A dealership in Reze near Nantes, France, displayed the logo of BYD on March 27, 2025. BYD, a prominent Chinese electric vehicle company, experienced a significant 60% increase in sales in the first quarter of the year, surpassing its competitor Tesla. Based in Shenzhen, China, BYD sold over one million new-energy vehicles, including electric cars, hybrids, and commercial vehicles. Pure electric vehicle sales saw a remarkable 39% surge, with over 416,000 units sold.
BYD has been showing strong performance, recently achieving a record revenue of $107 billion last year. In comparison, Tesla's 2024 revenue stood at $97.7 billion, and it experienced a 1.1% decrease in annual deliveries. The majority of BYD's sales are within China, with only 10% exported internationally. Nonetheless, investors and analysts are optimistic about BYD's growth potential, especially in markets like Europe, Southeast Asia, and South America.
In Europe, where BYD is expanding and constructing two manufacturing plants, Tesla is facing a decline in sales. Tesla's European sales dropped by approximately 40% in February compared to the same period in 2024. Wang Chuanfu, BYD's CEO, has pledged to increase total shipments by almost 30% this year and double overseas deliveries to over 800,000 vehicles.
BYD introduced several innovative technologies in the first quarter, including a rapid battery charging system that adds 250 miles of range in five minutes, surpassing Tesla's Superchargers. Additionally, BYD launched an advanced driver-assistance system that competes with Tesla's Full Self-Driving feature, offered at no extra cost for most models.
Concerns about autonomous driving technology were raised in China following a fatal highway crash involving Xiaomi's EV sportscar, prompting a national debate on safety. Xiaomi revealed that its intelligent driving assistance system was in use at the time of the crash, resulting in three fatalities. Meanwhile, BYD, despite facing tariffs preventing its passenger vehicles from entering the US market, is establishing itself as a strong competitor to Tesla, particularly within China, a key player in the global automotive market.