Tesla faces new rivals as the electric SUV market heats up

4 days ago 9

Model Y electric vehicles are parked in front of the Tesla Gigafactory Berlin-Brandenburg plant.

Model Y electric vehicles are parked in front of the Tesla Gigafactory Berlin-Brandenburg plant. Patrick Pleul/picture alliance via Getty Images
  • Tesla just refreshed the Model Y, almost 6 years after it was first introduced.
  • The electric SUV market is now much more crowded, with a parade of new competitors coming.
  • Here are seven new models that are coming for the Model Y's crown.

Tesla just did the first major refresh of its best-selling Model Y more than five years after the SUV-ish EV was announced in 2019.

Since then, the Model Y has fended off challenges from major automakers like Ford, Chevrolet, Hyundai, and Kia to become one of the top-selling vehicles in the world.

Tesla sold nearly 1.8 million vehicles last year, and the automaker has an ambitious target of 20-30% sales growth this year. A refreshed $45,000 Model Y could help it hit that lofty target as its remaining lineup begins to show its age.

The electric SUV market is now getting much more crowded, with a parade of new competitors every few months.

Here are seven new models — from China and Europe, mostly — that are coming for the Model Y's crown.

Mercedes electric GLC

The Mercedes-Benz GLC on stage at the International Motor Show in Munich.

The Mercedes-Benz GLC on stage at the International Motor Show in Munich. Sven Hoppe/picture alliance via Getty Images

Price: Not yet listed, but expected around $50,000. (A current hybrid model starts at $60,300.)

Availability: GLC400 in late 2026, and GLC300+ early 2027

Range: 350+ miles, depending on trim

Show-stopping feature: An optional panoramic "Hyperscreen" powered by the MB.OS supercomputer.

BMW iX3

BMW CEO Oliver Zipse presents the new model BMW iX3 in Munich.

BMW CEO Oliver Zipse presents the new model BMW iX3 in Munich. MICHAELA STACHE/AFP via Getty Images

Price: Less than $60,000

Availability: Summer 2026

Range: Up to 400 miles

Show-stopping feature: The iX3 is the first SUV to be built on BMW's Neue Klasse platform, which was designed specifically for EVs.

Xiaomi YU7

A Xiaomi YU7 car is displayed at the showroom of the Xiaomi EV Factory in Beijing.

A Xiaomi YU7 car is displayed at the showroom of the Xiaomi EV Factory in Beijing. GREG BAKER/AFP via Getty Images

Price: RMB 253,500 (~$35,500)

Availability: Launched in July and currently only available in mainland China.

Range: 475 miles

Show-stopping feature: Xiaomi makes a lot of other consumer products in China, creating a robust tech ecosystem for users.

Xpeng G7

An Xpeng G7 on display at the Shanghai International Automobile Industry Exhibition.

An Xpeng G7 on display at the Shanghai International Automobile Industry Exhibition. Fang Zhe/Xinhua via Getty Images

Price: RMB 195,800 (~$27,500)

Availability: Third quarter of 2025 in China and Australia.

Range: 375 miles

Show-stopping feature: Situated between the G6 and G9 variants, the G7 is billed as the first "AI car" and includes L3-level computing power.

Nio Onvo L90

A Nio Onvo L90 electric SUV on display in a Nio store in Yangzhou, China.

A Nio Onvo L90 electric SUV on display in a Nio store in Yangzhou, China. CFOTO/Future Publishing via Getty Images

Price: RMB 265,800 (~$37,000), or RMB 179,800 ($25,000) with battery subscription option.

Availability: Launched in July, available in China, Europe, and the Middle East.

Range: 375 miles.

Show-stopping feature: Beyond the dazzling tech (which can recognize more than 1,630 voice commands), the L90 uses Nio's proprietary ultra-comfortable seat platform.

BYD Sealion 7

An all-electric BYD Sealion 7 is displayed during the Everything Electric show at ExCel London.

An all-electric BYD Sealion 7 is displayed during the Everything Electric show at ExCel London. John Keeble/Getty Images

Price: ~$36,300

Availability: Introduced last year in China and Europe, with India and other additional markets arriving throughout 2025.

Range: 336 miles.

Show-stopping feature: The cabin is spacious, and the center screen rotates, which is pretty cool.

BYD Tang L

BYD's Tang L on display at the Shanghai International Automobile Industry Exhibition.

BYD's Tang L on display at the Shanghai International Automobile Industry Exhibition. Zhang Hengwei/China News Service/VCG via Getty Images

Price: RMB 239,800 (~$33,500)

Availability: Launched in April in China.

Range: 375 miles.

Show-stopping feature: All the perks of the Sealion, plus a third row. 'Nuff said.

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