In the smartphone world, Xiaomi is considered by some to be the “Apple of China” due to its devices’ features and overall quality. And with the launch of the Xiaomi SU7, it appears that the smartphone giant is also looking to achieve the title of “Tesla of China.”
At a launch event in Beijing, Xiaomi formally launched its first vehicle, the SU7 all-electric sedan. Three variants of the SU7 are offered for now — the SU7 Standard, SU7 Pro, and SU7 Max. The vehicles are competitively priced, with the SU7 Standard starting at RMB 215,900 ($29,870), the SU7 Pro starting at RMB 245,900 ($34,000), and the SU7 Max starting at RMB 299,900 ($41,500).
#XiaomiSU7 offers a variety of customization options, allowing you to create a driving mode that perfectly suits you. #XiaomiEVLaunch #DrivingForward pic.twitter.com/cwe4PVbSYQ— Xiaomi (@Xiaomi) March 28, 2024
For context, the upgraded Tesla Model 3 Rear Wheel Drive (RWD) starts at RMB 245,900 ($34,000) and the Model 3 Long Range Dual Motor All Wheel Drive (AWD) starts at RMB 285,900 ($39,500) in China. At such prices, the SU7 effectively undercuts the Model 3 by about $4,000 in price, with the midrange variant of Xiaomi’s all-electric car costing the same as Tesla’s entry-level Model 3.
Safety is an essential part of #XiaomiSU7. This car features our steel-aluminum alloy armored cage for unmatched protection.
Every SU7 is equipped with 16 active safety configurations, giving you complete peace of mind on the road. #XiaomiEVLaunch #DrivingForward pic.twitter.com/WbxAcldiIc— Xiaomi (@Xiaomi) March 28, 2024
During the Xiaomi SU7’s launch event, Lei Jun, founder, chairman and CEO of the smartphone giant, noted that the all-electric sedan is targeting the same customers as the Tesla Model 3. “Many people ask me who the Xiaomi SU7 is built for. My answer is, ‘Isn’t it time for Tesla Model 3 users to upgrade?’” the executive noted.
#XiaomiSU7 Max lets you drive back onto the road with an incredible 510 kilometers of range in just 15 minutes of charging.
Even the standard SU7 isn't far behind, offering a 350-kilometer range boost in the same timeframe. #XiaomiEVLaunch #DrivingForward pic.twitter.com/9XkDfBKazH— Xiaomi (@Xiaomi) March 28, 2024
The Xiaomi SU7 was benchmarked against the Tesla Model 3, and it shows. As per the executive, the SU7 is better than the Model 3 on over 90% of its specifications. The Xiaomi SU7 is slightly larger than the Model 3, and its starting range of 700 kilometers (almost 435 miles) is higher than the base Model 3’s 606 kilometers. Lei admitted, however, that it would probably take Xiaomi 3-5 years to catch up to Tesla in terms of powertrain efficiency.
Our smart cabin features five top-of-the-line screens. Whether it's connecting your smartphone to your car or your car to your home, #XiaomiHyperOS ensures a seamless and smooth experience.#XiaomiSU7 #XiaomiEVLaunch #DrivingForward pic.twitter.com/td0f1i6P92— Xiaomi (@Xiaomi) March 28, 2024
The reception of Chinese consumers to the SU7 has been very positive so far. In the first 27 minutes after the company started accepting orders for the vehicle, Xiaomi was able to secure over 50,000 firm orders. Deliveries of the SU7’s “Founders Edition” are expected to begin on April 3, 2024.
Le Jun is a true Tesla fan, one of the early Model S owners in China. pic.twitter.com/paU6Eyt3Qt— Ray (@ray4tesla) March 28, 2024
While the Xiaomi SU7 is undoubtedly an impressive all-electric sedan, it should be noted that Tesla is a very difficult target to catch because the company just refuses to stay still. This is hinted at by the Cybertruck, whose key innovations like its 48V architecture and steer-by-wire system will likely trickle down to the company’s later vehicles. With this in mind, Xiaomi may find itself competing against a company that’s determined to prove that the “Tesla of China” is still Tesla.
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Tesla rolls out most aggressive Model Y lease deal in the US yet
With the promotion in place, customers would be able to take home a Model Y at a very low cost.
Tesla has rolled out what could very well be its most aggressive promotion for Model Y leases in the United States yet. With the promotion in place, customers would be able to take home a Model Y at a very low cost.
Zero downpayment leases
The new Model Y lease promotion was initially reported on X, with industry watcher Sawyer Merritt stating that while the vehicles’ monthly payments are still similar to before, the cars can now be ordered with a $0 downpayment.
Tesla community members noted that this promotion would cut the full payment cost of Model Y leases by several thousand dollars, though prices were still a bit better when the $7,500 federal tax credit was still in effect. Despite this, a $0 downpayment would likely be appreciated by customers, as it lowers the entry point to the Tesla ecosystem by a notable margin.
Premium freebies included
Apart from a $0 downpayment, customers of Model Y leases are also provided one free upgrade for their vehicles. These upgrades could be premium paint, such as Pearl White Multi-Coat, Deep Blue Metallic, Diamond Black, Quicksilver or Ultra Red, or 20″ Helix 2.0 Wheels. Customers could also opt for a White Interior or a Tow Hitch free of charge.
