Xiaomi will start selling its YU7 electric vehicle, in July, founder and CEO Lei Jun said on Thursday, disclosing the launch date of an SUV analysts say will be the strongest rival in China to Tesla's best-selling Model Y.

Xiaomi unveiled its hotly anticipated YU7 electric SUV in China today, in the latest potential blow to Tesla’s position in the world’s hottest EV market.

Xiaomi has introduced a competitor to Tesla's best-selling Model Y. It will challenge Tesla in China in particular.