China EV Sales Surge As EV Giant BYD Picks Up Sales

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Because of inventory issues and trade-in programs, EV and EV hybrid sales jumped in August. The primary beneficiary is EV giant BYD.

According to The Wall Street Journal, BYD unit sales rose 36% to 373,083. This is about ten times the August unit sales of the other large Chinese EV manufacturers.

Falling Prices

Another reason for the excellent sales is falling prices. In this way, China’s EV pricing activity is similar to that of the US. Tesla is the market-like leader in America, with a share of about 50%. A price war broke out as legacy companies, led by Ford, attempted to pick up sales. These companies have concluded that without EV prices below $25,000, the slowing of sales growth will continue.

BYD’s future success will be built on expanding outside China and middle-sized markets into the US and EU. For the time being, tariffs are blocking that move. However, EV sales could be 58% of the US market by 2035.

US Market

The tariffs are meant to protect US car companies. There is a theory that consumer demand will cause the tariffs to be dropped. Another consideration is the enrolment. The benefits of EVs will be modest without lower-priced vehicles. Also, EVs will need to overcome the fact that gas powered cars can go 500 miles on a single tank.