In 1995 BYD still produced batteries and electronics. Now the Chinese are the largest manufacturers of electric cars worldwide. Who can keep up?
The government in Beijing has a plan, a long -term: China should become the number one economy, even before the USA. Key industries are encouraged accordingly. And the car manufacturer BYD shows how that pays off. Because with low prices, BYD (“Build your dreams”) consistently builds its own dream.
In 2024, a third more profit was in the books at 5.14 billion euros than in the previous year – a new record. Sales rose by almost 30 percent to 99 billion euros. Almost 4.3 million electric vehicles sold, whether full or partial electrical, means 1st place worldwide. BYD has passed Tesla, past VW – and has no longer handed over the lead. In China, BYD is the market leader anyway.
The stock exchange also shows that BYD rides on its own wave. The demand for the stock increases. This year it has already increased almost 50 percent, around 80 percent over the year, and at the end of March at just under 49 euros.
The company is supported by politics: Chinese e-car manufacturers receive subsidies from the government. There is money for the charging infrastructure, discounts for domestic buyers, no VAT for electric cars or hybrid vehicles. So direct and indirect support. This has accelerated the rise of BYD considerably.
But it would be too easy to attribute everything to politics. Especially since it not only promotes BYD, but the entire electric car industry on the domestic market. There are over 100 manufacturers. And they are not all so successful. So what does BYD do differently?
With favorable state funding, BYD was able to keep the costs low. At the same time, the company has continuously developed new technologies and consistently invested a lot. This hits the nerve of customers that loves technical gadgets. Also everything comes from a single source at BYD: from electrical engineering to batteries to the car. This allows a slim production – and an independent. BYD is currently expanding its market dominance again: with a charging infrastructure that is as fast as a tank process. Say analyzes: This is a gamuchanger.
BYD’s prices are troubled by the competition. An example: The ATTO 2 model is available in Germany under 30,000 euros. Another small car will soon come onto the market – even cheaper. Market observers expect a maximum of 25,000 euros. At VW, on the other hand, an ID.3 costs a good 30,000 euros. But the manufacturers learn their lesson: with the ID. EVERY1 is aiming for VW the magical mark of 20,000 euros.
Nevertheless, the success of BYD should not hide one thing about one: internationally, it is much more difficult to sell cars than on the home market. The company from China is not represented in North America. The USA and Canada have imposed import duties on Chinese electric cars of 100 percent-Game Over.
BYD struggles on the European market, but has yet arrived. Even within the EU, import duties on e-cars are creating the Chinese. This melts the price advantages. That is why BYD wants to build works in Hungary and Turkey – and supposedly now in Germany.
And Tesla? This is still the biggest rival. However, BYD has moved up to the second decimal office for sales for e-cars. While the Chinese manufacturer sold 1.76 million electric cars in 2024, Tesla brought it to 1.79 million. In 2025 you want to pass Tesla. The current weakness of Teslas plays into his hands.
Because: Tesla was far ahead when it comes to brand prestigious, pioneering spirit and innovation. However, the political ambitions of Tesla boss Elon Musk are currently gnawing at the image of the group and on the share price. This has almost halved since mid -December. Some customers boycott the brand. Facelifts in models such as Tesla Y also do not prevent sales prevent sales.
