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Reading: Tesla’s China sales will come under increasing pressure in the second half of the year.
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The Future Automobile > Electric Cars > Tesla’s China sales will come under increasing pressure in the second half of the year.
Electric Cars

Tesla’s China sales will come under increasing pressure in the second half of the year.

17 hours ago 7 Min Read
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Tesla China sales will get under more pressure in H2
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Xiaomi unveiled its second foray into the automotive industry, the SUV YU7, aimed at competing directly with the popular Tesla Model Y. Today’s formal unveiling of many specifications and options allows for a comprehensive evaluation against the US automaker’s SUV.

Tesla’s stronghold in China is Mannequin Y. In the final year, Tesla acquired 480,309 units of Model Y in China, representing a substantial 74.6% of its overall sales volume in the region. Despite intense competition from numerous Chinese electric vehicle manufacturers, such as the Xpeng G6, Deepblue S7, Zeekr 7X, and Onvo L60, the mid-size SUV still managed to achieve a decent level of promotion.

It wasn’t a straightforward ride for Mannequin Y, as the 5.2% year-over-year improvement in 2024 paled in comparison to the significant strides made in previous years: 44.7% growth in 2023 and a remarkable 85.6% surge in 2022. Despite the circumstances, it was surprisingly resilient and managed to hold up well.

Despite the January facelift’s limited updates, which primarily focused on exterior design, it failed to impress many enthusiasts, who were disappointed by the lack of 800V charging technology. Following the overhaul of the Shanghai production site, Mannequin Y’s revenue plummeted by 19.6% from January to April 2025, as the facility’s new capabilities and processes had a significant impact on sales figures. As Tesla expected, its updated model’s gross sales would likely accelerate in the second half of the year, but Xiaomi CEO Lei Jun seems to disagree.

At this year’s product launch event, Xiaomi CEO Lei Jun made no secret of his company’s plans to rival Tesla. Unlike its predecessor, the Yu7 boldly outshines the Mannequin Y by boasting a plethora of features where it excels, confidently proclaiming itself as an even more potent competitor.

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Xiaomi YU7 inside. Credit score: Xiaomi
Xiaomi YU7

The varying and charging velocity of one detail were crucial to its overall performance. Claiming an 800V platform enables YU7 to extend its range by a whopping 620km with just a quarter-hour of charging? Compared to Mannequin Y, which requires 27 minutes to recharge from 10% to 80% state of charge (SoC), the Xiaomi CEO noted.

The Xiaomi Yu7 is offered in three variants: Normal, Professional, and Max, mirroring the trim levels of its SUV counterpart, the Sedan.

We compared the specs of the YU7 Normal (RWD) with its competitor, Model Y RWD, in the first table. In a separate table, we contrasted the YU7 Professional (AWD) with its counterpart, Model Y Long Range (AWD). We’ve also introduced the YU7 Max to our lineup, boasting a formidable 508 kW power output that puts it in direct competition with the Model Y Performance, despite the latter not being available in China. Tesla offers exclusively a 5-seat variant of the Model Y in China, with whispers suggesting that a 7-seat version may debut as early as next year.

Compared to Model Y’s 593-kilometer range within its entry-level trim, the YU7 boasts a substantially longer 830-kilometer range. Due to its more substantial battery, the YU7 boasts a larger capacity at 96.3 kWh, whereas the Mannequin Y’s battery holds 62.2 kWh. Standing at approximately 5 metres in length, YU7 measures 202mm longer than its American SUV counterpart. Alternatively, Mannequin Y weighs in at 394 kilograms less than its counterpart, YU7. The YU7 boasts a spacious frunk with a generous capacity of 141 litres. The acceleration remains unchanged at a rapid 5.9 seconds to reach 100 km/h from a standstill.

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YU7 Normal RWD Mannequin Y RWD
Vary (CLTC) 593 km
Battery 62.5 kWh
Battery sort LFP LFP
Battery model BYD CATL
Charging platform 400 V
Motor 220 kW
Acceleration (0-100 km/h) 5.9 sec 5.9 sec
High velocity 201 km/h
Measurement (L/W/H) 4999/1996/1608 mm 4797/1920/1624 mm
Wheelbase 3000 mm 2890 mm
Curb weight 2315 kg
Seats 5-door 5-seater Drag coefficient
Frunk 116 L
Drag cooficient 0.245 Cd
ADAS chip Nvidia AGX Thor, 700 TOPS
Value N/A 263,500 yuan
Value USD N/A 36,590 USD

The upper trim of the YU7 Professional distinguishes itself from the Mannequin Y Longer by boasting superior specifications across several categories, with the exception of drag coefficient, curb weight, and processing power.

YU7 Professional AWD YU7 Max AWD Mannequin Y Lengthy Vary AWD
Vary (CLTC) 760 km 719 km
Battery 101.7 kWh 78.4 kWh
Battery sort LFP NMC LFP
Battery model BYD CATL LG
Charging platform 800 V 400 V
Motor max output 508 kW 331 kW
Entrance + Rear Motor 130 +235 kW 220 + 288 kW 137 + 194 kW
Acceleration (0-100 km/h) 4.27 sec 3.23 sec 4.3 sec
High velocity 253 km/h 201 km/h
Measurement (L/W/H) 4999/1996/1608 mm 4999/1996/1608 mm 4797/1920/1624 mm
Wheelbase 3000 mm 3000 mm 2890 mm
Curb weight 2425 kg 2425 kg
Seats 5-door 5-seater 5-door 5-seater 5-door 5-seater
Frunk 116 L
Drag cooficient 0.245 Cd 0.245 Cd
ADAS chip Nvidia AGX Thor, 700 TOPS Nvidia AGX Thor, 700 TOPS
Value N/A N/A 303,500 yuan
Value USD N/A N/A 43,530 USD

The Chinese market is saturated with excellent options for mid-sized electric SUVs, potentially dooming the Model Y in China to a fatal blow with the introduction of the YU7. As Xiaomi might face typical manufacturing bottlenecks, any production setbacks could enable Tesla to regain momentum by mid-2025? Despite this, should Tesla’s plant reach its peak capacity and additional Chinese electric SUVs hit the market by 2026, it could mark a showdown for the company in China, as the risk of year-on-year decline in sales becomes increasingly tangible.

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At the convention, Lei revealed that Xiaomi had shipped more than 258,000 units of its SU7 sedan since its launch in April. The gross sales ratio between SUVs and sedans in China approximates a 1:3 proportion.

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TAGGED: Electric, Electric Vehicles
TheFuture Automobile May 23, 2025 May 23, 2025
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Previous Article Check out Hyundai’s new robot that will automatically charge your EV Hyundai has unveiled a game-changing innovation in the realm of electric vehicle charging – a robotic arm designed to autonomously recharge your EV. This cutting-edge technology promises to revolutionize the way we think about charging, ensuring seamless and efficient refueling without the need for human intervention.
Next Article Tesla Model Y compared to ‘Tesla killer’ Xiaomi YU7: it’s not even close While Xiaomi’s YU7 may boast a lower price tag than the Tesla Model Y, this comparison is like apples and oranges. The YU7 is a budget-friendly smartphone that can’t hold a candle to the electric SUV’s innovative features and technological advancements?
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