Chinese automaker BYD has announced that it has no plans to sell passenger electric vehicles (EVs) in the United States, citing the market’s complexity and political challenges. According to Stella Li, executive vice president and CEO of BYD Americas, while the US market is “interesting,” conflicting politics make it too complicated for BYD to enter.
Li made the comments during an interview with Yahoo Finance Anchor Akiki Fujita, where she discussed BYD’s global EV strategy. Li confirmed that BYD will announce a new manufacturing facility in Mexico, likely in the second half of the year, but emphasized that the facility will primarily support the Mexican market and not serve as an export hub to the US.
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The decision to focus on Mexico comes after speculation arose following comments by BYD Mexico head Zhou Zou about the possibility of building a plant in the country. Zou had mentioned that overseas production was critical for BYD, and Mexico offered significant potential.
However, Li clarified that BYD has no plans to launch EVs in the US, citing the market’s complexity and political factors. She noted that the US market is “a little bit slow down on electrification” and highlighted the confusion among consumers and automakers regarding EVs.
Li compared the US market’s approach to EVs to China’s strong push for electrification, where the message is clear: invest in electric cars or risk being left behind. She attributed China’s success in EV adoption, with around 35% EV share, to policies promoting domestic investments.
In contrast, Li criticized the Inflation Reduction Act in the US, which she believes hinders EV adoption. She also suggested that US automakers are overreacting to Chinese competition in the EV market and urged them to participate or risk losing out in the global market.
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Despite focusing on Mexico and ruling out the US market for passenger EVs, BYD is aggressively expanding its EV lineup. The company recently launched its cheapest EV, the Dolphin EV Honor Edition, priced at under $14,000, and unveiled the Yangwang U9 electric supercar to compete in the luxury segment.
BYD’s expansion efforts also include overseas markets, as seen with the arrival of its first car transport vessel, the BYD Explorer No 1, in Germany carrying 3,000 cars. The move signifies BYD’s ambition to expand its presence beyond China and enter new markets around the world.
