Technology
Wednesday, July 3rd, 2024 2:18 pm EDT
Chinese electric vehicle maker BYD is poised to surpass Tesla in battery electric vehicle (BEV) sales this year, with its market share expected to increase significantly, as highlighted in a Counterpoint Research report. This shift reflects the evolving dynamics of the global EV market. In the second quarter, BYD’s BEV sales surged by nearly 21% year-on-year to 426,039 units, while Tesla’s deliveries declined by 4.8% to 443,956 vehicles. Last year, BYD’s total production, which includes both battery-only and hybrid cars, exceeded 3 million units, outstripping Tesla’s 1.84 million cars for the second consecutive year. However, in terms of BEV production alone, Tesla remained on top with BYD manufacturing 1.6 million battery-only passenger cars and 1.4 million hybrids.
BYD lost the top EV vendor position to Tesla in the first quarter, but Counterpoint emphasized that China continues to dominate the BEV market, with BYD leading the charge. China’s BEV sales are projected to be four times greater than those of North America in 2024, and the country is expected to maintain over 50% of the global BEV market share until 2027. By 2030, Chinese BEV sales are anticipated to surpass the combined sales of North America and Europe.
In response to the increasing influence of Chinese EV manufacturers, the European Union announced additional tariffs on Chinese EV firms to address the “threat of clearly foreseeable and imminent injury to EU industry.” BYD will face an additional 17.4% tariff, Geely an extra 20% duty, and SAIC the highest with 38.1%, in addition to the standard 10% duty on imported EVs. These tariffs, currently provisional, are set to be implemented from July 4 if discussions with Chinese authorities do not yield a resolution. The new tariff rates aim to create a level playing field for European EV manufacturers who struggle to compete with lower-priced Chinese imports. This might drive Chinese automakers to focus on emerging markets such as the Middle East, Africa, Latin America, Southeast Asia, Australia, and New Zealand.
Global BEV sales are forecasted to reach 10 million in 2024, as internal combustion engine vehicles continue to decline. This growth will be supported by efforts to enhance the cost-efficiency and affordability of EVs and EV batteries.
For the full original article on CNBC, please click here: https://www.cnbc.com/2024/07/03/chinas-byd-is-set-to-beat-tesla-in-2024-battery-ev-sales.html
