Xiaomi Launches Electric Sedan Rivaling Tesla in China, Sells Out First Year of Production in 36 Hours

Xiaomi launched its first EV, the SU7 sedan, directly targeting Tesla Model 3 owners to upgrade. It claimed better range and price.

Xiaomi's entry comes as Tesla faces sluggish China growth and rising local competition like Warren Buffett-backed BYD.

Xiaomi founder Lei Jun admitted EVs are very difficult to make, even though he aims to catch up to Tesla in a few years.

Lei said Xiaomi has enough cash reserves to withstand competition for 5 years, despite losing money per car sold.

In 36 hours, Xiaomi received 120,000 orders for the SU7, selling out this year's production capacity.