Xiaomi, the Chinese electronics giant, has confirmed plans to launch its first-ever sport utility vehicle (SUV), the YU7, in mid-2025. The company made the announcement on December 9, revealing that the YU7 is expected to hit the market in June or July next year, marking a significant step into China’s competitive automotive sector.
The news was shared via a post on the popular Chinese social media platform Weibo, where Xiaomi also released an image of the YU7 parked alongside its first electric vehicle (EV), the SU7 sedan. The two vehicles share a similar design, hinting at Xiaomi’s unified approach to both their SUV and sedan lines.
The YU7 will be a fully electric SUV, and according to data from China’s Ministry of Industry and Information Technology, the vehicle will be capable of reaching a top speed of 253 km/h. The SUV will be powered by batteries from CATL, a leading Chinese company that manufactures electric vehicle batteries.
Xiaomi’s CEO, Lei Jun, took to his own Weibo account to explain the decision to release key specifications ahead of the vehicle’s official launch. He said the information was made public early to allow for “more comprehensive and extensive large-scale testing” over a prolonged period. This strategy reflects Xiaomi’s commitment to ensuring the YU7 performs well and meets consumer expectations once it hits the roads.
Xiaomi’s push into the car market comes at a time when the company is seeing growing demand for its electric vehicles. In November, Xiaomi raised its delivery target for 2024 to 130,000 units, marking its third increase in the forecasted number of cars to be delivered next year. This move highlights the company’s ambition to establish a strong presence in the rapidly growing EV market in China.
The YU7 will be following in the footsteps of Xiaomi’s previous launches, including the SU7, which the company unveiled in October. This luxury sedan is aimed at competing with high-end models like Tesla’s Model S Plaid, with Xiaomi even boasting about its impressive performance, including a record lap time at the Nürburgring, the famed race track in Germany.
Xiaomi’s foray into the auto industry is part of a wider strategy to diversify its business and tap into the booming electric vehicle market in China. The company is riding on the tailwind of a sharp recovery in car sales, which have seen their fastest growth since January, driven in part by government subsidies for auto trade-ins.
Xiaomi has also reported strong results for the third quarter of 2024, with a 30.5% increase in revenue, surpassing analysts’ expectations. As the company expands into the electric vehicle space, the YU7 is likely to play a key role in Xiaomi’s efforts to establish itself as a major player in the global automotive market, alongside its well-established consumer electronics business.