Xiaomi’s SU7 Surpasses Tesla Model 3 in China’s Premium EV Market
Xiaomi's SU7 electric sedan outsold Tesla's Model 3 in China for the first time in 2025, marking a seismic shift in the premium EV segment. Deliveries of 258,164 SU7 units eclipsed the 200,361 Model 3 vehicles sold during the same period, according to China Passenger Car Association data.
The reversal ends Tesla's five-year dominance in China's premium electric sedan market. Analysts attribute the shift to domestic competitors like Nio, Xpeng, and IM Motors closing the technology gap while undercutting on price. "Chinese automakers are climbing the value chain," noted Eric Han of Suolei consultancy.
While Tesla's Shanghai-produced Model Y maintained SUV leadership, the Model 3's dethronement signals intensifying competition. Xiaomi's strong pre-order pipeline suggests the momentum may continue, though Tesla's manufacturing scale and brand cachet remain formidable assets.
