# Xiaomi CEO Lei Jun had a straightforward reason for why the YU7 wasn’t outselling the Tesla Model Y in China.

*robotics · news · 2026-05-21 · Digital Trends*

## Key points

- Xiaomi launched the YU7 True Standard Edition priced 30,000 yuan lower than Tesla Model Y.
- The YU7 Standard Edition has a 399-mile range, exceeding the Model Y's 368 miles.
- This new model uses a 235kW rear-wheel-drive motor and a CATL lithium iron phosphate battery.
- The updated YU7 weighs 253 pounds less than the prior standard version, improving efficiency.
- Xiaomi slashed prices aiming to boost sales after a successful but slowed initial YU7 launch.

**Companies:** Xiaomi
**Countries:** China

[Read the full story on Digital Trends](https://www.digitaltrends.com/cars/xiaomis-new-34500-electric-suv-goes-farther-than-a-tesla-model-y-and-costs-less/)

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