A look at Tesla’s Model Y order page shows that the promotion is available for all the Model Y Premium Rear-Wheel Drive and the Model Y Premium All-Wheel Drive. The Model Y Standard and the Model Y Performance are not eligible for the $0 downpayment or free premium upgrade promotion as of writing.
@teslarati 🚨 Tesla Full Self-Driving v14.1.7 is here and here’s some things it did extremely well! #tesla #teslafsd #fullselfdriving ♬ You Have It – Marscott
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Tesla is looking to phase out China-made parts at US factories: report
Tesla has reportedly swapped out several China-made components already, aiming to complete the transition within the next two years.
Tesla has reportedly started directing its suppliers to eliminate China-made components from vehicles built in the United States. This would make Tesla’s US-produced vehicles even more American-made.
The update was initially reported by The Wall Street Journal.
Accelerating North American sourcing
As per the WSJ report, the shift reportedly came amidst escalating tariff uncertainties between Washington and Beijing. Citing people reportedly familiar with the matter, the publication claimed that Tesla has already swapped out several China-made components, aiming to complete the transition within the next two years. The publication also claimed that Tesla has been reducing its reliance on China-based suppliers since the pandemic disrupted supply chains.
The company has quietly increased North American sourcing over the past two years as tariff concerns have intensified. If accurate, Tesla would likely end up with vehicles that are even more locally sourced than they are today. It would remain to be seen, however, if a change in suppliers for its US-made vehicles would result in price adjustments for cars like the Model 3 and Model Y.
Industry-wide reassessments
Tesla is not alone in reevaluating its dependence on China. Auto executives across the automotive industry have been in rapid-response mode amid shifting trade policies, chip supply anxiety, and concerns over rare-earth materials. Fluctuating tariffs between the United States and China during President Donald Trump’s current term have made pricing strategies quite unpredictable as well, as noted in a Reuters report.
General Motors this week issued a similar directive to thousands of suppliers, instructing them to remove China-origin components from their supply chains. The same is true for Stellantis, which also announced earlier this year that it was implementing several strategies to avoid tariffs that were placed by the Trump administration.
@teslarati 🚨 Tesla Full Self-Driving v14.1.7 is here and here’s some things it did extremely well! #tesla #teslafsd #fullselfdriving ♬ You Have It – Marscott
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Tesla owners propose interesting theory about Apple CarPlay and EV tax credit
“100%. It’s needed for sales because for many prospective buyers, CarPlay is a nonnegotiable must-have. If they knew how good the Tesla UI is, they wouldn’t think they need CarPlay,” one owner said.
Tesla is reportedly bracing for the integration of Apple’s well-known iOS automotive platform, CarPlay, into its vehicles after the company had avoided it for years.
However, now that it’s here, owners are more than clear that they do not want it, and they have their theories about why it’s on its way. Some believe it might have to do with the EV tax credit, or rather, the loss of it.
Owners are more interested in why Tesla is doing this now, especially considering that so many have been outspoken about the fact that they would not use it in favor of the company’s user interface (UI), which is extremely well done.
After Bloomberg reported that Tesla was working on Apple CarPlay integration, the reactions immediately started pouring in. From my perspective, having used both Apple CarPlay in two previous vehicles and going to Tesla’s in-house UI in my Model Y, both platforms definitely have their advantages.
However, Tesla’s UI just works with its vehicles, as it is intuitive and well-engineered for its cars specifically. Apple CarPlay was always good, but it was buggy at times, which could be attributed to the vehicle and not the software, and not as user-friendly, but that is subjective.
Nevertheless, upon the release of Bloomberg’s report, people immediately challenged the need for it:
Everyone thinks they need it. I would think that too if I didn’t know how good Tesla’s interface was. CarPlay is a crappy layer on top of crappy info-navs, and people think it’s an imperative because it provides a level of consistency from car to car. They have no clue how much…
— Rich Stafford (@r26174_rich) November 14, 2025
How can it not be when the best engineers choose Tesla over Apple and Tesla’s core focus is auto vs Apple being mobile. It’s what Tesla does every day. It’s a side project for Apple. Still Apple is much better than any other auto OEM who attract lesser talent and make digital…
— Emu (@confessedemu) November 14, 2025
Some fans proposed an interesting point: What if Tesla is using CarPlay as a counter to losing the $7,500 EV tax credit? Perhaps it is an interesting way to attract customers who have not owned a Tesla before but are more interested in having a vehicle equipped with CarPlay?
“100%. It’s needed for sales because for many prospective buyers, CarPlay is a nonnegotiable must-have. If they knew how good the Tesla UI is, they wouldn’t think they need CarPlay,” one owner said.
Tesla has made a handful of moves to attract people to its cars after losing the tax credit. This could be a small but potentially mighty strategy that will pull some carbuyers to Tesla, especially now that the Apple CarPlay box is checked.
@teslarati :rotating_light: This is why you need to use off-peak rates at Tesla Superchargers! #tesla #evcharging #fyp ♬ Blue Moon – Muspace Lofi
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