Xiaomi Launches Tesla Model Y Rival, Breaks Pre-Order Records

Image: Xiaomi
Xiaomi on Thursday officially launched its second electric vehicle — the all-new YU7 SUV — in China, and it’s already making waves in the EV world.
The YU7 is positioned as a high-performance luxury electric SUV, a direct rival to Tesla’s Model Y. It undercuts its American competitor on price, starting at 253,500 yuan (roughly $35,320 USD) — about $1,400 less than the base Model Y in China. Within just three minutes of the launch, Xiaomi received a staggering 200,000 pre-orders for the YU7, smashing all previous car launch records in China.
While these numbers are just for pre-orders and may not directly translate to final sales, the 2025 Model Y, in comparison, took almost three months to rack up 200,000 orders.
Available in multiple trims, the YU7 tops out at around $46,000 USD and comes packed with high-end features rarely seen in this price segment. The interior boasts a massive 16.1-inch center touchscreen, a panoramic dashboard display, and Nappa leather zero-gravity front seats with 10-point massaging functionality. Rear passengers aren’t left out either, with power-adjustable reclining seats, dual rear screens, and soft-touch materials throughout.

Image: Xiaomi
Performance-wise, the YU7 doesn’t hold back. With up to 681 horsepower, it can go from 0–100 km/h (0–62 mph) in just 3.2 seconds, and its largest 101.7 kWh battery pack delivers up to 770 km (478 miles) of CLTC range. Xiaomi also claims ultra-fast charging speeds, capable of going from 10% to 80% in as little as 12 minutes.
Built on a dual-motor AWD platform, the YU7 features an advanced suspension setup — double wishbone front and five-link rear with air springs — for a smooth, responsive ride. Tech-wise, it comes equipped with a roof-mounted LiDAR sensor, 11 HD cameras, 12 ultrasonic radars, and a 4D millimeter-wave radar, enabling a robust suite of autonomous driving features.
With a sleek 0.245 drag coefficient, panoramic glass roof, and Model X-matching 196-inch length, the Xiaomi YU7 is more than just a Model Y challenger — it’s a statement.
This is Xiaomi’s second foray into the EV space, the first being the SU7 sedan that launched last year. While the Chinese smartphone maker saw strong demand for its first EV on home turf, the Model Y took the crown of China’s best-selling EV for 2024.
Tesla’s Model Y remains dominant in China’s EV market, but competition is clearly intensifying with the arrival of the YU7 and compelling offerings from other domestic incumbents.
Xiaomi is definitely an up and comer to take seriously. Then again, so are a lot of Chinese EVs. That said, the biggest worry should be to legacy automakers, they are going to be totally annihilated in the next few years, they have nothing that even comes close to being able to compete. Tesla will be fine, they are the best of the rest ha! The choice will soon be: Chinese or Tesla vehicles, no government subsidies will be enough to save the ICE auto industry, and their EV offerings just aren't compelling enough to make much of a difference. So many articles like to focus on "Tesla killers" and how the Chinese are coming after Tesla. 1) The Model Y is the best selling vehicle in China, followed by the Model 3 being the second best. China loves Teslas! 2) As mentioned above, it isn't Tesla that is being disrupted, it is ALL the legacy car makers, even the hallowed Toyota brand is getting a drubbing because the entire industry is moving to EVs (or trying to) while Toyota's best efforts in that direction are PHEVs which are now also in decline as they are the worst of both worlds, ICE and BEV. It is really interesting that the legacy media chooses not to report on this. Why? VW is in the same boat, sales down dramatically with no sign of a halt or a reversal. GM, Ford….goodbye!