Xiaomi YU7 vs. Tesla Model Y Juniper: A surprising winner on paper!

The Tesla Model Y, the world’s best-selling electric car, has a serious challenger. Chinese tech giant Xiaomi has launched sales of its first electric SUV, the YU7, and this vehicle has literally driven the domestic market wild. We previously informed you about the company’s electric ambitions, whose portfolio has grown from smartphones to almost everything from vacuum cleaners to dishwashers – but now the company is aiming much higher. Let’s take a look at why the YU7 has caused such a stir in China and how it truly surpasses its American rival.

The electric car that unleashed a buying frenzy

Xiaomi announced official prices and launched sales of the YU7 last week and immediately found itself in a situation it was apparently not prepared for. Within just three minutes of pre-orders opening, the system recorded over 200,000 reservations, with 120,000 of them backed by non-refundable deposits. After 18 hours, the number of firm orders climbed to a staggering 240,000 units – a figure that would please even established car manufacturers.

The massive interest caused something we haven’t seen for several years – an extreme extension of delivery times. If you order the base YU7 model today, you must expect a waiting time of 56-59 weeks. That’s not a typo – you’ll wait over a year for your car. The mid-range YU7 Pro variant will arrive slightly earlier, in “just” 50-53 weeks. Paradoxically, the most expensive YU7 Max version will reach customers the fastest, with the manufacturer promising delivery in 37-40 weeks.

Surpass Tesla? The numbers speak for themselves

What’s behind this unprecedented success? First and foremost, it’s a combination of top-notch technical specifications and a surprisingly affordable price. The base YU7 model starts at 253,800 yuan (approximately 746,000 Kč excluding VAT), which is even 10,000 yuan less than the base Tesla Model Y. The premium Pro (279,900 yuan / 823,000 Kč excluding VAT) and Max (329,900 yuan / 970,000 Kč excluding VAT) variants are similarly competitive.

Furthermore, the YU7 is technically ahead in many respects. It’s a spacious SUV with a length of 4,999 mm and a wheelbase of 3,000 mm, offering a range of up to 835 kilometers according to the Chinese CLTC methodology (which corresponds to approximately 670-700 km according to the European WLTP). This is significantly more than the base version of the Tesla Model Y, which offers a range of 500 km. Musk’s car company offers the highest range in the rear-wheel-drive Long Range model, where the WLTP range is 622 km. The top-of-the-line YU7 Max AWD variant boasts a combined output of 508 kW (approximately 680 horsepower) and 866 Nm of torque, which is enough to accelerate from zero to one hundred in just 3.23 seconds – a figure that until recently was reserved only for supercars.

Xiaomi has opted for a modern 800V high-voltage architecture, while Tesla still relies on older 400V technology. As a result, the YU7 handles extremely fast charging – in just 15 minutes, it can “refuel” enough energy for 620 kilometers of driving (again, according to the Chinese methodology). For the top-tier Max variant with a CATL battery, the charging performance is even more impressive – it charges from 10% to 80% in just 12 minutes.

A tech company builds a car. And it shows

Xiaomi is not a traditional car manufacturer, and its tech origins are evident in the YU7’s interior at every turn. The dashboard is dominated by three interconnected Mini LED displays with a total width of 1.1 meters, forming a continuous “HyperVision” surface across the entire width of the cockpit. Here, Xiaomi has leveraged its many years of experience in manufacturing premium TVs and monitors.

The interior aims for maximum comfort – the front “zero gravity” seats can recline up to an angle of 123 degrees and offer a 10-point massage, while the rear seats allow reclining up to 135 degrees and have their own touchscreen for controlling climate and entertainment. Furthermore, the entire car is integrated with Xiaomi’s “Human-Car-Home” ecosystem, allowing seamless integration with smartphones, home appliances, and other devices from the brand.

Who is actually buying a car from a phone manufacturer?

Interesting data was provided by Chinese automotive analyst with the nickname @孙少军09, who specializes in emerging car brands. According to his survey, the typical customer is a young person – up to 55% of buyers are men aged 22 to 35. This is a significantly younger target group than for traditional car manufacturers, suggesting that Xiaomi is successfully appealing to the tech-savvy generation.

Approximately 60-70% of customers are switching from another vehicle, while 5-7% originally considered the Xiaomi SU7 sedan but ultimately preferred the more practical SUV. In terms of popularity of individual variants, the base YU7 model leads with 55% of orders, the mid-range Pro variant is the choice for 25% of customers, and the remaining 20% opted for the top Max version.

Interestingly, Xiaomi customers on average spend an additional 15,000 to 20,000 yuan (approximately 44,000 to 58,000 Kč) on optional equipment and accessories.

Production can’t keep up, Xiaomi to double capacity

The enormous interest in the YU7 naturally raises the question of production capacity. Xiaomi currently operates two plants, designated F1 and F2, whose combined capacity is far from sufficient to meet current demand. The company has therefore already announced that it plans to produce up to 350,000 electric vehicles in 2025, which should at least partially cover the current demand.

To facilitate the financing of its electric vehicles, Xiaomi offers flexible payment plans ranging from 12 to 60 months, with down payments ranging between 15% and 85% of the total vehicle price. This flexibility in payment terms undoubtedly also contributed to the enormous customer interest, especially in combination with the acceptable base price.

Will the YU7 head to Europe? It faces several obstacles

Although Xiaomi initially focused primarily on the Chinese market, according to our information, it is considering launching its electric vehicles on European markets as well. Realistically, however, expansion can only be considered in the second half of 2026 at the earliest, for several reasons.

The most significant reason is the current trade tension between the EU and China. In June this year, the European Union introduced additional 21.3% tariffs on imports of electric vehicles from China, which are added to the standard 10% tariff. For Xiaomi, this would mean that the base price of the YU7 in Europe would have to start at a minimum of 1 million Czech crowns, which would significantly reduce its competitiveness.

Another obstacle is the need to obtain the necessary European homologations and certifications, a process that usually takes 12-18 months. Xiaomi would also have to build an adequate service network and ensure the availability of spare parts, which is a significant task for a newcomer to the automotive industry.

Tesla has reason to worry. At least in China

Looking at the situation objectively, Tesla indeed has reason to worry – at least in the Chinese market. The Xiaomi SU7 (sedan) has already managed to surpass the Model 3 in sales in China within just six months. The YU7 has all the prerequisites to repeat this success against the Model Y, which is a key product for Tesla and accounts for the majority of its sales.

Furthermore, while Tesla has to deal with a number of issues with its controversial boss Elon Musk and his involvement in American politics, Xiaomi can benefit from the immense popularity of its founder Lei Jun, who is considered a visionary similar to Steve Jobs in China.

Several factors play in Tesla’s favor – it still has an edge in battery efficiency (consumption per kilometer driven), a better Supercharger network, and in many ways more advanced software for autonomous driving. However, Xiaomi shows that it can innovate very quickly and catch up on technological shortcomings.

Would you buy an electric car from a phone manufacturer?