Chinese electric vehicle giant BYD is aiming to more than double its overseas sales to over 800,000 units in 2025 as it continues its aggressive international expansion, its chairman told analysts on an earnings call on Tuesday, Reuters reported.
The company, which sold 417,204 units outside China in 2024, sees strong potential in Britain, Latin America, and Southeast Asia, where it expects market share to grow significantly.
Chairman Wang Chuanfu told analysts on an earnings call that BYD will navigate tariff challenges by assembling cars locally while still relying on China for key components.
The move comes as several governments impose or consider tariffs on Chinese-made vehicles.
Britain, in particular, presents a promising opportunity for BYD, as Wang described the market as “very open” to competitive Chinese products.
The company also expects to benefit from growing acceptance of Chinese brands in Latin America and Southeast Asia, where demand for affordable electric vehicles is increasing.
BYD plans local assembly to counter tariff barriers
With protectionist measures increasing in key markets, BYD is adopting a strategy of local vehicle assembly while sourcing components from China.
This approach allows the company to maintain its cost advantages while ensuring compliance with local trade policies.
Wang did not disclose specific countries where this approach would be implemented but emphasized that BYD would continue expanding its production footprint.
Currently, the company is constructing factories in Brazil, Thailand, Hungary, and Turkey, reinforcing its commitment to global manufacturing.
However, BYD’s expansion in Brazil, its largest market outside China, has not been without controversy.
In 2023, the company faced allegations of labor abuses, which briefly overshadowed its progress in the region.
Despite this setback, BYD remains committed to strengthening its presence in Latin America, a region where it sees long-term growth potential.
North America remains off the table
BYD has no immediate plans to enter the US and Canadian markets due to ongoing geopolitical tensions and high tariffs.
Both countries have maintained duties of up to 100% on Chinese electric vehicles, effectively blocking access for Chinese automakers.
While competitors like Tesla have expanded their operations in China, BYD is taking a different approach, focusing on markets that offer fewer regulatory hurdles.
Europe, Australia, and emerging economies remain key targets for expansion, as the company seeks to diversify revenue streams amid intense competition in China’s EV sector.
Profitability ambitions and smart driving expansion
Wang expressed confidence that BYD’s profitability per vehicle would surpass that of Toyota once it reaches a comparable sales scale.
Toyota, the world’s top automaker by volume, sold 10.8 million vehicles in 2024, while BYD sold 4.27 million.
In addition to increasing production capacity, BYD is investing heavily in software and semiconductor development.
The company plans to expand its intelligent driving technology workforce from 5,000 to 8,000 people, though no specific timeline was provided.
BYD also intends to introduce its smart driving features to global markets by 2026 or 2027.
As part of this initiative, the company plans to send more employees overseas to support its international expansion strategy.
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