Chinese electric vehicle manufacturer BYD has achieved a remarkable milestone in 2024 by surpassing Tesla in annual revenue. The company reported a 29% increase in revenue, totaling 777 billion yuan (approximately $107 billion or £83 billion), driven largely by its hybrid vehicle sales. This performance outstrips Tesla’s revenue of $97.7 billion.
In a significant move, BYD recently launched a price-competitive vehicle aimed at challenging Tesla’s Model 3, which has been the best-selling electric vehicle (EV) in China for some time. This development comes amid a backdrop of challenges for Tesla, including backlash related to CEO Elon Musk’s controversial ties with former US President Donald Trump and Western tariffs imposed on Chinese car manufacturers.
When comparing EV sales, BYD sold roughly 1.76 million electric vehicles last year, closely trailing Tesla’s 1.79 million. However, BYD’s overall sales figures are much higher when including its hybrid models, leading to a record total of 4.3 million vehicle sales globally.
In its effort to capture more market share, BYD has introduced the Qin L model, priced at 119,800 yuan, significantly lower than the basic Tesla Model 3, which starts at 235,500 yuan. This strategic pricing adjustment comes as Chinese consumers are reining in spending due to economic stressors, such as a property crisis and slowing growth.
Recently, BYD’s founder, Wang Chuanfu, unveiled a new battery charging technology capable of fully charging an EV in just five minutes. This innovation is a stark contrast to Tesla’s supercharger system, which typically requires around 15 minutes for a charge. Additionally, BYD has made headlines by offering its advanced driver-assistance technology, known as “God’s Eye,” for free across all its models.
BYD’s shares have surged by over 50% this year, with support from prominent investors like Warren Buffett. On the other hand, Musk and Tesla are facing criticism from various fronts, including Musk’s political interventions and challenges arising from international tariffs aimed at Chinese EV manufacturers.
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