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Xiaomi lifts handset prices as memory chip crunch ripples through supply chain

Price rises of nearly US$30 reflect surging memory costs, with analysts pointing to AI-driven demand and tight supply across the chip sector.

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Xiaomi said on Friday that prices for three of its models would rise by about US$29. Photo: Getty Images
Wency Chenin Shanghai

Xiaomi has raised prices on several smartphone models, joining a broader wave of increases across China’s handset makers as surging memory chip costs ripple through the global consumer electronics supply chain.

The company said on Friday that prices for three models would rise by about 200 yuan (US$29), with the adjustments taking effect next Saturday. The move follows similar increases by domestic peers including Oppo, Vivo and Honor in March.

Xiaomi attributed the hike to “continued sharp increases in the prices of key components such as memory chips”.

“This round of price increases has far exceeded expectations,” Lu Weibing, president of Xiaomi’s smartphone business, said in a Weibo post on Friday, adding that memory prices for comparable configurations had surged nearly fourfold from a year earlier.

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