Move Over; Xiaomi (OTC: XIACF) unveils new electric SUV to compete with Tesla’s Model Y

Chinese tech giant Xiaomi (OTC: XIACF) is entering the electric vehicle market with its first-ever SUV, the YU7, set to launch this summer. The new electric crossover SUV boasts a driving range of up to 770 kilometers (478 miles), according to Reuters, citing a government document released on Thursday.

The YU7 is designed to compete directly with Tesla (NASDAQ: TSLA)’s Model Y. It combines the features of a traditional crossover SUV with a battery-powered drivetrain. The vehicle also offers versions with shorter driving ranges of 675 km and 760 km.

In a move to promote electric vehicle sales, the industry ministry has included the YU7 among models eligible for purchase tax breaks.

Meanwhile, Tesla has recently updated its Model Y. Deliveries of the refreshed model started at the end of February. The long-range variant of the redesigned Model Y now offers a driving range of 719 kilometers per charge, an increase from the previous 688 km. The rear-drive variant of the Model Y has also seen an upgrade in its range, now offering 593 km, up from 554 km.