BYD is 'seriously thinking' about building EVs in Europe
-rivalling Seal is expected to come to Europe following its imminent Chinese market launch.) But Tesla has an advantage in the region - not just because it has been selling EVs in Europe for over a decade, but also because it is now producing cars at scale in a new factory near Berlin.
Although its commissioning was heavily delayed, the €5 billion Berlin plant has quickly become integral to Tesla’s global output and is estimated to have an annual capacity of 500,000 units. That’s in addition to the roughly 500,000-unit capacity of its Fremont, California factory, the 750,000 cars produced at its Shanghai site each year and the estimated 520,000 cars it will build annually in Texas.
BYD sold 641,350 ‘new energy vehicles’ in the first half of 2022 – a figure that includes a limited number of plug-in hybrids and hydrogen vehicles – compared with Tesla’s 564,000 units and it plans to increase output exponentially over the coming months to sell two million NEVs by the end of the year.
But despite healthy output from its five existing Chinese factories, BYD stands to gain heavily from opening a European factory, both in slashing lead times for local customers and cutting shipping costs. What remains to be seen is whether BYD would build cars in Europe and ship its own lithium iron phosphate batteries in from China or build a facility that could produce both for European markets.
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