Xiaomi has made a powerful entry into the electric SUV market with its newly launched YU7, receiving an overwhelming response from customers in China. The company announced that it had secured nearly 2.89 lakh orders within just one hour of opening bookings on 26 June 2025.
Positioned as a direct rival to Tesla’s Model Y, the Xiaomi YU7 is priced at approximately 2,53,000 yuan (around USD 35,000), making it a more affordable option with strong specifications. The vehicle is offered in both single and dual motor variants, with a top version providing a claimed range of up to 830 kilometres on a single charge.
The rapid demand caused Xiaomi’s shares to surge by over 8 percent, reflecting strong investor confidence in the company’s automotive ambitions. CEO Lei Jun described the response as a “miracle in China’s automotive industry”.
Xiaomi began its journey in the electric vehicle space earlier this year with the launch of its SU7 sedan, which has already made a significant impact by outselling Tesla’s Model 3 in the Chinese market.
With the YU7 SUV now gaining traction at an impressive pace, Xiaomi is emerging as a serious contender in the global electric vehicle landscape. Deliveries of the YU7 are expected to begin later this year.
