BYD Surpasses Tesla in Annual Revenue Amid Intensifying EV Competition
Chinese electric vehicle (EV) manufacturer BYD has reported annual revenue of 777 billion yuan ($107 billion) for 2024, surpassing US rival Tesla as competition in the global EV market continues to grow.
This marks a 29% increase in BYD’s revenue compared to the previous year, driven largely by strong sales of its hybrid vehicles.
BYD’s latest earnings figures put it ahead of Tesla, which reported $97.7 billion in revenue for the same period. Wang Chuanfu, chairman and president of BYD, highlighted the company’s rapid growth, stating that BYD has become an industry leader across various sectors, including batteries, electronics, and new energy vehicles.
In November 2024, BYD became the first automaker to reach a milestone of producing 10 million new energy vehicles. The company’s Hong Kong-listed shares have surged over 50% year-to-date, reflecting investor confidence in its expansion strategy.
A key development bolstering BYD’s position is its newly announced battery technology, which the company claims can charge an EV in approximately five minutes—comparable to the time needed to refuel a gasoline vehicle. The new “Super e-Platform” is expected to enable cars to achieve 400 kilometers (249 miles) of range with just five minutes of charging. Analysts have suggested that such advancements could significantly impact consumer behavior and further accelerate EV adoption.
While Tesla remains a major player in the EV sector, it has faced challenges in 2024, including declining global sales and increasing competition from Chinese automakers. In Europe, Tesla sales dropped 44% in February, while Chinese EV brands collectively saw an 82% increase.
Additionally, BYD has introduced new, competitively priced models to challenge Tesla’s market dominance. The recently launched Qin L electric sedan, for example, offers similar specifications to the Tesla Model 3 but at nearly half the price. With a starting price of 119,800 yuan ($16,500) in China, the model is positioned to attract cost-conscious consumers.
Despite its success, BYD, along with other Chinese EV manufacturers, faces increasing scrutiny in Western markets. The US and the European Union have imposed tariffs on Chinese-made EVs, citing concerns over state subsidies and trade imbalances. Meanwhile, Tesla is navigating both business and political challenges, including a decline in brand perception linked to CEO Elon Musk’s public statements and political affiliations.
