Chinese electric vehicle manufacturer BYD is positioning itself to potentially emerge as the world’s leading EV maker in 2024, following a significant surge in sales at the end of last year. In December alone, BYD reported sales of 207,734 electric vehicles, bringing its total annual sales to an impressive 1.76 million units. This growth has been fueled by attractive subsidies and discounts that drew in a large customer base.
As BYD’s sales continue to climb, Tesla is set to release its quarterly sales figures shortly, amidst fierce competition in the EV market. While Tesla maintained a slight edge in sales over BYD in the previous quarter, the Shenzhen-based automaker has been closing in quickly on its rival.
In 2024, BYD’s total vehicle sales surged by over 41% compared to the previous year, largely driven by the increased popularity of its hybrid vehicles. The company has witnessed considerable growth within its home market in China, as market dynamics have intensified competition, leading to lower prices and government incentives encouraging consumers to upgrade to electric or more fuel-efficient vehicles.
Currently, BYD conducts around 90% of its business in China, where it continues to strengthen its market position against established foreign brands such as Volkswagen and Toyota. This rise of BYD reflects a significant shift in the automotive landscape, contrasting sharply with the struggles of traditional car manufacturers facing setbacks in major Western markets.
In related news, Honda and Nissan recently confirmed ongoing merger discussions as they seek to counteract the rising influence of Chinese automakers. Additionally, Volkswagen has reached an agreement with the IG Metall trade union to prevent plant closures in Germany, following previous warnings about potential shutdowns to reduce costs.
Stellantis, another major player, has experienced leadership turmoil as CEO Carlos Tavares resigned abruptly after a boardroom conflict, just months following a profit warning from the company, which includes brands like Vauxhall, Jeep, Fiat, Peugeot, and Chrysler.
In a remarkable milestone, BYD’s revenues soared in the third quarter of 2024, surpassing Tesla’s for the first time. The company reported revenue exceeding 200 billion yuan (approximately $28.2 billion), marking a 24% increase from the same quarter the previous year, outpacing Tesla’s quarterly revenue of $25.2 billion, although Tesla still retained the upper hand in overall EV sales.
