Did you know that BYD, which is currently thriving in the electric vehicle (EV) industry, originally started as a low-cost battery manufacturing company? In 2003, BYD used the funds earned from its battery business to acquire Xi’an Qinchuan Auto, a Chinese automaker on the brink of bankruptcy, and established BYD Auto.
At the time, the management and shareholders opposed the company’s expansion into the automotive business. However, Wang Chuanfu, the chairman of BYD, was determined. 2008, he declared the company’s goal: to be number one in China by 2015 and globally by 2025.
In 2005, BYD cleverly copied the design of Toyota’s Corolla and launched its first internal combustion engine vehicle, the F3. The public warmly welcomed this well-copied product, and the F3 quickly became a bestseller within less than a year of its launch, ingraining BYD’s vehicles in people’s minds.
BYD launched its first pure electric vehicle with the release of the E6 in 2011. Even then, more responses questioned why they were developing electric cars when gasoline was cheaper. However, electric cars, which accounted for only 3% of total sales in 2013, approached 37% in 2017, steadily increasing their share. Now, electric vehicles have become BYD’s main product.
Low production costs… The reason why BYD could become the number one
As of 2023, BYD has become the global electric vehicle market leader. BYD sold 151,193 pure electric vehicles worldwide in September alone, surpassing global EV leader Tesla. So, what led BYD, a low-cost battery manufacturer, to become the world’s number one electric vehicle company?
BYD is known to produce most of its parts in-house. The battery is the most expensive part of making an electric vehicle. However, as BYD was a battery production company from the start, it was able to save on production costs in this area. Furthermore, BYD primarily produces low-cost lithium iron phosphate batteries, and China is the third-largest lithium producer in the world. Therefore, they can procure the raw materials to produce batteries cheaply domestically. It is also known that BYD has most of the essential parts for electric vehicles, including steel plates.
BYD’s flagship model is the Dolphin, a mid-size SUV. This vehicle is reportedly manufactured entirely by BYD, except for the tires and windows. Prices vary depending on options, but they range from $17,000 to $30,000, making it one of the cheapest options among existing electric SUVs. This attractive pricing has helped BYD increase its share in foreign markets, including Thailand, Brazil, and Colombia. Recently, BYD has unveiled a new SUV, which features a design contrary to the Dolphin.
The Sea Lion 07 is launching on the 17th… Sleek front and rear design, reminiscent of Lamborghini
On November 13th (local time), Electrek, a specialized electric vehicle media outlet, reported that BYD unveiled a new electric SUV as part of its Ocean series. The new SUV is the BYD Sea Lion 07, a sleek front and rear design vehicle.
Wolfgang Egger, a former designer for Lamborghini and Audi, handled the design, just like the other Ocean series vehicles. As a result, the vehicle’s overall design feels similar to the Lanzador, a pure electric concept car that Lamborghini unveiled in August.
While detailed information has yet to be released, the new BYD SUV is expected to feature BYD’s e-platform 3.0, a platform dedicated to electric vehicles. Electrek predicts the Sea Lion 07 will be sold at approximately $26,000. It is also anticipated to be a strong competitor to the Tesla Model Y in overseas markets, including China. BYD continues to show a threatening presence in the market. Let’s see what kind of dominance BYD will show in the market with its new SUV.
By. Lee Soo Hyun
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