BYD to Localize All European EV Production by 2028

BYD is in talks with hundreds of European suppliers and plans to open more than 1,000 stores across 32 European countries by the end of the year.

BYD plans to begin local production in Europe within the next three years, aiming for fully localized electric vehicle manufacturing by 2028 in response to the EU’s tariff policy, Reuters reported on September 8.

Speaking at the IAA Mobility in Munich, Stella Li, BYD’s Executive Vice President, said the company is accelerating its production footprint in Europe. Its Hungary plant is expected to begin operations later this year, while construction of a new facility in Turkey will commence in 2026.

“With two to three years, we are training ourselves to be more European in production,” she said.

At the same time, the company is rapidly expanding its sales and supply chain network. Li told Bloomberg that BYD is in talks with hundreds of European suppliers and plans to open over 1,000 retail outlets across 32 European countries by the end of this year.

Currently, BYD offers 13 models in Europe, compared with only six two years ago. The latest addition is the Seal 06 DM-i touring, which boasts a combined driving range of 1,350 km.

On the product side, BYD is recalibrating its European strategy. Initially focused solely on battery electric vehicles (BEVs), the automaker began introducing plug-in hybrid electric vehicles (PHEVs) late last year, which quickly became its bestsellers. In the UK, the company’s top-selling model is a PHEV.

Li revealed that three to four more PHEV models will be launched in Europe over the next six months, adding that their sales are expected to soon surpass BEVs. “Within the next one to two years, PHEVs will dominate the European market,” she said.

BYD also plans to bring its luxury brand Yangwang to Europe in 2027, further broadening its portfolio.

Globally, BYD sold 4.2 million vehicles in 2024—ten times its 2019 sales—but has faced several months of declining sales in China. Li said this is a normal adjustment after years of rapid growth. “BYD remains number one in China, but future growth will increasingly come from overseas markets,” she added.

Attention is also turning to BYD’s leadership succession. Under Chinese policy, 59-year-old Chairman Wang Chuanfu may be required to retire in early 2027. Asked about succession planning, Li only said: “That’s a secret.”