BYD is setting its sights high for 2024, aiming to achieve a sales target of 4 million units, up from 3.02 million new energy vehicles (NEVs) sold in 2023, as reported by local media outlet 36kr today.
The company is expected to announce a sales target of 4 million units, with production capacity reaching 4.2 million at its production sites. The forecasted sales breakdown includes 2 million battery electric vehicles (BEVs) and 2.2 million plug-in hybrid electric vehicles (PHEVs), with an emphasis on lower-priced models dominating sales.
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In 2023, BYD sold a total of 3,024,417 NEVs, surpassing its target of 3 million units, marking a 62.3 percent increase year-on-year. The majority of these sales comprised 3,012,906 passenger NEVs and 11,511 commercial NEVs.
Of the passenger NEVs sold, BYD reported 1,574,822 passenger BEVs and 1,438,084 passenger PHEVs in 2023.
Market research firm TrendForce predicts that BYD is poised to challenge Tesla (NASDAQ: TSLA) for the BEV sales crown in 2024. Tesla delivered 1,808,581 units worldwide in 2023, while BYD’s quarterly passenger BEV sales of 526,409 units in the fourth quarter of 2023 surpassed Tesla’s 484,507 units for the first time.
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BYD’s 4 million sales target represents a 33 percent growth, a challenging goal in the competitive Chinese car market. The company’s strategy includes price cuts, with lower-priced Glory Edition models already launched for several models, and updated versions planned for release.
To support these price cuts, BYD is asking suppliers to reduce costs, aiming for a 10 percent reduction in internal battery prices in the first half of 2024 compared to the same period last year.
Expanding overseas sales is another focus for BYD. The company’s engineering institute has established the Savadika research institute, functioning as an overseas product center, with plans for production plants in Uzbekistan, Thailand, Brazil, and Hungary.
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Construction of BYD’s Thailand plant began in March 2023, with a planned capacity of around 150,000 units per year. The company expects the Thailand plant to reach a monthly capacity of 10,000 units in 2024.
Additionally, BYD is increasing its investment in vehicle intelligence, integrating its intelligent connectivity center and intelligent driving center to establish an intelligent technology research institute. This move is aimed at improving collaboration between the intelligent cockpit and intelligent driving businesses, ultimately reducing material costs.
