Model 3 and Xiaomi SU7 Dominate the RMB 200,000 EV Sedan Market

The overall penetration rate of the new energy vehicle (NEV) market has now surpassed 60%, yet the RMB 200,000-class pure electric sedan segment exhibits clear polarization. Within this price range, Tesla’s Model 3 and Xiaomi’s SU7 dominate the market, significantly outpacing competitors in sales volume. Data shows that in 2025, annual sales of the Model 3 and Xiaomi SU7 reached 200,000 and 258,000 units respectively, while the third-ranked XPeng P7+ sold only around 70,000 units. Other models—including the BYD Han EV, Zeekr 007, Zeekr 001, and Avatr 06—recorded even lower sales figures. This trend has continued into the first four months of 2026. Although multiple automakers have persistently launched new models aiming to break through—such as the XPeng P7, Huawei-Serena S7, IM L6, and Lynk & Co 10 series—none have achieved sustained strong sales despite offering competitive features in areas like specifications, intelligence, or driving dynamics. Some newcomers have attempted differentiated strategies: for instance, the Lynk & Co 10 series emphasizes safety and handling, offering a family-oriented version starting at RMB 169,900 and a high-performance variant from RMB 219,900 to cater to diverse user needs. Currently, the Model 3 maintains its stronghold in the premium segment thanks to its first-mover advantage, advanced tri-motor (battery, motor, and power electronics) technology, and strong brand influence, while the Xiaomi SU7 attracts younger consumers through its ecosystem integration and cost-performance ratio. Both models have firmly established themselves in consumer perception, and their scale-driven cost advantages make it difficult for latecomers to disrupt the existing market格局 merely by adding more features or engaging in price wars.