BYD eyeing Germany for third plant in Europe - Reuters

Chinese electric car giant BYD may build its third European plant in Germany. This was reported by a Reuters source, explaining that the company wants to avoid import duties that the EU imposed last year on Chinese electric cars.

Here's What We Know

BYD vice president Stella Li previously said in an interview with Automobilwoche that the company plans to open a third plant in Europe within two years. However, she did not name a specific country.

Germany is now a prime candidate, although a decision has not yet been made. There are reasons for doubts too: high labour and energy costs, low productivity and flexibility. In addition, Beijing requires Chinese companies not to invest in countries that have supported import duties. That crosses Italy and France off the list of potential sites.

BYD is already building two factories - one in Hungary (scheduled to start up in October 2025) and the other in Turkey (to begin operations in March 2026). Together they will be able to produce up to 500,000 cars a year.

Betting on hybrids and electric cars

BYD is actively expanding its presence in Europe, betting not only on electric cars but also on hybrids. SP Global Mobility estimates that the company's sales in Europe will more than double to 186,000 units this year (versus 83,000 units in 2024) and could approach 400,000 units by 2029.

At the moment, BYD's model range in Europe looks like this:

• BYD Atto 2
• BYD Atto 3
• BYD Dolphin
• BYD Seal
• BYD Tang
• BYD Seal U
• BYD Seal U DM-i
• BYD Sealion 7

The Dolphin Surf small electric car is scheduled for release in 2025. BYD is also considering bringing the Denza and Yangwang brands to the European market.

Source: Reuters