BYD plans to start production in Europe at the end of 2025

The Chinese car manufacturer BYD will start production in Europe next year in the compact car segment. According to BYD's Head of Europe Stella Li, the first two models from Hungary are old acquaintances.

Image: BYD

Stella Li said in an interview with the German business magazine Capital: “We will start the ramp-up at the end of 2025. The first two cars we will produce will be the Dolphin and the Atto 3.” The third car to be manufactured in Europe will be the Atto 2. BYD had originally planned to launch a European version of the Seagull small car. However, this will only come as the fourth model.

The BYD Dolphin is a compact car the size of a VW ID.3. In Germany, the Dolphin with a 60 kWh battery (427 km according to WLTP) is available from 32,900 euros; the promised basic version with 45 kWh for 30,990 euros is probably not currently available to order. The Atto 3 SUV model starts at 37,990 euros with a 60 kWh LFP battery (420 km according to WLTP) – here is our driving report. However, it is not clear from Li’s statements whether the models built in Europe are 1:1 the familiar models or possibly further developed versions. In terms of charging performance, for example, the two models have not yet been able to keep up with the competition.

BYD had already announced the construction of an electric car factory in Hungary at the end of 2023. In February 2024, it was then announced that the plant would open within three years. With a start of production planned at the end of 2025, BYD would significantly undercut this target. However, this will probably only be achieved with the change of plan to relocate the two well-known compact models to Europe first. The planned small electric car, on the other hand, will be pushed back.

Capital concludes that VW will probably start with the ID.2 in 2026 without a counteroffer from China. This may be true for BYD, but the competition in the 25,000 euro segment is constantly growing – as the Fiat Grande Panda and the Hyundai Inster have shown in recent days.

It is also unclear at what price BYD will be able to sell the vehicles manufactured in Europe. What is clear is that the market leader in China wants to significantly expand its market share on the continent with European production. Although the plant will only be ramped up slowly, it will play a key role in the Chinese company’s plans for Europe. According to Stella Li, up to twelve models can later be built there in parallel. BYD then wants to serve the European market only with vehicles built in Europe – and stop imports from China completely. Other Asian manufacturers such as Hyundai, Kia and Toyota, which operate plants in Europe, are pursuing a mixed strategy with locally manufactured and imported models.

After a weak start in Europe, which clearly fell short of internal targets, BYD has parted company with its import partner Hedin in Germany and is now expanding sales on its own – Li’s target is 120 German locations by the end of next year. With the Sealion 7, BYD has added a powerful and fast-charging electric SUV to its model range (here is our driving report), but BYD will also be focussing more on plug-in hybrids in Europe in future, as Li has announced. This will offer customers an introduction to electrified driving. “Once they get used to charging and the advantages of electric driving, we can win them over more easily,” says Li. However, no specific models have been announced apart from the Seal U DM-i, the only PHEV in Europe to date.

capital.de (in German)

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