Beijing-based electric car giant BYD announced on Monday that it successfully manufactured over 3 million new energy vehicles in 2023, placing the company on track to outpace Tesla’s production for the second consecutive year. As of Tuesday in Asia, Tesla had not yet disclosed full-year figures, but it previously stated a production of 1.35 million cars during the first three quarters of 2023.
In the previous year, Tesla produced 1.37 million vehicles, trailing behind BYD’s 1.88 million. Notably, new energy vehicles encompass battery-powered and hybrid models. BYD’s vehicles typically fall within a lower price range compared to Tesla’s, with a significant portion being hybrid models, whereas Tesla exclusively sells purely battery-powered cars.
Although BYD’s annual sales slightly missed CLSA’s expectations for 3.05 million vehicles, the company stated it sold 3.02 million new energy vehicles in 2023. Of these, 1.6 million were battery-only passenger cars, and 1.4 million were hybrids. It’s worth noting that BYD ceased production of purely gasoline and diesel-powered cars in March 2022.
As competition intensifies in China’s rapidly growing electric car market, various companies are launching new models and expanding their presence. Xiaomi, known for smartphones, recently unveiled plans to enter the electric vehicle (EV) market, while Li Auto is set to launch its first purely battery-powered vehicle, MEGA, on March 1.
Other players in the Chinese EV market, including Xpeng, Aito, Zeekr, Nio, Nezha, and Aion, have reported significant increases in deliveries and sales for the year 2023. Meanwhile, BYD is not only dominating the domestic market but is also expanding overseas, with plans for a new production center in Hungary and sales exceeding 242,000 new energy passenger vehicles overseas in 2023.
Analysts suggest that expanding into overseas markets is crucial for Chinese automakers to achieve long-term success globally. Nomura China autos analyst Joel Ying emphasized the significance of moving overseas as the key to success for leading Chinese carmakers in the global market, particularly in the era of electric vehicles.
