China’s BYD Is Getting Closer To Capturing The Top Spot For Electric Vehicles
January 2, 2024 / By Zunair Tahir / Automotive News
China’s BYD is getting closer to unseating Tesla, the electric vehicle maker owned by Elon Musk, as the largest seller globally.
In the last three months of 2023, the company reported on Monday that it had sold a record 526,000 battery-only vehicles.
A more than 70% increase in sales in December contributed to that. Before Wall Street starts on Tuesday, US-based Tesla is expected to announce its most recent quarterly vehicle manufacturing and delivery statistics.
The Shenzen, China-based BYD reported that over 3 million “new energy vehicles” (NEVs), which comprise hybrid and battery-only cars, were sold by the company over the whole year.
According to the company, battery-only vehicles accounted for over 1.6 million of its total sales.
According to industry experts, Tesla sold 1.82 million electric vehicles in 2023 overall, including around 483,000 in the final three months of 2023.
Although Mr. Musk had stated in January of last year that Tesla could produce two million vehicles by 2023, he has since issued a warning that the demand for his company’s vehicles was being adversely affected by rising financing rates.
Wang Chuanfu, the CEO of BYD, and his cousin co-founded the company in Shenzhen in 1995.
The firm gained recognition for producing rechargeable batteries that rivaled more expensive Japanese imports and were utilized in computers, cellphones, and other devices.
In 2002, it began selling shares on the public market and expanded by acquiring Qinchuan Automobile Company, a state-owned automobile manufacturer that was having financial difficulties.
Berkshire Hathaway, the seasoned US investor led by Warren Buffett, has been a stakeholder of BYD since 2008.
As to analysts, BYD’s original business, batteries, is responsible for its rise. Being some of the priciest components of an EV, BYD may save a significant amount of money by producing them internally.
Many of BYD’s rivals get their batteries from other producers.