Chinese electric vehicle (EV) manufacturer BYD has started a tough competition with Tesla for global EV sales leadership in 2024.
Key Points:
- Increase in BYD Sales: In December 2024, the company sold 207,734 EVs, bringing its annual sales to 1.76 million. This surge in sales was due to government subsidies and strategic price reductions.
- Profit and Growth: BYD’s annual sales increased by 41%, especially with a significant rise in sales of hybrid car models. The success was driven by the growing demand within China and government support.
- Tesla’s Rival: While Tesla leads globally in EV sales, BYD has been closing the gap. The company’s third-quarter 2024 revenue reached 200 billion yuan (28.2 billion dollars), surpassing Tesla’s 25.2 billion dollars in revenue.
- Dominance in China: The primary reason for BYD’s success is China, where 90% of its sales occur, and where the government has provided excellent incentives for new energy vehicles.
- Challenges: BYD faces challenges in international markets, such as taxes imposed by the European Union and the United States, which hinder its global expansion.
Conclusion: BYD’s growth reflects the rising strength of the Chinese EV sector, making it a significant challenge for international companies like Tesla, Volkswagen, and Toyota.
