BYD Says It Doesn't Rely on U.S. Market, Aims for Global Sales Crown Within Five Years

Li Ke, head of BYD's overseas business, stated that even without access to the U.S. market, the company still aims to surpass Toyota and become the world’s top-selling automaker within five years. This goal is based on BYD’s organic growth capabilities and does not rely on acquiring other automakers. In 2023, BYD sold 4.5 million vehicles, significantly below Toyota’s 10.5 million. Toyota’s high sales volume is partly attributed to its strong performance in the U.S. market and continued sales of internal combustion engine vehicles. Currently, due to the Biden administration’s policies—including steep tariffs on electric vehicles (EVs) and restrictions on Chinese software—BYD passenger cars have not entered the U.S. market. The company only sells over 100 commercial vehicles through its heavy-duty truck assembly plant in California. Meanwhile, intensifying domestic competition and the phasing out of EV subsidies have led to a 16% year-over-year decline in BYD’s sales in the first half of this year. To offset the slowdown in its home market, BYD is accelerating its expansion into Europe, Southeast Asia, and Latin America, with Europe considered one of its core overseas markets. Data shows that in May 2024, BYD captured a 2.8% market share in Europe—double that of the same period last year—surpassing Ford, Tesla, and Nissan. Its battery electric and plug-in hybrid models also enjoy higher profit margins in Europe than in China. BYD plans to invest nearly €2 billion in Europe by 2027 to build 3,000 self-developed ultra-fast charging stations. The company claims its premium brand, Denza, can achieve a 70% charge in just five minutes. Denza recently unveiled the all-electric supercar Z, positioned to rival the Porsche 911, with a starting price in the UK of £142,900 (approximately RMB 1.297 million). Li Ke said he expects Denza to firmly establish itself in the premium segment within a year. Although BYD previously expressed interest in acquiring a stake in France’s Renault, the proposal was rejected. Neither party has publicly commented on the matter. Sources close to BYD revealed that the company is currently focused on developing its own premium brands and has no concrete plans to acquire European luxury automakers, nor has it received any related acquisition offers.