BYD: Reduces EV prices even further

Η BYD is leading an "offensive" against internal combustion vehicles by further reducing the cost of its EVs as competition from the automotive industry with these vehicles intensifies.

Known for the electric vehicles low-cost models like the Dolphin, Atto 3 and the sleek Seal sedan, BYD is upping its game through 2024.

Read more: BYD: Competing with gas vehicles by launching the EV Qin Plus Honor Edition

As it overtook Tesla to become the world's largest electric vehicle (EV) manufacturer in the last three months of 2023, BYD argues that Tesla is not competition. BYD is focused on gas-powered vehicles.

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BYD started a price war on internal combustion vehicles last month with the new Qin Plus EV and PHEV models. With costs starting at $15,200 (109,800 yuan), the new EV officially ushered in a "new era where electric Energy is more economical than oil."

The DM-i (PHEV) model is even more economical, with a starting price of about $11,000 (79,800 yuan). It offers up to 74 miles (120 km) of full electric range according to NEDC.

The fully electric car (EV) Qin Plus is available with batteries 48 kWh or 57.6 kWh, offering up to 261 miles (420 km) or 316 miles (510 km) of CLTC range, respectively.

Last year, BYD first introduced the DM-i model with a price of under 100,000 yuan (13,900 $).

BYD followed this up with several lower-priced versions of its models with the top Sales, including the new Dolphin EV Honor Edition, starting from 13,900 $ (99,800 yuan).

BYD is cutting prices on the Yuan Plus, its best-selling electric vehicle, and promoting the new Tang and Han models, intensifying price competition with diesel models.

Recently, BYD announced its most economical electric vehicle, the new Seagull EV (Honor Edition), starting at just $9,700 (69,800 yuan), a price that is considered impressive.

See also: Electric vehicles: Cheaper production by 2027

According to a recent report by 36kr, BYD plans to exploit all the technological of advantages to proceed to a "liberation battle" in the next three years.

The report cited many people familiar with BYD's plans, which were presented at a recent internal meeting.

The new platform will upgrade BYD's DM-i electric vehicles (EV) according to sources. Most BYD vehicles are based on the e-Platform 3.0 platform, offering CLTC range of up to 1,000 km.

The platform was released in 2021 and is expected to be updated to version 4.0 this year. A big advantage of BYD's current version 3.0 is the integration of eight functions to one, which reduces costs by approximately 20%.

The upcoming version 4.0 will redefine standards with even greater integration and less use of wires. This will reportedly lead to further cost reductions.

The advanced next-generation DM-i system allows PHEVs to cover more than 1,200 miles (2,000 km) on a full tank of fuel and a full charge. This will pose a problem to traditional gas cars by increasing competition.

BYD's main strategy in the electric vehicle sector is to increase the market share of gas-powered cars in the next three years.

Legacy automakers are already fearful of BYD's low-cost electric vehicles. How will they respond to a new, even lower-cost EV platform?

Although BYD has no plans to introduce electric passenger vehicles in the US, it has market share in major international markets, including Europe, Japan, South America and Thailand.

The first cargo ship of the company BYD landed in Germany last month, carrying about 3,000 vehicles. The move contributes to the automaker's effort to expand its global presence.

According to the Managing Director of Ford, Jim Farley, "if you can't compete with the Chinese, there's a risk to 20% to 30% of your revenue." For this reason, Ford is developing a low-cost electric vehicle platform in order to maintain its competition.

See also: BYD dethrones Tesla as the largest EV manufacturer

While many compare BYD and Tesla, BYD considers Tesla an ally and "peer in the industry". BYD believes that the partnership with Tesla is the best Option, as it aims to increase the share of electric vehicles on the roads.

Source: electrek