(Yicai) June 27 -- Xiaomi’s shares jumped after the Chinese tech giant's electric vehicle unit took more than 200,000 orders for its second model within just three minutes of it going on sale.

After surging by as much as 8 percent at the market open in Hong Kong today, Xiaomi [HKG: 1810] closed up 3.6 percent at HKD58.95 (USD7.51) a share. The stock has more than tripled in value over the past 12 months.

Pre-orders for the YU7, a pure electric five-seat sport utility vehicle, topped 289,000 in the first hour after it was launched yesterday, Xiaomi Auto said late the same day. The vehicle is priced at between CNY253,500 and CNY329,900 (USD35,365 and USD46,025) and comes in three versions. Buyers need to make a CNY5,000 (USD700) downpayment.

Based on its price, the YU7 is meant to rival Tesla's Model Y, Xpeng Motors' G9, and Nio's ES6. Extended-range models from Li Auto, Seres Auto's Aito brand, and SAIC Motor's IM Motors marque are also within the same price range.

While the YU7 may divert potential buyers from Xiaomi's first model, the all-electric SU7 sedan, the Beijing-based company's sales will likely continue to grow, according to industry insiders. The SU7 was launched in March last year.

Losses at Xiaomi's car production business are narrowing, Chief Executive Lei Jun said earlier this month, adding that it may become profitable in the third or fourth quarter of this year.

Despite losing CNY500 million (USD69.8 million) in the three months ended March 31, the business’ gross profit margin almost doubled to 23.2 percent from 12.6 percent, while revenue rose 11 percent to CNY18.1 billion (USD2.5 billion).

Editors: Tang Shihua, Martin Kadiev