BYD is coming for Europe—but high labor costs, connectivity issues, and stubbornly loyal customers might trip up the Warren Buffett-backed EV maker that’s leaving competitors in a ‘state of shock’
BYD is coming for Europe—but high labor costs, connectivity issues, and stubbornly loyal customers might trip up the Warren Buffett-backed EV maker that’s leaving competitors in a ‘state of shock’
High labor costs, connectivity issues, and stubbornly loyal customers might trip up the Warren Buffett-backed EV maker.
If you asked the typical European or American about BYD a couple of years ago, only the biggest petrol-head or an astute follower of Warren Buffett’s portfolio could have given you a confident answer on what the company does.
It’s taken a brutal price war with Elon Musk and an ascension to the top of the Chinese car pyramid to change that. Now that it’s left competitors in a “state of shock,” BYD has become hard to ignore.
However, as BYD fights a declining share price, Europe’s automakers have a few reasons to be optimistic that they will fare better in a battle on home soil.
Honestly, if they shake up the market and force the European manufacturers to produce cheaper EVs I'm all for it
24They already shook up the industry. This is why auto makers are interested in making EVs after decades of telling people that they don't want EVs. China, the world's largest car market, is saturated with EVs. Now China is exporting to countries that don't have as many EVs as China.
It's very similar to what Toyota did decades ago. Create a good product and expand.
5saturated
the market is, but the uptake is still ongoing. will be very interesting to see how their power distribution infrastructure adapts to the uptake.
1
I hope they come to the Middle East, I'd love to have one
3They will. Once battery supply is sorted out, EVs will be cheaper to buy than ICE cars.
2In Saudi Arabia EVs are already cheaper to fill up. Just waiting for the cheap Chinese EVs.
3
How are the tariffs like? I don't know about Europe, but the US has a 25% tariff on Chinese vehicles and they're even considering raising that. Seems like it'd be a major stumbling block.
0There's also the fact that when your country is renown for dirt cheap shit that maybe works, I don't know if I'd put my butt over a potential bomb.
-1China is known for cheap shit because of people cutting corners to make a quick buck (e.g. companies outsourcing to China and choosing the cheapest options to maximize profits). When it comes to vehicles, it doesn't work that way since you scare away customers if such an expensive item fails. China is capable of making high quality things and do all the time. Do you think Chinese phones are exploding all the time?
3
Never heard of it. Something to do with underwear?
-3