BYD Beats Tesla, Becomes World’s Top Electric Vehicle Maker

BYD Company Limited was inching closer to taking over the crown from Tesla as the world's top electric vehicle company. And in the latest update today, the Shenzhen, Guangdong-headquartered EV maker finally did it.

BYD has officially clinched the title of the biggest electric car company in the world after the results of its final quarter of 2023 were revealed. CNN Business reported the China-based auto company sold a record number of vehicles last year, and based on its recent stock exchange filing, this also includes 525,409 units of battery electric vehicles (BEVs) in the 3-month period to Dec. 31, 2023.

Overtaking the Top Spot from Tesla

With the given numbers, BYD successfully surpassed Tesla to become the world's largest automaker. It was reported that in the same quarter, Tesla said on Tuesday, Jan. 2, that it only managed to deliver 484,507 units. Although BYD sold more, this is also a record number for Tesla.

But then again, over the year as a whole, it was reported that Tesla still outdid BYD as it sold 1.8 million units of EVs while the latter sold just 1.57 million. This result states that Tesla's sales increased by 73% compared to 2022. Elon Musk's car company also sold 1.44 million hybrids.

CNN Business also noted that BYD's rapid growth illustrates the growing EV business in China. The Chinese carmaker is also backed by American billionaire businessman and investor Warren Buffet, since 2008

Chinese Carmakers Eyes Becoming Major Players in the Global Market

According to The Guardian, most of the vehicles being sold by BYD have lower prices compared to Tesla. This fact may have influenced the customers' preference, leading to an increase in BYD's sales.

Tesla is said to get 20% of its total sales from the Chinese market, and BYD beat its production for a second consecutive year. With this result, BYD and other China-based EV makers like Nio aim to become one of the major players in global markets - with a greater focus on the European region. It was noted that BYD has an advantage over its rivals in the US and Europe, and this is its capacity to produce its batteries for EVs.

Hargreaves Lansdown's head of money and markets, Susannah Streeter, commented, "While it's the world's leading supplier of rechargeable batteries, Tesla relies on several suppliers and has flagged shortages of lithium as demand ratchets up as a supply chain obstacle in the years to come."

She added, "BYD is already making moves to secure the precious metal by buying a stake in a Chinese lithium producer. It had its eye on purchasing mines in Africa and is scouting assets in South America, where the metal is mined."

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