BYD Surpasses Tesla, Selling 4.1 Million EVs in 2024, Shifting the Global EV Market

The rapid growth of Chinese electric vehicles (EVs) pushed global EV deliveries beyond 17 million units last year. Notably, BYD, the world’s leading EV brand, achieved a growth rate exceeding 40%, doubling the gap with the second-place American brand Tesla.

According to energy market research firm SNE Research, on Wednesday, the number of registered electric vehicles (including plug-in hybrids) in 80 countries reached approximately 17.63 million, a 26.1% increase from the previous year.

Looking at sales by major brands, BYD sold 4.137 million units, a 43.4% growth from the previous year. SNE Research noted that BYD’s sales of its models Song, Seagull, and Qin have increased in the Chinese market, while sales of Atto 3 and Dolphin have surged in international markets, rapidly boosting its market share. BYD has expanded its portfolio with sub-brands like Denza (eco-friendly), Yangwang (luxury), and Fangchengbao (personalized), maintaining strong growth in Europe, Southeast Asia, and South America.

Meanwhile, Tesla saw a reduction in sales of the Model 3 and Model Y, which account for about 95% of its total sales. Consequently, Tesla’s global sales fell by 1.1% to 1.789 million units compared to the previous year. The gap with BYD grew significantly from 1.076 million units (1.6 times) in 2023 to 2.348 million units (2.3 times) last year. SNE Research expects Tesla to improve its performance this year by producing the budget Model Q in the first half of the year and enhancing its fully autonomous driving technology.

SNE Research

China’s Geely Group ranked third and sold 1.386 million units, growing by 59.8% from the previous year. Its ranking rose two places from 5th in 2023. Fourth-ranked SAIC (Shanghai Automotive Industry Corporation) sold 1.018 million units, marking a 12.2% increase and surpassing Volkswagen (5th place), which sold 999,000 units with only a 0.3% growth. Sixth-ranked Changan Automobile also increased its sales by 47.4%, reaching 694,000 units. Chery Automobile ranked 9th and grew by 236%, selling 520,000 units.

Seventh-ranked Hyundai Motor Group sold 550,000 units, a 1.8% decrease compared to the previous year. SNE Research analyzed that while sales of its key models, the Ioniq 5, EV6, and Niro, have struggled, global sales of the EV3 and EV9 have expanded.

Regionally, China continues to dominate as the world’s largest electric vehicle market, with 11.622 million units sold, increasing its global market share from 59.5% in 2023 to 65.9% last year. In contrast, Europe, facing a temporary slowdown in EV demand (the “chasm”), saw sales drop to 3.104 million units, reducing its market share to 17.6% from 22.4% the previous year. The U.S., reviving internal combustion engine policies, reported 1.836 million units sold, decreasing its global market share to 10.4% from 11.9% in the previous year. The Asian market (excluding China) recorded 762,000 units, holding a 4.8% market share.

SNE Research identified the Chinese government’s extensive support and a strong domestic market as key growth factors for the EV market. However, the imposition of additional tariffs by the U.S. and Europe on Chinese electric vehicles could pose challenges to the export-driven growth strategy. SNE Research stated, “Electric vehicle companies must develop strategic responses to restructuring market dynamics caused by protectionist U.S. and European trends. They face a critical turning point where they need to secure price competitiveness, strengthen their hybrid strategy, and explore diverse strategies such as introducing autonomous driving technology.”