BYD, the Chinese electric vehicle manufacturer, is aggressively expanding its global footprint and is now setting its sights on Mexico for its next strategic move. Stella Li, CEO of BYD Americas, confirmed that the company is currently scouting locations within a 200 km (124-mile) radius of Mexico City for a new factory dedicated to producing vehicles for the local market.
The decision on the factory’s location is expected to be made in the second half of this year. Li explained that sites near the U.S. border are being avoided to minimize transportation costs for Mexican buyers.
See also: BYD Explores Mexican Plant to Boost Local Market Share
Despite concerns from the U.S. about new competition from Chinese automakers, Li expressed that Mexican officials have been supportive of BYD’s plans. However, details on which of BYD’s existing or future models will be produced in Mexico were not disclosed.
According to Fortune, Mexico saw only 11,766 new battery-electric vehicles sold last year, indicating a significant growth opportunity for BYD. The company’s lineup includes affordable models like the Seagull, Dolphin, and Atto 3, as well as plug-in hybrid vehicles such as the Qin Plus DM-i, priced at just 79,800 yuan (approximately $11,000).
See also: BYD Rules Out Launching Passenger EVs in the US, Citing Market Complexity and Political Factors
In an interview with Yahoo Finance, Li clarified that BYD has no plans to enter the U.S. market or manufacture vehicles in Mexico for export to the U.S. This decision contrasts with other automakers, like Tesla, which are planning to build near the U.S. border for export purposes.
Aside from its focus on Mexico, BYD is also expanding elsewhere. The company recently started construction on a new plant in Brazil, where the Dolphin has already become the country’s top-selling EV. These moves highlight BYD’s commitment to expanding its presence in key global markets.
