Xiaomi has achieved what many established automakers have struggled to do — outselling Tesla’s Model 3 in China. According to the latest sales data from the China Passenger Car Association (CPCA), Xiaomi’s SU7 has surpassed the Tesla Model 3 in total sales from April 2024 to January 2025.
Xiaomi officially started producing the SU7 in April 2024, with customer deliveries commencing shortly afterwards. The vehicle quickly gained popularity, selling over 30,000 units in the first three months alone. In April, Xiaomi sold 7,058 SU7s, surpassing Tesla’s 5,065 Model 3s for the month.
Although Tesla regained its lead in the second and third quarters, the tide shifted in the final months of 2024. Between October and December, Xiaomi recorded a total of 69,697 SU7 sales, compared to Tesla’s 52,241 Model 3 sales.
This included 20,726 units in October, 23,156 in November, and 25,815 in December. The strong momentum continued into 2025, with Xiaomi selling 22,897 SU7s in January, while Tesla managed just 8,009 Model 3s.
By the end of January 2025, Xiaomi had sold a total of 162,384 SU7s, surpassing Tesla’s 152,748 Model 3 sales in China, According to Troy Teslike on X. This is the first time a new EV brand has outsold Tesla in this highly competitive market.
Its success with the SU7, Xiaomi is preparing to challenge Tesla’s best-selling Model Y with its upcoming YU7 SUV. The YU7, set to begin production in mid-2025, is expected to offer a more premium design, competitive pricing, and advanced features.
Tesla’s Model Y was the best-selling car in China in 2024, with 480,309 units sold. Xiaomi faces an uphill battle to dethrone the Model Y, but the success of the SU7 suggests that it has a strong chance of capturing a significant share of the market.
Xiaomi has plans beyond China. Speaking at the Mobile World Congress in Barcelona, Xiaomi’s President William Lu confirmed that the company intends to launch EVs in global markets within the next few years. This expansion strategy could pose a significant challenge to Tesla and other premium EV makers worldwide.
Xiaomi’s latest model, the SU7 Ultra, is a high-performance version of its best-selling EV, boasting 1,517 horsepower and a price tag of 529,000 Chinese yuan (~$72,627). This undercuts high-end rivals like the Porsche Taycan Turbo GT by over $200,000, making it a highly attractive option for performance enthusiasts.
Tesla’s position in China is under increasing pressure. Despite updating the Model Y, Tesla’s sales have been declining, with overall figures dropping by over 50% in January 2025, according to Teslarati. Meanwhile, Xiaomi continues to ramp up production and improve its offerings, making it a formidable competitor in the EV market.