Development of the YU7 reflects Xiaomi’s growing confidence in its EV business, which met its 100,000-vehicle production target this year.

Now, Xiaomi is working on a second model, a compact SUV called the YU7. Xiaomi CEO Lei Jun took to social media on Monday to share the first official photos of the YU7 after images of the SUV surfaced on the website of the China Ministry of Industry and Information Technology.

Xiaomi Corp. showed off a new SUV it plans to sell around the summer of 2025, intensifying an effort to take on Tesla Inc. and BYD Co. in the world’s biggest electric vehicle arena.

Chinese device and now EV-maker Xiaomi revealed its latest offering in the ultra-competitive Chinese auto market, doubling down on the success it's already achieved with its SU7 EV sedan.