Xiaomi Auto’s new YU7 GT sparks a secondary market for “order transfers” as dealers game deposit refunds

Surge in demand — and a gray market

Xiaomi Auto (小米汽车) launched the YU7 GT on May 21 with an official starting price of ¥389,900 (38.99 万元). Pre‑launch and weekend test‑drive slots reportedly filled fast. It has been reported that, almost immediately after the model went on sale, dozens of posts appeared on second‑hand platforms offering “order transfers” (转单), with sellers advertising “official channel, supports transfer” and “¥5,000 cashback on purchase.”

How can buyers pay less for a brand‑new car straight from the channel? Dealers and scalpers say they are exploiting what they call a “废单激活” (dead‑order activation) route. It has been reported that the practical flow works like this: a merchant uses a spare or cancelled account to place an order in the Xiaomi Auto app; after the car is delivered under that account the platform refunds the original deposit (typically ¥20,000) back to the account holder; the intermediary then gives ¥5,000 of that refunded deposit to the actual new buyer, who therefore only needs to front an effective ¥15,000 deposit.

Conflicting explanations and consumer risk

Sales staff at Xiaomi Auto stores reportedly confirmed the existence of such a mechanism in practice — “Xiaomi has this kind of policy,” one salesperson said — but made clear the company does not police off‑platform transactions: “If you decide to place an order I will help you check whether the seller really has a dead order, to avoid scammers.” Xiaomi Auto’s official customer service, however, has stated that “废单激活” is not an official corporate policy and that the company provides no protection or liability for private transfers arranged outside its channels. It has been reported that many of the “dead orders” being circulated come either from original buyers who changed plans or from scalpers (黄牛) who hoarded early quotas and now seek to sell them when market heat cools.

Why this matters beyond a single model

For Western readers unfamiliar with China’s auto market: pre‑orders and refundable deposits are common for hot new EV launches and often lead to secondary markets when supply is tight. Is this simply another instance of scalpers capitalizing on demand? Yes — and it also exposes consumer‑protection gaps in app‑driven order systems. Chinese tech firms including Xiaomi (小米) have rushed into electric vehicles as part of wider diversification, even as they navigate global supply‑chain pressures and export‑control frictions. That strategic pivot raises fresh operational challenges at home, where high interest in a new model can outpace official processes and invite off‑platform workarounds.

Buyers should be cautious. Private “order transfers” may shave down upfront cost, but they come with legal and warranty risks that the manufacturer disclaims. Who ultimately bears the loss if something goes wrong? The consumer.