BYD Targets Sales of 4 Million Units in 2024, Driven by Low-Cost Models

China’s BYD plans to set its production capacity at 4.2 million units in 2024, with a sales target of 4 million units, 30% more than in 2023, according to a report by China Daily on February 26, 2024. Of these 4.2 million units, 2 million will be battery electric vehicles, and 2.2 million will be plug-in hybrid electric vehicles. The report also stated that low-cost models will dominate the market.

In 2023, BYD’s sales volume increased 62.3% from the previous year to 3,024,417 units. Of these, 3,012,906 were passenger electric vehicles, and 11,511 were common-use vehicles. Battery electric vehicles accounted for 1,574,822 units, and plug-in hybrid electric vehicles for 1,438,084 units. Since March 2022, BYD has stopped producing internal combustion engine vehicles.

China Daily also reported, citing their representative, that BYD aims to reduce its integral battery prices by 10% in the first half of 2024 compared to the same period last year and by an additional 10% in the second half.

BYD started production at its Uzbekistan factory at the end of January and is building factories in Thailand, Brazil, and Hungary. Construction of the Thailand factory began in March 2023, and the company previously announced that the facility is expected to start production in 2024 with an annual capacity of about 150,000 units.

Meanwhile, BYD’s Intelligent Connectivity Center and Intelligent Driving Center will merge to establish an Intelligent Technology Research Institute. This means that BYD’s intelligent cockpit and driving businesses will collaborate at different levels, which is expected to result in material cost savings.