BEIJING — Xiaomi has made significant strides in the electric car market, overtaking Tesla in China during January. The Xiaomi YU7 SUV emerged as the best-seller in the country, with sales reaching 37,869 units, far exceeding Tesla's 16,845 Model Y vehicles according to the China Passenger Car Association.
The Model Y, which held the top spot in December, dropped to 20th place as January sales figures were released. Within the category of new energy vehicles, it saw a decline from the first to the seventh position over the same period.
The reported data, encompassing both electric and gasoline-powered vehicles, was published late Thursday by the online car sales platform Autohome.
Having launched the YU7, its second electric car model, about six months ago in the summer of 2025, Xiaomi is no stranger to competition. Known largely for its smartphone business, the company has been transparent about its aspirations to challenge Tesla. Xiaomi introduced the YU7 at a starting price 10,000 yuan ($1,450) less than the Model Y in China, asserting that it surpasses Tesla on crucial metrics such as driving range per single battery charge.