Xiaomi's PU7 EV Competes with Tesla in China

Market Positioning and Success

• Xiaomi's PU7 electric SUV targets Tesla's Model Y, a global bestseller.
• PU7 has already achieved over 200,000 units sold since its March 2024 launch.
• Deliveries are set to begin in July 2025.

Product Highlights and Features

• Range: Up to 518 miles, emphasizing range as a key factor for EV buyers.
• Performance: 0-62mph acceleration in just 3.23 seconds.
• Key Features:
  • Nvidia Drive AGX Thor computing platform
  • Active air suspension
  • 800V architecture (peak 897V) enabling:
    • 10-80% fast charging in 12 minutes.
    • Adding 385 miles of range in 15 minutes.
  • Available in three variants.

Strategic Considerations and Impact

• Xiaomi founder Lei Jun highlights range as a top priority for EV buyers, positioning PU7 as a direct competitor to Tesla's Model Y.
• Pricing will be revealed closer to the July 2025 launch, critical for market success.
• The PU7's superior range and performance could challenge Tesla's dominance in China, a key growth market for EVs.

Market Implications

• The launch underscores the intensifying competition in China's EV market, driven by advancements in battery technology and charging infrastructure.
• Xiaomi's success with the PU7 could influence long-term market dynamics, potentially altering consumer preferences and competitive strategies in the EV sector.
• The move highlights China's growing influence as a global leader in electric vehicle innovation and production.