Chinese automaker BYD is set to intensify competition in South Korea with the launch of its Seal EV, priced at under $25,000, aiming to rival Hyundai and Tesla in the electric vehicle market.
The Seal EV, initially launched in China in 2022, is now expanding its presence into new markets, including Europe, Australia, and Brazil.
Sporting a sleek design, the BYD Seal EV measures 4,800 mm in length, 1,875mm in width, and 1,460 mm in height. This puts it in direct comparison with Tesla’s Model 3 in terms of size and performance.
The recent introduction of the new Seal EV Honor Edition in March 2024 priced at $25,000 (179,800) in China, boasts an impressive CLTC range of up to 342 miles (550 km).
In Europe, the Seal EV is priced around $48,500 (45,000 euros) and offers a WLTP range of up to 354 miles (570 km).
BYD has already applied for emissions and noise certification with the South Korean environment ministry, signaling its entry into the South Korean market. The approval process typically takes two to three months and includes a review of factors such as driving range on a single charge.
The BYD Seal EV is expected to compete directly with Hyundai’s IONIQ 6 and Tesla’s Model 3, offering a compelling option for consumers seeking an affordable electric sedan.
Analysts believe the Seal EV will be eligible for EV subsidies in South Korea, although the use of LFP batteries could impact this eligibility.
BYD is also planning to introduce other low-cost EV models in Korea, including the Dolphin and Atto 3, two of its best-selling models.
The entry of BYD into the Korean market is expected to challenge domestic automakers like Hyundai and Kia, which currently dominate the market. Last year, Hyundai and Kia’s combined market share slipped to 76.6%, a decrease of 3.5%.
In response to the growing competition, Hyundai and Kia are also launching low-cost EVs, with Hyundai set to reveal its Casper EV (Inster EV in Europe) later this month, and Kia already accepting orders for its new EV3, priced at $30,700 (KRW 42.08 million) in Korea.
Kia aims to sell 18,000 EV3 models in its home market in the last six months of 2024, with plans to export to Europe later this year and the US in 2025. Reports suggest Kia will also manufacture the EV3 in Mexico to qualify for the federal tax credit in the US.