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"The light of domestic goods" BYD: go to sea to break the wrist

This year's BYD has thoroughly implemented the "unusual" style.

"The light of domestic goods" BYD: go to sea to break the wrist

In March, it announced the suspension of fuel vehicles, in June, the market value of BYD exceeded one trillion yuan, in July it announced that it would enter the Japanese market, and in August it entered the Fortune Global 500 list for the first time. Of course, the source of BYD's popularity comes from months of rising sales.

Di Wang's "up" word is the head

On August 3, BYD disclosed the July production and sales express. Its sales in July reached 162,530 units, an increase of 183.1% year-on-year, of which a total of 162214 new energy passenger cars were sold, an increase of 184.7% year-on-year. This year's cumulative sales of 8,038.8 million vehicles, an increase of 292% year-on-year.

Among BYD's new energy vehicle sales, 81,000 pure electric passenger cars and 81,200 plug-in hybrid passenger cars were sold. Plug-in hybrid models have slightly surpassed pure electric models.

"The light of domestic goods" BYD: go to sea to break the wrist

BYD's "skyrocketing" model actually began in March this year, and since then, monthly sales have exceeded 100,000+.

Judging from the half-year sales data, in the first half of 2022, BYD's new energy passenger car sales totaled 638,000 units, an increase of 324.8% year-on-year. Surpassed Tesla's 560,000 vehicles in the first half of the year and sat on the throne of the world's new energy vehicle sales.

The sales volume was absolutely dusty, and the capital blue eye and the stock price rose sharply. Among them, the sharp rise in mid-June this year made the market value of A-share BYD exceed one trillion yuan for the first time. What is even more highlighted is that on August 3, in the list released by the Fortune Global 500, the domestic car brand BYD entered the list for the first time, ranking 436th.

In the promotional poster, BYD used a few sentences such as "not only the world's top 500, the industry is not only automobiles, the business is not only in China", pointing out the next strategic focus - going to sea and internationalization.

Not only the top 500, but also the sea

Differently, in the July production and sales bulletin, BYD actually announced the sales of overseas new energy passenger cars, totaling 4,026 units. This detail also reflects that BYD is gradually paying attention to the layout of overseas markets.

"The light of domestic goods" BYD: go to sea to break the wrist

Time goes forward, and BYD's new energy passenger car strategy can be said to be the prelude to the opening in May 2021. At BYD's 1 millionth new energy passenger car off the production line, BYD officially announced that it will take Norway as the first stop to enter the European passenger car market.

Since then, BYD has announced its entry into Latin America such as Colombia, Uruguay, the Bahamas, Dominica, Costa Rica and Brazil, as well as the Australian market.

On July 21 this year, BYD suddenly announced to the auto industry that it would enter the Japanese passenger car market. At the press conference held in Tokyo, BYD unveiled three electric models of yuan PLUS, dolphin and seal. Among them, the meta PLUS is expected to be released in January 2023, and the dolphin and seal are expected to be released in the middle and second half of 2023, respectively.

"The light of domestic goods" BYD: go to sea to break the wrist

On August 1, BYD also said that it will cooperate with The European car dealer group Hedin Mobility to provide new energy vehicle products for Sweden and Germany, the hinterland of the European automotive industry, and is expected to deliver the first batch of vehicles in the fourth quarter of this year. On August 2, it was announced that it will cooperate with Israel's Shlomo Automobile Company to sell new energy vehicles in the local area.

Among the many "going to sea" destinations, BYD attaches the most importance to the Japanese market. This can be seen from the top of its official Weibo.

Due to the strength of Japanese brands such as Toyota, Honda, Nissan, Mitsubishi, Mazda, subaru and so on, the Japanese auto market has always been an export "forbidden land" in the eyes of car companies. According to the statistics of Japanese passenger car sales in 2021, the top 20 models sold are all covered by the top three Japanese models.

But BYD, which has been completely new energy, is targeting the Japanese electric vehicle market. According to the data, the total sales of pure electric vehicles in Japan in 2021 are less than 20,000, accounting for only 0.45% of total sales.

On the one hand, this means opportunities for BYD. In the Japanese passenger car market, at present, most local car companies are trying or hesitating about the pure electricity field. At the beginning of 2021, the Japanese government has proposed a declaration to stop selling fuel vehicles in 2035. BYD clearly saw the timing.

"The light of domestic goods" BYD: go to sea to break the wrist

But on the other hand, it also said that Japanese consumers' current choice and recognition of electric vehicles is still relatively low. Judging from the data in 2021, even Tesla has sales of only 5200 vehicles in Japan. Therefore, in the short term, BYD will still face the iron-walled stock market in Japan.

Therefore, some insiders said that BYD's entry into the Japanese market now may have a greater symbolic meaning, that is, entering the market of developed countries to show that its products are technologically advanced and of high quality. And the amount of sales is not the most important point in the early stage.

The advantages and tests of going to sea

The data shows that in 2021, China's automobile exports will reach 2 million, of which 300,000 new energy vehicles will be exported. Data from the China Association of Automobile Manufacturers also show that in the first half of this year, the mainland exported a total of 202,000 new energy vehicles, an increase of 1.3 times year-on-year, accounting for 16.6% of the total automobile exports.

The sudden emergence of new energy vehicles has become a new bright spot in automobile exports. This also depends entirely on the acceleration of exports by a number of Chinese car companies.

Before BYD, a number of Chinese auto brands have been actively impacting overseas markets, especially into developed countries such as Europe. For example, Brands such as Weilai, Xiaopeng, Lantu, BYD, and Hongqi have rushed to the Nordic country of Norway.

"The light of domestic goods" BYD: go to sea to break the wrist

In contrast, BYD's advantage is that its pure electric bus has been laid out in the early stage of Europe and Japan. It is reported that at present, BYD's new energy vehicle business covers six continents, more than 70 countries and regions, and more than 400 overseas cities. The global cumulative delivery of pure electric commercial vehicles exceeds 85,000 units, while involved in the sales of European, American, Japanese and Korean markets, has accumulated a certain market foundation and brand base.

Moreover, unlike the direct operation model of the new car-making forces, BYD has always used the dealer model to lay a sales network, and therefore, MOST of BYD's overseas trips have chosen to cooperate with dealers. This can reduce capital investment to a certain extent.

However, in the name of new energy passenger cars, the test is also inevitable. For example, nearly half of BYD's current new energy sales come from the plug-in hybrid model, and at the same time, its main sales volume mainly comes from the domestic market, and it is far from reaching the stock competition overseas market... For BYD, this may just be the beginning.