Xiaomi surpasses Tesla in electric sedan sales in China
In 2025, sales of the fully electric SU7 sedan by Chinese company Xiaomi exceeded 258,000 units, nearly 30% higher than Tesla Model 3’s sales of 200,000 units, according to the China Passenger Car Association (CPCA).
Since 2019, when Tesla began assembling the Model 3 at its Shanghai factory, it had led the premium electric sedan segment in mainland China through 2024.
Experts attribute Xiaomi’s success to an aggressive pricing strategy and technological advancements by Chinese manufacturers, who have managed to offer vehicles comparable to Tesla’s at more affordable prices.
Founded in 2010, Xiaomi initially gained recognition as a smartphone and consumer electronics maker but has recently expanded significantly into the automotive sector, particularly electric vehicles.
The SU7’s victory is expected to boost other Chinese brands striving to strengthen their position in the automotive market and intensify competition with international manufacturers.
This development underscores China’s growing influence as a global leader in electric vehicle production and indicates a future market environment marked by heightened competition and technological innovation in electric sedans.
