BYD to Build A New Energy Passenger Vehicle Factory in Hungary for Localised Production in Europe
A realistic vision & prediction of future BYD EV sales? Or a “ghost cities” - “if you build it; they will come [buy]” approach?
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I thought BYD’s main advantage was low cost labor in China. How does manufacture elsewhere fit? Possibly assembly of parts made in China. Or in Mexico advantage of Nafta to minimize tariffs.
Defeat tax wars. Save on freight. Besides, China is no longer the cheapest labor market.
The Captain
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Some years ago, a Ford Motor honcho said that the variable cost of building a car in China, and importing to the US, was higher than building the same model in Mexico, for the US. While Mexican labor is cheaper than Chinese, from the data I have seen, Indian labor rates make Mexicans look rich.
Steve
BYD claims to have superior battery technology.
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In order to get the tax rebates for EVs sold in the US, the assembled batteries AND their materials have to be sourced from approved sources/locations. Which eliminates China as a battery materials supplier.
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True but not all nations are following the US lead on that.
BYD makes quality EV that will be sold worldwide. Just not in the USA.
Major vehicle manufacturers are way behind the curve in EV manufacture.
https://gmauthority.com/blog/2024/05/former-gm-chief-engineer-says-byd-seagull-ev-is-clarion-call-to-u-s-auto-industry/
https://apnews.com/article/china-byd-auto-seagull-auto-ev-cae20c92432b74e95c234d93ec1df400
US residents do not have the authority to buy and import any vehicle they choose. Which eliminates most vehicles not made for the US market because the US has far stricter limitations on vehicles allowed to be used in the US.
True but BYD will likely dominate in non US market space.
And there still is the question on how BYD Mexico produced will be treated by USA.
BYD claims such EVs won’t be imported to USA. BUt that could change.
https://electrek.co/2024/02/27/byd-no-plans-sell-evs-us/
In somewhat related “news”, the state of Michigan has scaled back the incentives offered to Ford, for their JV battery plant near Marshall, as Ford has scaled back the size of the plant.
Steve