a report that its factory in Bahia, Brazil, a former Ford Motor plant, secured export orders for about 100,000 vehicles from Argentina and Mexico. This development suggests BYD’s strategy to localize production in South America is still in its early stages and set to flood the continent with Chinese EVs.
Brazil is BYD’s largest market outside China. The factory in Bahia is critical to the Chinese company’s overseas expansion plans in the Americas. The plant has a capacity to make 150,000 EVs per year.
The Chinese have “carved out space,” for both electric and conventional cars, said Martin Bresciani, president of Chile’s automotive business chamber, CAVEM. “The Chinese have already demonstrated that they match global standards in quality.” Chinese brands reached 29.6% of all new passenger car sales in Chile in the first quarter of this year.
The share of EV sales in South and Central America has doubled this year compared to 2024. The total across the entire region is just 4%, but in some markets, that percentage is much higher. In September, EV sales in Chile were 10.6%, 9.4% in Brazil, and 28% in Uruguay. BYD is the market leader in Argentina, Brazil, Colombia, Ecuador, and Uruguay.
Chinese automotive giant BYD has officially opened its largest Electric Vehicle manufacturing facility outside of Asia, marking a significant expansion into the South American market. The new complex, constructed on a site previously occupied by Ford and acquired in 2023, represents a substantial investment exceeding $600 Million and is projected to generate approximately 20,000 jobs.
Argentina recently removing import duties and restrictions on electric and hybrid vehicles. This policy shift is expected to allow approximately 50,000 vehicles to enter the country, the majority originating from China, with BYD poised to capture a significant portion-potentially close to a quarter-of this influx.
The story of BYD’s expansion isn’t merely about one company’s success; it represents a larger narrative of China’s growing influence in the global automotive industry. Chinese manufacturers are increasingly competitive in terms of both technology and price, and their presence is reshaping markets worldwide.
BYD has already become a dominant player in the electric bus market across several South American countries, including Brazil, Colombia, and Chile. This provides a strong foundation for expanding into the passenger vehicle segment.
The charging infrastructure in Central & South America is lagging. That must be improved to facilitate EV expansion in those regions.