Chinese electric vehicle maker BYD quietly dials back its rapid expansion
The post Chinese electric vehicle maker BYD quietly dials back its rapid expansion appeared on BitcoinEthereumNews.com. Chinese electric vehicle maker BYD has quietly dialled back its rapid expansion, cutting shifts at several Chinese plants and postponing new assembly lines, according to insiders. These changes hint that BYD’s blistering growth, which propelled it past Tesla to become the top EV maker, may be running into headwinds as inventory mounts, even after hefty price reductions in China’s fiercely competitive market. BYD cancels all night shifts as production falls Sources familiar with the matter, speaking on condition of anonymity, say BYD has scrapped all night shifts at no fewer than four factories. Production in some plants has plunged by as much as one-third of their maximum capacity. It appears the move was partly to curb costs and partly a reaction to sales figures falling short of lofty targets. Data from the China Association of Automobile Manufacturers shows BYD’s year-on-year output growth slowed to just 13% in April and virtually zero in May, the weakest pace since the Lunar New Year holiday slump in February 2024. What is more, average monthly production in April and May this year was nearly 30% below the final quarter of 2024, marking a clear reversal of the ramp-up seen in 2023 and early 2024. In addition to trimming shifts, BYD has paused plans to add fresh production lines, one insider added. This has reportedly reduced the output capacity of at least four of the company’s factories by a third. According to CarNewsChina, the reasons behind this action were cost savings and failing to meet targets. The company, which sold 4.27 million vehicles last year, predominantly in China, had aimed for about 5.5 million sales in 2025, roughly a 30% increase. But with dealers now sitting on nearly 3.2 months of stock, double the industry average, BYD is reassessing its build-out timetable. BYD’s pricing strategy…
The post Chinese electric vehicle maker BYD quietly dials back its rapid expansion appeared on BitcoinEthereumNews.com.
Chinese electric vehicle maker BYD has quietly dialled back its rapid expansion, cutting shifts at several Chinese plants and postponing new assembly lines, according to insiders. These changes hint that BYD’s blistering growth, which propelled it past Tesla to become the top EV maker, may be running into headwinds as inventory mounts, even after hefty price reductions in China’s fiercely competitive market. BYD cancels all night shifts as production falls Sources familiar with the matter, speaking on condition of anonymity, say BYD has scrapped all night shifts at no fewer than four factories. Production in some plants has plunged by as much as one-third of their maximum capacity. It appears the move was partly to curb costs and partly a reaction to sales figures falling short of lofty targets. Data from the China Association of Automobile Manufacturers shows BYD’s year-on-year output growth slowed to just 13% in April and virtually zero in May, the weakest pace since the Lunar New Year holiday slump in February 2024. What is more, average monthly production in April and May this year was nearly 30% below the final quarter of 2024, marking a clear reversal of the ramp-up seen in 2023 and early 2024. In addition to trimming shifts, BYD has paused plans to add fresh production lines, one insider added. This has reportedly reduced the output capacity of at least four of the company’s factories by a third. According to CarNewsChina, the reasons behind this action were cost savings and failing to meet targets. The company, which sold 4.27 million vehicles last year, predominantly in China, had aimed for about 5.5 million sales in 2025, roughly a 30% increase. But with dealers now sitting on nearly 3.2 months of stock, double the industry average, BYD is reassessing its build-out timetable. BYD’s pricing strategy…
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