BYD, a Chinese car manufacturer, has achieved a significant milestone by leading the Chinese car market for the first time in 2024. According to Asia Nikkei, BYD sold 3.65 million vehicles in 2024, a 46% increase from the previous year. This remarkable growth puts BYD at the top of the Chinese car industry, surpassing joint ventures between state-owned and foreign car manufacturers, which have historically dominated the market.
BYD’s success is not limited to the Chinese market. The company is also expanding globally, with a significant presence in South East Asia and Latin America. In fact, while only 10% of BYD’s vehicles were sold outside of China in 2024, the company is making progress in these regions. Its largest production facility outside China is located in Brazil, although it has faced controversy over allegations of exploitation.
BYD’s rise to the top is not without impact on foreign car manufacturers. Volkswagen, the second-largest seller, saw a 6% decline in sales in China, while General Motors, Toyota, and Honda also experienced a decline. The shift towards electromobility may also be a factor, as around 41% of all Chinese vehicle sales in 2024 were electric or hybrid models.
This development is a testament to the growth of private car companies in China, with Geely Auto also reporting a 30% increase in sales. BYD’s success is likely to accelerate the country’s transition to new-energy vehicles and may lead to a significant shift in the global car market. As the world’s largest car market, China’s trends will have a significant impact on the global automotive industry.