BYD sold 61,409 new energy vehicles in August, more than four times the number sold the previous year, as demand for electric cars continues to climb in the world’s largest auto market.
This statistic almost split between sales of battery electric vehicles and plug-in hybrids.
It was also a higher figure than the 50,492 autos sold in July. BYD shares climbed 5.5 percent in the Hong Kong morning session. BYD is one of China’s largest electric vehicle manufacturers and support by Warren Buffett’s Berkshire Hathaway. However, several start-ups, including Nio, Li Auto, and XPeng, have attempted to compete. Nonetheless, these three are now smaller, with each delivering fewer than 10,000 vehicles in August.
BYD’s stats focus on sales volumes, whereas Nio, Li Auto, and XPeng disclosed delivery figures, thus the comparison is not like-for-like, but it does show the respective firms’ scale.
The global auto industry has been grappling with two significant issues: the ongoing epidemic and a lack of semiconductors used in automobiles.
BYD provided no reaction on the August figures. However, in its half-year results issued last month, the company stated that “profitability is influenced to some extent by variables such as increased raw material prices such as bulk commodities.” Despite the car industry’s challenges, demand for electric vehicles in China continues to rise as the government encourages development.
According to China’s Ministry of Industry and Information Technology, the country expects to sell 1.7 million new energy vehicles in the first eight months of this year, up from 600,000 vehicles in the same period in 2020.
Historically, Chinese automakers released models that resembled those of international brands. However, as sales expanded, many companies, including Geely, Great Wall, and BYD, established their design studios, usually led by international designers, to create new designs.
Geely, located in Hangzhou, owns Volvo Cars and a 9.7 percent share in Daimler and has moved to more athletic designs to increase car pricing. This year, sales at rival Changan have increased due to more modern designs, while Great Wall’s off-road sports utility vehicles are also popular.