In August, BYD was able to sell 61,409 new energy vehicles, more than 4 times the number sold one year ago, as the demand for electric vehicles grows in the world’s largest auto market. The sales of the battery electric vehicles (BEV) and so-dubbed plug-in hybrids were roughly evenly split.
It was also a significant increase from the 50,492 vehicles sold in July. BYD stock climbed 5.5 percent in Hong Kong morning trade. BYD is one of China’s largest electric vehicle manufacturers and is supported by Warren Buffett’s Berkshire Hathaway. However, some start-ups, including Nio, Li Auto, and XPeng, have attempted to challenge it. Nonetheless, these three are now smaller, with each delivering fewer than 10,000 vehicles in August. The contrast is not like-for-like because BYD’s stats focus on sales volumes, whereas Nio, Li Auto, and XPeng disclosed delivery numbers; thus, the comparison is not comparable, but it shows the relevant scale companies.
The global auto industry has been grappling with two significant issues: the ongoing pandemic and a scarcity of semiconductors used in vehicles. BYD did not respond to questions about the August data. However, in its half-year results issued last month, the company stated that “profitability is impacted to some degree by variables such as increased raw material prices, like bulk commodities.”
Despite the car industry’s challenges, China’s demand for electric vehicles keeps rising as the government promotes the sector’s development. According to a Reuters article based on statements by China’s Vice Minister of Industry and Information Technology, China is anticipated to sell 1.7 million new energy cars in the first 8 months of this year, up from 600,000 cars in the same time of 2020.
BYD Auto Company Ltd. (“Build Your Dreams”) is an automobile division of BYD Co., Ltd., a Chinese multinational based in Xi’an, Shaanxi Province. Following BYD Successful acquisition of the Qinchuan Automobile Company in 2002, it was created in January 2003. The corporation manufactures cars, buses, lorries, electric bicycles, forklifts, and rechargeable batteries. Plug-in hybrid vehicles, electric vehicles, and gasoline-powered vehicles are among the current range of models of automobiles. Denza is a luxury electric car brand that is a partnership with Daimler AG.
BYD debuted its global design center in 2019, led by industry experts, including Mercedes-Benz, Audi, and Ferrari. Wolfgang Egger is the team’s leader. The E-SEED GT, the first collaborative operation from the new design group, was unveiled at the Auto Shanghai trade show in April 2019. The sleek outlines of the Chinese dragon are reflected in the futuristic design concept, and the business aims to include more Chinese cultural elements in future models.