the hood turned out to be all show and no substance. Owners soon discovered that the vents had no effect on airflow, and their disappointment quickly became public.
Shortly after news broke about customer concerns, an owner took the Chinese brand to court, alleging it had engaged in false advertising.
They paid 42,000 yuan or $5,800 for the carbon fiber hood, but after removing it and disassembling the front end of the EV, they found its internal structure was virtually identical to the standard aluminum hood.
The Suzhou Intermediate People’s Court in Jiangsu Province has upheld the original judgment ruling in favor of the SU7 Ultra owner, while also dismissing Xiaomi’s appeal.
The consumer electronics giant will now need to refund the 20,000 yuan ($2,800) deposit the owner made for the hood, pay 126,000 yuan ($17,640) in compensation, and cover 10,000 yuan ($1,400) in legal fees.
Other Lawsuits Could Follow
While these figures are just a drop in the bucket for a company like Xiaomi, it’ll no doubt be sweating the prospect of future payouts.
The case in question wasn’t a class action and involved just a single owner. It’s likely that following this judgment, other owners who shelled out for the expensive carbon fiber hood will also sue Xiaomi.
When the dispute first came to light, Xiaomi issued an apology, insisting the hood’s purpose was aesthetic rather than functional, meant to mirror the design of the record-setting SU7 Ultra Prototype.
To placate upset customers, it offered 20,000 Xiaomi reward points to each owner who purchased the hood, worth about 2,000 yuan, or roughly $280. Whether that modest gesture will be enough to prevent more legal action remains to be seen.
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