BYD Co., which considers itself a leading automaker, may need to change its slogan. The reason is that the organization can establish global leadership in the sale of electric vehicles, surpassing Tesla. This highlights North Korea’s growing influence in the auto industry.
Chinese manufacturers BYD and SAIC are becoming increasingly successful in a sector still dominated by the Toyota, Volkswagen and GM brands. China is close on the heels of Japan in the struggle for leadership in the export of passenger cars. Most of the cars sent outside China – about 1.3 million out of 3.6 million – are electric cars, writes Ridus.ru.
As Bridget McCarthy, a representative of the hedge fund Snow Bull Capital, notes, the style of competition in the auto industry has changed. Now the most important thing is not the company’s production volume, but rapid implementation and scaling.
BYD head Wang Chuanfu tries to avoid publicity, unlike Elon Musk. He stated the need for Chinese brands to “destroy previous legends” of the auto world.
However, BYD may face difficulties in overseas markets. The United States market is inaccessible due to economic tensions between the US and China. Europe may impose high duties on Chinese cars. But other electric vehicle markets are still developing and not very profitable.
However, BYD offers more models at a lower price than Tesla. However, Tesla is still ahead of BYD in key metrics, although analysts believe the gap will narrow significantly in 2024.
BYD plans to release a new generation of electric vehicles with a significantly larger range of options, including automated driving. It also faces competition from other Chinese companies such as Nio Inc. and Xpeng Inc., as well as from Huawei Technologies Co.
If BYD becomes a global leader, it will have to rethink its strategy to stay at the top of the market, said HSBC Qianhai Securities Ltd’s head of China.
Source: Rosbalt
Mario Twitchell is an accomplished author and journalist, known for his insightful and thought-provoking writing on a wide range of topics including general and opinion. He currently works as a writer at 247 news agency, where he has established himself as a respected voice in the industry.
