Xiaomi YU7 SUV hits 240k pre-orders in under a day

Xiaomi’s YU7 SUV has attracted strong interest in China, with 240,000 pre-orders made in less than a day.

The company said 200,000 bookings were placed within the first three minutes after reservations opened at 10 PM on June 27.

Priced between 253,500 yuan (US$35,342) and 329,900 yuan (US$45,994), the YU7 requires a non-refundable deposit of 5,000 yuan (US$697,1).

The base model offers a range of 835 kilometers, a preliminary self-driving system, and a large multimedia screen.

Due to high demand, Xiaomi moved the official sales date to the end of June and will begin deliveries next week.

Analysts believe the YU7 could rival Tesla’s Model Y, China’s top-selling SUV last year. Xiaomi’s first EV, the SU7, has already surpassed Tesla’s Model 3 in sales.

🔗 Source: South China Morning Post

🧠 Food for thought

1️⃣ Unprecedented demand signals a consumer preference shift in China’s EV market

Xiaomi’s 200,000 orders in three minutes represents a significant shift in China’s EV marketplace, where 10,000 monthly sales for a model is typically considered successful 1.

The YU7’s order volume is particularly striking when compared to the broader market context. China accounts for 54% of global EV sales, which reached 1.1 million units in the first half of 2019 2.

This consumer response suggests Chinese buyers are increasingly favoring domestic tech brands with EV offerings over traditional automakers. Xiaomi’s SU7 sedan outselling Tesla’s Model 3 (28,000 vs 8,747 units in April) further highlights this trend [original article].

The scale of interest also demonstrates how smartphone manufacturers can successfully leverage their existing brand loyalty and technological reputation when entering automotive markets.

2️⃣ Spec-for-spec competition strategy putting pressure on Tesla’s market position

Xiaomi’s YU7 directly challenges Tesla’s Model Y with strategic pricing at RMB 253,500 ($35,360), precisely 4% below Tesla’s entry price of RMB 263,500 1.

Beyond price, Xiaomi has prioritized outperforming Tesla on key specifications that matter to consumers, most notably range (835km vs Tesla’s 593km) and interior space (4,999mm length vs Model Y’s smaller dimensions) 3, 4.