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XIAOMI'S YU7 SUV TARGETS TESLA MODEL Y WITH EXTENDED RANGE IN CHINA

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May 31, 2025

Picture cruising through Beijing in an electric SUV that can travel over 470 miles on a single charge, outdistancing its rivals with ease.

XIAOMI'S YU7 SUV TARGETS TESLA MODEL Y WITH EXTENDED RANGE IN CHINA

That's the allure of Xiaomi's YU7, a new electric vehicle unveiled recently to challenge Tesla's Model Y, China's top-selling EV.

With a starting range of 760 kilometers and a price that undercuts Tesla's bestseller, Xiaomi's latest offering aims to shake up the $4.7 trillion global EV market, particularly in China's fiercely competitive landscape.

Following the success of its SU7 sedan, Xiaomi is now targeting the SUV segment, leveraging its smartphone expertise to deliver a tech-packed vehicle. With features like 800V fast charging and a Nvidia Thor-powered autonomous driving system, the YU7 positions Xiaomi as a formidable player.

imageXIAOMI’S STRATEGIC PUSH INTO EVS

Xiaomi, a global leader in smartphones, entered the EV market with its SU7 sedan, which quickly gained traction against Tesla’s Model 3. The company recently introduced the YU7 SUV, aiming to capture the booming SUV market in China, where such vehicles are increasingly popular.

imageCEO Lei Jun, who sees Xiaomi becoming a top-five global automaker in 15 to 20 years, unveiled the YU7 to directly compete with the Tesla Model Y, leveraging a minimalist social media jab—“Ok”—to signal confidence against Tesla’s January 2025 Model Y facelift.

The YU7’s launch aligns with Xiaomi’s broader technological ambitions, including a $6.9 billion investment in chip development to reduce reliance on foreign suppliers like Qualcomm. With reservations opening in July, the YU7 targets buyers seeking premium features at a lower price, building on Xiaomi’s reputation for value-driven innovation in a market where affordability drives sales.

YU7’S TECHNICAL ADVANTAGES

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