Korean Media: BYD Becomes the True Global "King of Electric Vehicles"!
On January 29, the Korean media "Chosun Ilbo" published an article stating that the global electric vehicle market has reached a turning point. Chinese electric vehicle manufacturer BYD surpassed Tesla last year to become the world's largest pure electric vehicle seller and has taken control of the global market. With Chinese electric vehicles intensifying their efforts in major markets including South Korea, the tension in the automotive industry is increasing day by day.
BYD's new energy vehicle sales reached 4,602,436 units last year, an increase of 7.7%. Among them, pure electric vehicle sales increased by 27.9% to 2,256,714 units. Therefore, BYD became the world's largest pure electric vehicle manufacturer for the first time, surpassing Tesla.
Tesla's sales in the first three quarters of last year were 1.22 million units, and its preliminary estimated sales for the fourth quarter were 422,850 units. It is expected that the total annual sales will be approximately 1.64 million units, declining for the second consecutive year.
Meanwhile, BYD performed well in the export market, with overseas sales reaching 1 million units. This year, BYD plans to increase its overseas sales target to between 1.5 million and 1.6 million units.
Tesla handed over the throne of the global sales champion to BYD and significantly reduced the prices of its main models in the South Korean market. The Model Y rear-wheel drive version dropped from 52,990,000 KRW to 49,990,000 KRW, while the long-range version dropped from 63,140,000 KRW to 59,990,000 KRW. The Model 3 Performance version dropped from 69,390,000 KRW to 59,900,000 KRW, a decrease of 949,000 KRW.
Tesla also plans to launch a redesigned model "Model 3 Highland" in the South Korean market this year. Industry insiders predict that this car will also adopt an aggressive pricing strategy. Despite the decline in global sales last year, Tesla is expected to maintain its leading position and set a new domestic sales record in South Korea.
The price cuts by Tesla are interpreted as a response to the influx of Chinese electric vehicles into the South Korean market. Chinese electric vehicle brands such as BYD sold more than 5,000 units in South Korea last year, and brands like Zeekr and XPeng will fully enter the South Korean market this year. These companies are expanding consumer choices by emphasizing price competitiveness.
The South Korean automotive industry is responding to these changes. Although there is an expectation that the electric vehicle market will recover, there are concerns that price competitiveness may not keep up with limited demand. Currently, the South Korean domestic electric vehicle market heavily relies on government subsidies, which means that sales will stagnate once the subsidies end.
Experts emphasize that South Korean local automobile manufacturers urgently need to ensure cost competitiveness. Companies such as Hyundai and Kia have leading technology with their ternary (NCM) batteries, but their prices are relatively high.
The Korea Automobile Manufacturers Association (KAMA) stated, "In order to respond to the low-price offensive of Chinese companies, production incentives must be increased, and national-level policies are urgently needed to protect the domestic industry."
Original: toutiao.com/article/1855617264833600/
Statement: This article represents the views of the author.