Xiaomi to reveal electric SUV YU7 pricing at June 26 launch

Xiaomi CEO Lei Jun announced that the company will reveal pricing for its new electric SUV, the YU7, at a launch event on June 26.

This event will also allow customers to place orders for the vehicle.

Lei made the announcement on his Weibo account.

Specifications for the YU7, Xiaomi’s second electric vehicle, were shared in May.

🔗 Source: Reuters

🧠 Food for thought

1️⃣ Xiaomi’s strategic diversification shows tech giants’ growing automotive ambitions

Xiaomi’s YU7 launch represents the company’s second electric vehicle after entering the automotive sector with a massive $10 billion investment announced in March 20211.

The company has methodically expanded beyond its smartphone roots over 15 years, first with software (MIUI), then various hardware products including electric scooters and bicycles, before making the leap to full-scale automobile manufacturing1 2.

This evolution mirrors Lei Jun’s business philosophy, demonstrated during Xiaomi’s 2017 turnaround when he emphasized that winning in China was essential before global expansion – a strategy likely guiding their EV approach as well3.

The YU7 launch builds on the momentum of Xiaomi’s first EV, the SU7, which entered the global top ten bestselling electric vehicles with 75,921 deliveries in Q1 2025 despite being a newcomer to the automotive industry4.

Xiaomi’s expansion into EVs demonstrates how technology companies are leveraging their engineering expertise, supply chain relationships, and brand loyalty to challenge traditional automakers in the rapidly evolving electric vehicle market.

2️⃣ Electric SUVs emerge as the battleground segment in the EV market

The global electric SUV market is projected to grow from $978.44 billion in 2025 to nearly $12 trillion by 2034, representing a compound annual growth rate of 32.06%5.

Xiaomi’s choice to launch the YU7 SUV targets the most strategically important segment in the EV transition, as consumers increasingly favor SUVs for their versatility and practicality5.

Battery-electric vehicle sales grew by 37.8% year-on-year in Q1 2025 to 2.74 million units globally, with SUVs and crossovers capturing an increasingly dominant share of these purchases4.