The global astonishment is understandable considering how fast China has mobilized its resources and capital towards electric vehicles, and the proliferation of new EV models that blanket the market. The global astonishment is even more understandable considering that none of the new models come close to the range and quality of Tesla models.
A glaring example of someone who has consistently and openly underappreciated and cast doubts over the abilities of EV manufacturers in China is Tesla’s CEO, Musk. Having openly ridiculed BYD’s offerings in a Bloomberg interview in 2011, Elon Musk is a perfect example. Musk commented, “Have you seen their automobile? I don’t think it is very appealing, and the technology isn’t very strong. Moreover, BYD has major difficulties in their domestic market of China. Their top goal should be to guarantee their survival there.”
But BYD seems to have shown him incorrectly. Leading China’s strong push for electric cars runs on inexpensive semi-solid-state batteries, the business has rapidly expanded its domestic market presence and outperformed Tesla. By revenue, in 2024, to be the world’s largest EV producer. Prominent players in this industry include more established companies such as Geely and SAIC Motor, as well as Chinese startups such as Nio and Li Auto. Also essential in powering these vehicles has been battery behemoth CATL.
Vice president of competitive intelligence, market analysis, and forecasting at S&P Global Mobility, Henner Lehne, said that China’s electric vehicle sector has grown to be a major force changing the worldwide car market. “Just a couple of years ago, the domestic car makers in China were not seen as true competitors to the established global car industry. But that changed quickly within just a couple of years,” Lehne told CNBC through email.
Over the last three years, BYD alone has been producing about 1 million units a year, lowering the enjoyment of many products. Furthermore, noting that managers from traditional car manufacturers, and that the competition is not confined to China.
