Xiaomi launches YU7, undercutting Tesla's Model Y on price
BEIJING: Chinese EV and smartphone maker Xiaomi on Thursday priced its new electric YU7 SUV from 253,500 yuan ($35,364), almost 4% below Tesla's Model Y, stepping up the challenge to the U.S. firm in the world's largest auto market.
The YU7's base model costs 10,000 yuan less than the starting price of Tesla's Model Y in China, with the more premium models YU7 Pro and YU7 Max priced at 279,900 and 329,900 yuan respectively.
Xiaomi started taking orders for all three models on Thursday night, with orders hitting 200,000 in 3 minutes after the sale started at 10 p.m. (1400 GMT)
The Model Y, which was China's best-selling SUV in May, starts at 263,500 yuan in China.
Xiaomi said it will partner with BYD, GAC Toyota and Zhengzhou Nissan to build an ecosystem connecting humans, homes and cars.
EV hopes hit by China rare earths curbs
Xiaomi's CEO and founder Lei Jun has said he wants the YU7 to challenge the Model Y and analysts say it has the potential to succeed. Other rivals include Zeekr's 7X and Li Auto's L6.
'The YU7 will serve as an early test of whether Xiaomi can broaden its appeal beyond early adopters and tech enthusiasts to become a serious player in the mass-market EV segment,' said Rosalie Chen, senior analyst at Third Bridge.
The YU7 has a driving range of up to 835 km (519 miles) per charge, compared with up to 719 km for the redesigned Model Y that was launched in January.
The YU7 is Xiaomi's second car since the Beijing-based firm entered the auto sector last year with its sporty electric SU7 sedan, which drew styling cues from Porsche and was priced below Tesla's Model 3. Since December, the SU7 has outsold Tesla's Model 3 in China on a monthly basis.
The SU7's success expedites the company's EV bid despite intense competition in China's auto market.
In March, Xiaomi raised its target for EV deliveries this year to 350,000 from earlier guidance of 300,000.
The company has secured a plot of land in Beijing close to its existing car factory for 635 million yuan ($88 million), which it plans to use for a smart connected car and components project.
Lei said in June that he expected Xiaomi's auto business to become profitable in the second half of the year.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Express Tribune
2 hours ago
- Express Tribune
China expands compensation for flood-hit communities
A drone view shows buildings and roads are half submerged in floodwaters after heavy rainfalls, in Rongjiang county, Guizhou province, China June 24, 2025. China Daily via REUTERS/File Photo China has expanded the economic safeguards for segments of its population affected by flood control schemes in times of extreme rainfall, including pledges of direct compensation from the central government and payments for livestock losses. In China, diverting flood-waters to areas next to rivers is a major step in managing downstream flooding. As extreme rainfall grows in frequency, China is increasingly utilising such areas, some of which have been unused until now and have been populated by farms, croplands and even residential buildings, stoking social tensions. According to revised rules on compensation related to flood diversions released late on Friday, the central government will now bear 70% of all compensation funds, with local governments responsible for the rest. Previously, the ratio was to be decided based on actual economic losses and the fiscal situation of local governments. Livestock and poultry that cannot be relocated in time before the arrival of diverted flood-waters will also be included in the compensation scheme for the first time. Previously, only the loss of working animals could be claimed for compensation. Read: Cyclone threat looms as southern China battles widespread flooding In the summer of 2023, almost 1 million people in Hebei, a province on the doorstep of Beijing, were relocated after record rain forced authorities to divert water from swollen rivers to some populated areas for storage, triggering anger over the homes and farms sacrificed to save the Chinese capital. China currently has 98 designated flood diversion areas spanning major river basins including the Yangtze River basin, home to a third of the country's population. During the 2023 Hebei floods, eight flood storage areas were used. Since the start of the East Asia monsoon in early June, precipitation in the middle and lower reaches of the Yangtze has been up to two times higher than usual, officials from the China Meterological Administration told reporters on Friday. In other parts of China, daily rainfall measured by 30 meteorological stations in provinces such as Hubei and Guizhou broke records for the month of June, they said. Guizhou was the focal point of China's flood alleviation efforts this week, with one of its cities hit by flooding on a scale that meteorologists said could only happen once in 50 years, and at a speed that shocked its 300,000 residents. That prompted Beijing to issue pledges on Thursday to move vulnerable populations and industries to low-flood areas and allocate more space for flood diversion.
