Chinese tech giant Xiaomi is accelerating its expansion into the competitive electric vehicle (EV) market with the announcement of its first SUV, the YU7, expected to debut in June or July 2024. The news was shared on Chinese social media platform Weibo alongside a teaser image showing the YU7 parked next to Xiaomi’s SU7 electric sedan, highlighting their shared design elements.
According to China’s Ministry of Industry and Information Technology, the YU7 is a fully electric SUV with a top speed of 253 km/h (157 mph). It will feature batteries supplied by CATL, a leading Chinese battery manufacturer. Xiaomi CEO Lei Jun emphasised that key specifications were revealed early to allow for extensive testing ahead of its launch.
Xiaomi’s entry into the EV market began in March with the SU7 sedan, which drew attention for its Porsche-like design and starting price under $30,000. The company later introduced a luxury version of the SU7 in October, priced to compete with Tesla’s Model S Plaid. This model showcased its capabilities with a record lap at Germany’s Nurburgring track.
To meet rising demand, Xiaomi has raised its EV delivery target for 2023 to 130,000 units, marking its third increase this year. The company also reported a 30.5% revenue jump in the third quarter, exceeding expectations.
The move comes as China’s car market sees its fastest sales growth since January, buoyed by government-subsidised trade-ins, positioning Xiaomi for significant growth in the evolving EV landscape.
