BYD Overtakes Tesla in 2024 Revenue as Electric Vehicle Sales Surge
BYD has surpassed Tesla with 2024 revenue of 777 billion yuan, fueled by strong hybrid vehicle sales. The company matched Tesla in EV sales and introduced a new model, the Qin L, at a significantly lower price. Meanwhile, Tesla faces political backlash and operational challenges due to tariffs on Chinese manufacturers.
BYD, the Chinese electric vehicle manufacturer, has reported an annual revenue of 777 billion yuan ($107 billion) for 2024, surpassing Tesla’s revenue of $97.7 billion. This 29% increase in revenue is attributed to strengthened sales of hybrid vehicles. Last year, BYD sold approximately 1.76 million electric vehicles (EVs), nearly matching Tesla’s 1.79 million, but its hybrid vehicle sales pushed the total to a record 4.3 million vehicles globally in 2024.
In an effort to compete with Tesla’s Model 3, BYD has introduced its new Qin L model, priced at 119,800 yuan as opposed to Tesla’s base model price of 235,500 yuan. This strategic launch aligns with the current economic backdrop in China, where consumer spending is declining due to a property crisis and slowing growth.
Founder Wang Chuanfu recently revealed new battery charging technology that allows for a full charge in just five minutes, significantly faster than Tesla’s supercharger system, which typically takes around 15 minutes. Additionally, BYD announced that its advanced driver-assistance technology, dubbed “God’s Eye,” will now be available for free across all models of the company.
Shares of BYD have risen over 50% this year, supported by investor Warren Buffett. The company’s growth contrasts with the challenges facing Tesla, which has been criticized for Musk’s political affiliations and encounters backlash over his involvement in various global political matters, including his support for right-wing parties in Germany and commentary on UK politicians. Furthermore, Western tariffs imposed on Chinese automotive manufacturers add to the pressures faced by BYD’s competitors, including Tesla.
In conclusion, BYD has emerged as a formidable competitor to Tesla, experiencing significant revenue growth and expanding its sales of hybrid vehicles. The introduction of the competitively priced Qin L model and advancements in battery technology signify BYD’s commitment to innovation and market leadership. Meanwhile, Tesla faces rising challenges, including political controversies surrounding CEO Elon Musk and tariffs impacting its operations, positioning BYD favorably in the electric vehicle market.
Original Source: www.bbc.com
