Reports from the Heart of the Machine
Edit: Shanshan
Is the era of new energy vehicles really coming?
On the evening of April 3, BYD announced the March production and sales express report on the Hong Kong Stock Exchange. In March this year, the company's new energy vehicle production was 106658 units, an increase of 416.96% year-on-year; sales were 104878 units, an increase of 422.97% year-on-year. This is the first time in BYD's development history that monthly production and sales have exceeded 100,000 vehicles.
It should be noted that the production and sales of BYD fuel vehicles in March were all "0", which means that BYD's production and sales have been fully electrified.
According to the announcement, according to the company's strategic development needs, the company will stop the production of fuel vehicles from March 2022. In the future, in the automotive segment, the company will focus on pure electric and plug-in hybrid vehicles. This marks that BYD has become the first traditional car company in China to stop production of fuel vehicles!
All in new energy vehicles
Although BYD's sales of traditional fuel vehicles have dropped significantly, the sales of plug-in hybrids and pure electricity are hot. Judging from the published data, BYD sold 50,674 vehicles in March, a year-on-year surge of 615.2%. Pure electric vehicles sold 53,664 units, an increase of 229.2% year-on-year.
At the same time, in the first quarter of this year, BYD's new energy vehicle sales accounted for 98% of total sales. The company's cumulative sales this year were 291378 vehicles, an increase of 179.78% year-on-year. Among them, the cumulative sales of new energy vehicles this year 286329, an increase of 422.97% year-on-year.
In recent years, with the support of policies, the development of new energy vehicles has become a major trend, and BYD's tendency in related business layout is also very obvious. According to the financial report, BYD's R&D investment in 2021 was 10.626 billion yuan, an increase of 24.20% year-on-year, and most of the projects were related to new energy vehicles, including blade battery technology, energy storage products, DM-i super hybrid, DM-p technology platform, DiLink 4.0, e platform 3.0 and large-size half-chip photovoltaic module technology.
Under the background of rising fuel prices and raising the cost of fuel vehicles, the demand for new energy vehicles continues to rise. Based on the average fuel consumption of 9L/100 km under urban conditions and the annual mileage of 10,000 to 15,000 km, the annual fuel cost of The No. 95 gasoline vehicle under the current price increased by 1449 to 2174 yuan compared with the same period last year, and the annual fuel cost of the No. 92 gasoline vehicle increased by 1359 to 2039 yuan compared with the same period last year.
Guohai Securities Research Report shows that the plug-and-mix model represented by DM-i technology has a cost advantage. DM-i reduces vehicle production costs in three ways: 1) the two ultra-high-speed motors of the EHS electromix system are designed in parallel, the generator is directly connected to the engine, and the clutch and reducer are connected by the reduction gear, saving the transmission cost; 2) the blade battery of lithium iron phosphate is lower than that of traditional batteries; 3) the engine is changed from 1.5T to 1.5L, eliminating the range extender and thus reducing the engine cost.
Taking BYD as an example, the price difference between BYD Song PLUS DM-i and Tang DM-i models and their corresponding fuel models has narrowed to 31,000 yuan and 24,000 yuan respectively; the new model Han DM-i has a 100-kilometer power loss fuel consumption of 4.2L and a starting price of 216,800 yuan, which is more cost-effective than the old DM model.
BYD said in the announcement that in the future, the company will focus on pure electric and plug-in hybrid vehicle business in the automotive sector. At the same time, the company will continue to produce and supply fuel vehicle parts, and continue to provide perfect service and after-sales guarantee for existing fuel vehicle customers, as well as the supply of spare parts throughout the life cycle to ensure worry-free travel.
Market competition is fierce
With the gradual landing of smart electric vehicles planned by new forces + traditional OEMs in 2022, market competition is fierce, and brand scuffles are accelerating.
On April 1, a number of car companies announced sales in March, with a significant increase. Among them, Aeon, Xiaopeng and Nezha have sold more than 10,000 yuan a month, leading the "new forces".
Minsheng Securities expects that under the supply-side chip replenishment of the automobile market in 2022, the backlog of new energy demand is expected to accelerate the release. In 2022, new energy passenger car sales are expected to sprint to a new peak of 5.2 million units, with a growth rate of 56% and a penetration rate of more than 22%.
In the past year, stimulated by various factors such as subsidy decline, chip shortage, and rising raw material prices, car companies have successively raised the price of their new energy vehicles to cope with the pressure of rising costs, and the increase is generally in the range of 5%-15%.
On January 21, 2022, BYD Auto officially announced that from February 1, the official guidance price of new energy models related to Dynasty Network and Ocean Network will be adjusted, ranging from 1,000 to 7,000 yuan, involving all its new energy models.
Guohai Securities believes that the price increase tide will be a reshuffle of the new energy vehicle market, and the market share will be further concentrated to high-quality brands. The price increase puts forward higher requirements for the comprehensive strength of each main engine factory, including brand marketing, cost control, product strength, etc., and the strong can better digest the impact of the price increase and continue to maintain the rapid growth of sales, while the weak will be greatly affected in sales.
At present, BYD's market share of hybrid products has been very high. Industry insiders judge that BYD's suspension of fuel vehicle production at this time will help the company focus all its energy on energy saving and pure electric vehicle models, which is more conducive to the company's scale expansion.
According to Shanghai Securities analysis, BYD relies on e3.0 and DM-i technology to accelerate the iteration of models, and the current sales volume is in a period of rapid growth, and it is expected that the annual sales volume of 22 years is expected to exceed 1.5 million vehicles.
A list of models launched last week