Best known for its smartphones, Xiaomi is quickly carving out space in the EV market. After making a strong debut with its SU7 sedan, which has outsold the Tesla Model 3 in China and even outgunned the Rimac Nevera at the Nürburgring, Xiaomi is now targeting SUV buyers with its newly launched YU7. Unsurprisingly, it’s off to a great start.

BEIJING (Reuters) -Chinese EV and smartphone maker Xiaomi on Thursday priced its new electric YU7 SUV 10,000 yuan ($1,395) cheaper than Tesla's Model Y, stepping up the challenge to the U.S. firm in the world's largest auto market.