Xiaomi’s momentum on EVs does not appear to be slowing down. For the month of October 2025, the tech giant’s own sales in China have officially overtaken Tesla, marking a significant milestone amidst this fast-evolving new auto landscape in the country.
Chinese smartphone maker Xiaomi sold a record 48,654 electric vehicles last month, according to the China Passenger Car Association (CPCA). That brings the automaker’s year-to-date sales through October to 315,376 units, as it clips along above the 40,000 mark for a second month in a row. With two months to go in the year, Xiaomi is now not far away from its lofty goal of producing 350,000 vehicles annually.
The YU7 SUV: One of Xiaomi’s Game Changers
The Xiaomi YU7 is taking the market by storm and has become an instant consumer favourite. October deliveries for the YU7 came in at 33,662, a massive increase of 50% compared to September deliveries, and the model made up almost 70% of all Xiaomi EV sales.
More admirably, the YU7 has overtaken Tesla’s Model Y in China’s home market (in which it sold 26,000 units in the same period). Industry analysts say the factor that has made the YU7 so incredibly popular among young and smart buyers is its mix of innovative features, fashion design, plus Xiaomi’s recognizable tech ecosystem.
Since entering the market in July 2025, up to now, YU7 orders have reached over 80000 sets, and the lead time has reached 38 weeks, in line with the demand.
Tesla’s Struggles Highlight Market Shift
And for all the speed of Xiaomi’s ascent, sales at Tesla have sunk to a three-year low in China. Despite several rounds of price cuts and partial updates, demand for the American automaker’s vehicles has weakened with stronger competition from local rivals and dwindling government subsidies.
Even the industry leader, BYD, slowed down in its sales with a 12% year-over-year decline in October. Yet, Xiaomi has adeptly continued its market momentum by sitting at the nexus of performance, cost, and innovation.
Market analysts see Xiaomi’s success as symptomatic of a larger trend — in which innovation and pragmatism have outpaced legacy and pedigrees in China’s race to dominate the EV space.
Balancing Growth and Production Challenges
Xiaomi’s EV portfolio is not all progressing at the same pace. About the SU7 Sedan series, comprised of the new vehicle model SU7 and the SUV class luxury car Motion, nearly 15 thousand units were sold in October (over 23% lower than September). But the insiders tell us this dip is part of production cutbacks while Xiaomi reassigns manufacturing to keep up with YU7 demand, which has gone through the roof.
Yet despite those headwinds, the SU7 range crossed over 230,000 cumulative sales since it was launched back in April 2024 — an impressive result for a car that proved to have been instrumental in establishing Xiaomi’s automotive bona fides.
Xiaomi’s Vision for the Future
Behind the scenes, Xiaomi has built up a special team to handle next-gen EV technology , and this is personally run by founder Lei Jun. Intelligent vehicle design and battery efficiency are the two areas that this division will be focusing on, which are also in line with Xiaomi’s overall goal of becoming a global innovative mobility company.
While Xiaomi up-tunes its production line and extends its models’ lineup, as long as it can outsell Tesla itself, it demonstrates an enormous accomplishment – not just for the company but for China’s own green EV industry.
With the YU7 raising the bar for consumers and edging ever closer to its annual target, Xiaomi has solidified itself as a force in rewriting electric mobility’s global story.
For more information about Xiaomi YU7, visit their official website.
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Hey, I’m Badal! I’m super passionate about cars—especially electric ones. Whether it’s EVs, electric trucks, bikes, or anything with a battery and wheels, I’m all in. I love writing blogs and articles that break things down for fellow enthusiasts and curious readers alike. Hope you enjoy the ride as much as I do! Enjoyed reading? You can buy me a coffee on PayPal ☕ → paypal.me/BadalBanjare
