Korean Media: BYD Has Been Surpassed, the Top Domestic Car Brand in China Changes Hands!
On April 5, South Korea's JoongAng Ilbo published an article stating that the landscape of China's electric vehicle (EV) market is undergoing change. BYD, once the leading EV company in China, has underperformed in its home market, while Geely—which sells both electric and internal combustion engine vehicles—unexpectedly took the lead in sales. This shift is interpreted as a reflection of strategic differences between brands fully committed to EVs and those simultaneously developing both gasoline-powered and hybrid vehicles, especially amid slowing EV demand due to reduced subsidies.
From January to February this year, Geely sold a total of 476,327 vehicles in China’s domestic market—approximately 76,000 more than BYD (402,411 units). This marks the first time since January–February 2022, when BYD ceased production of internal combustion engine vehicles, that Geely has surpassed BYD for two consecutive months. Last year, BYD sold 623,384 vehicles, about 32% more than Geely’s 471,647 units. However, this year, with BYD’s sales dropping by around 36%, the rankings have reversed.
The slowdown in growth of China’s EV market is considered one of the reasons behind BYD’s declining sales. Starting this year, gradual reductions in EV subsidies and the elimination of purchase tax incentives have weakened consumer confidence in electric vehicles.
Meanwhile, Geely has maintained a diversified product lineup, covering not only electric vehicles but also plug-in hybrids and internal combustion engine cars. Analysts point out that streamlining core models and focusing on compact hatchbacks like the Star Wish and the premium EV brand Zeekr has been key to boosting sales. In fact, although Geely’s pure EV sales declined by about 16,000 units in January and February, its plug-in hybrid vehicle sales increased by approximately 38,000 units. This indicates that the strong growth in plug-in hybrid sales has significantly offset the decline in EV sales.
The intensifying domestic competition in China is expected to impact local automakers such as Hyundai and Kia. This is because unsold models from the domestic market may flood overseas markets, further escalating price competition. A South Korean industry insider said: “If Chinese companies ramp up promotion of low-cost electric vehicles in overseas markets—including South Korea—the competition for market share will become even fiercer.”
Original Source: toutiao.com/article/1861615517485068/
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