Business Recorder
11 hours ago
- Business Recorder
Iranian oil imports to China hit record high in June
SINGAPORE: China's Iranian oil imports surged in June as shipments accelerated before the recent conflict in the region and demand from independent refineries improved, analysts said. The world's top oil importer and biggest buyer of Iranian crude brought in more than 1.8 million barrels per day (bpd) from June 1-20, according to ship-tracker Vortexa, a record high based on the firm's data. Kpler's data put the month-to-date average of China's Iranian oil and condensate imports at 1.46 million bpd as of June 27, up from one million bpd in May. The rising imports are fuelled in part by the accelerated discharge of high volumes of Iranian oil on the water after export loadings from Iran reached a multi-year high of 1.83 million bpd in May, Kpler data showed. It typically takes at least one month for Iranian oil to reach Chinese ports. Robust loadings in May and early June mean China's Iran imports are poised to remain elevated, Kpler and Vortexa analysts said. Independent Chinese 'teapot' refineries, the main buyers of Iranian oil, also showed strong demand for the discount barrels as their stockpiles depleted, said Xu Muyu, Kpler's senior analyst. A possible relaxing of US President Donald Trump's policy on Iranian oil sanctions could further bolster Chinese buying, she added.
Business Recorder
21 hours ago
- Business Recorder
Wall Street back at records, erasing losses from Trump tariff blitz
NEW YORK: Major US stock indices soared back into record territory Friday, rebounding from a market rout triggered by President Donald Trump's sweeping tariffs. The gains, which came as US and Chinese representatives confirmed progress towards a trade deal, restored both the broad-based S&P 500 and the tech-centered Nasdaq back into their heights from before Trump's 'Liberation Day' tariff announcements set off a wave of volatility in early April. Near 1505 GMT, the S&P 500 stood at 6,175.23, up 0.6 percent, an intraday record. The Nasdaq Composite Index climbed 0.5 percent to 20,266.10, also an intraday record, while the Dow Jones Industrial average gained 0.9 percent to 43,761.31. On Friday, China confirmed details of a framework agreement with the United States, saying Washington would lift 'restrictive measures' while Beijing would 'review and approve' items under export controls. The announcement follows earlier rounds of negotiations between the two sides in Geneva and London. Beijing had emerged as the White House's biggest target following Trump's early April announcement, which initially set Washington on course to radically scale back global trade. Trump has since suspended the most onerous elements of his trade overhaul, while still implementing the biggest US tariffs imposed in decades. US stocks rise after good Micron results Those tariffs have focused attention on the risk that US inflation could pick up again. The personal consumption expenditures price index climbed 2.3 percent last month from a year ago, according to data released Friday. This was in line with analyst expectations and a slight acceleration from April's 2.2 percent increase. Federal Reserve Chairman Jerome Powell has said the central bank can afford to monitor inflation before changing monetary policy, rebuffing Trump who has insistently called for interest rate cuts. Friday's inflation data 'was confusing, but it wasn't terrible,' said Kim Forrest of Bokeh Capital Partners, adding that the uptick in inflation will probably keep the Fed on its current course for now. 'I think the markets would like to see a cut, but they're happy with things the way they are,' Forrest said. Among the 11 sectors in the S&P 500, only energy was in the red early Friday, with the biggest gains coming in industrials, consumer discretionary and real estate. Nike was the biggest winner in the Dow, piling on more than 15 percent after reporting a big drop in earnings. But executives confirmed that the company had gotten through its roughest quarter following a rough patch in which it misread consumer appetite.
