BYD’s impressive financial performance in 2024 has indeed put it ahead of Tesla in terms of annual revenue, marking a significant milestone for the Chinese electric vehicle (EV) maker. With revenue rising by 29% to 777 billion yuan ($107 billion), BYD’s growth has been fueled by strong sales in its hybrid vehicles, which have helped boost overall numbers. This surpasses Tesla’s revenue of $97.7 billion for the same period, signaling BYD’s growing influence in the EV market.
Interestingly, BYD’s sales numbers for fully electric vehicles (EVs) are quite comparable to Tesla’s, with 1.76 million EVs sold by BYD versus Tesla’s 1.79 million. However, when including the sales of its hybrid vehicles, BYD far outstrips Tesla, selling a total of 4.3 million vehicles globally in 2024. This gives BYD a much larger share of the overall vehicle market compared to Tesla, which remains focused on fully electric cars.
To further compete with Tesla, BYD launched its new Qin L model, a lower-priced electric car aimed at undercutting Tesla’s Model 3. The Qin L has a starting price of 119,800 yuan, which is significantly cheaper than the base version of the Tesla Model 3, priced at 235,500 yuan. This price competitiveness is especially important as Chinese consumers face economic pressures, making affordability a key factor in purchasing decisions.
Additionally, BYD is making strides in EV technology, with founder Wang Chuanfu unveiling a new battery charging technology that could charge an EV in just five minutes—significantly faster than the 15-minute charging time offered by Tesla’s Supercharger network. This innovation could further position BYD as a strong competitor to Tesla in the rapidly evolving EV market. Moreover, the company’s decision to offer its “God’s Eye” advanced driver-assistance system for free across all models is a bold move to enhance its appeal to consumers.
In the face of challenges such as economic slowdowns, global tariffs, and competition from both traditional automakers and other EV startups, BYD’s rapid growth and innovative strategies are helping it establish a solid foothold in the global electric vehicle market.
Do you think BYD’s pricing strategy and technological advancements could further shift the balance of power in the global EV market?