Xiaomi SU7 Sedan Launched with 902 km Range, Undercuts Tesla

Xiaomi launched its next-generation SU7 electric sedan on March 19, 2026, featuring a class-leading 902 km CLTC range, standard LiDAR across all trims, and up to 897V charging architecture on the top configuration. Priced from 229,900 yuan (approximately $33,000), the updated SU7 undercuts the TSLA Model 3 in China by roughly $800 despite a 10-14,000 yuan price increase over the previous model — a reflection of the feature upgrades packed into the new version.

The SU7 has been a breakout success for Xiaomi's automotive division. The company accumulated over 360,000 deliveries in approximately 21 months since the original launch, and the next-generation model attracted 100,000 reservations within 15 days of pre-order availability. The 96.3-kWh battery pack on the Pro model and 700 TOPS of compute power standard across all trims position the SU7 as a formidable competitor in China's premium EV segment, where Xiaomi has already outsold the Tesla Model 3 on a monthly basis.

For Tesla, the Xiaomi SU7 represents the intensifying competitive pressure in its largest international market. Chinese automakers are leveraging aggressive pricing, rapid iteration cycles, and feature advantages — particularly in autonomous driving hardware — to capture market share from established EV players. Investors should watch whether Xiaomi's smartphone brand loyalty translates into sustained automotive demand and whether the company can maintain margins while offering significantly more technology at a lower price point than Tesla.