Extremely strong initial orders for Xiaomi’s YU7 sports service vehicle sent shares to the automotive income to a high record on Friday and the fined speculations that Tesla may have to lower prices to fight again.
In the first 18 hours after YU7 went on sale, Xiaomi received about 240,000 orders he considers closed, with buyers who had paid or a heavy deposit for cars ready to send or a smaller deposit for cars still made.
The smartphone and equipment manufacturer made a large spray on China’s electric vehicle market with its first vehicle, Sedan SU7, in March last year. The car has exceeded Tesla Model 3 in China on a monthly basis since December and even earned a wild compilation from Ford Jim Farley’s CEO.
YU7 is only its second and priced model from 253,500 Juan (35,360 dollars), it underestimates Tesla’s model of nearly 4%. This is likely to lead to more market losses for the American motorist, analysts said.
In an exhibition hall of Xiaomi car in Beijing, dozens of people gathered around YU7.
Otto Shi, a 26-year-old owner Tesla Model Y who works in finance, said he was thinking of getting a YU7 for his father currently running a Mercedes-Benz.
“We could get the curves to drive the Y and YU7 model,” he said, adding that he was impressed by Xiaomi’s ability in the supply chains and the SU7 success had made him believe that Xiaomi is the ideal Chinese brand to pass.
Xiaomi shares fired 8% higher in early trade at a high time, but later predefined profits to close 3.6%. They have grown by more than 70% so far this year to evaluate the company with about $ 190 billion, making it the best shares with large hats in Asia Pacific, according to LSEG data.
Can what Tesla can do?
While internal rivals are increasingly acquired against Chinese consumers with new Snazzy features, the Tesla portion in the Chinese market EV has fallen from a 15% to 2020 to 10% last year and then again to 7.6% for the first five months of 2025.
Citi analysts said in a note to clients that he may have to lower prices further, provide his own self-driving aid software (FSD) for free and provide more funding incentives if he will compete successfully with Xiaomi.
Tesla, which counts China as its largest market according to the first quarter sales numbers, did not respond immediately to a comment request. Last year, China constituted approximately one fifth of its income.
While Xiaomi Director General Lei Jun admitted that Tesla’s aid software was superior, he sought a series of other features, where he said YU7 exceeded model Y.
The YU7 base model is equipped with a 96.3 kWh battery pack, offering a moving range of up to 835 km (519 miles) with a single load and supporting high -power fast charging.
This is compared to a maximum range of 719 km for the Ridizajnated Tesla Y model, which uses a smaller battery 78.4 kWh.
Its defenders have a storage drawer under them and the aid software for the YU7 driver does not come free of charge while Tesla loads 64,000 yuan for her smart steering software, he added.
On Thursday evening, Xiaomi said he had received 289,000 orders for YU7 in the first hour after he went on sale, more than three times more than his SU7 level when he started.
Lei has said, however, that some of the orders are likely to be decided by the scalp. On the second -hand Chinese platform Xianyu, there were hundreds of people on Friday seeking to sell their position in order to others.
Aiming to facilitate such an escalation, Xiaomi is now limiting each customer to buying two cars at most.
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Image Source : nypost.com