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Top Chinese EV Maker Posts Massive Profits Amid Quest To Sneak Into US Market

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Jason Cohen Contributor
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BYD, China’s top electric vehicle (EV) maker, recorded a substantial increase in profits in its 2023 annual report published on Tuesday.

BYD previously dethroned billionaire Elon Musk’s Tesla as the worldwide industry leader in EV sales during the last quarter of 2023, and the company is currently plotting an expansion into western markets. Its yearly profit rose 80.72% compared to 2022 as it increased EV and hybrid sales, according to its report. (RELATED: CCP-Tied Battery Firm Could Pose Major National Security And Espionage Threats, New Report Warns)

BYD’s net profit nearly doubled from 16.6 billion yuan to over 30 billion, according to its report. The company also sold over 3 million vehicles in 2023 compared to 1.8 million in 2022.

BYD sold close to 1.6 million battery EVs and more than 1.4 million hybrids, which Tesla does not manufacture. Its cars are significantly cheaper than Tesla’s with one of its vehicles selling for around $10,000, while Tesla’s lowest cost model is around $39,000, according to CNN Business.

“Riding on its comprehensive and mature industrial chain and leading electrically powered intelligent technology, China’s new energy vehicle brands enhanced their product and brand power continuously, and were also widely recognized by global consumers,” BYD’s report states.

BYD has been looking into establishing new EV plants in Mexico to enter the American market to circumvent steep tariffs, according to Reuters. The U.S. EV sector could face an existential risk if cheap Chinese cars flood the American market.

EVs and hybrids made up 30% of all Chinese car sales during the first 11 months of 2023, CNN Business reported, citing data from the China Association of Auto Manufacturers. EVs made up around 7% of total sales in the U.S. in 2022, according to NBC, which cited Hong Kong-based Counterpoint Research.

President Joe Biden’s administration is aiming for 50% of all new car sales to be EVs by 2030, and is aggressively regulating the auto market as well as spending billions of dollars to influence consumers and manufacturers to adopt EVs. The administration’s agenda and China’s dominance of key supply chains has put Chinese firms in position to cash in on subsidies and possibly flood the U.S. market despite the administration’s initiatives to block them, trade and energy experts recently told the DCNF.

BYD is involved with the Chinese Communist Party’s Belt and Road Initiative, which is “a massive China-led infrastructure project that aims to stretch around the globe” and elevate China’s influence, according to the Council on Foreign Relations. Billionaire Warren Buffet is a substantial backer of BYD.

BYD did not immediately respond to the Daily Caller News Foundation’s request for comment.

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