Buffett’s BYD has already surpassed Tesla in the production of electric cars in the 3rd quarter, lagging slightly behind in sales.  However, Li Auto’s sales are increasing year by year

Buffett’s BYD has already surpassed Tesla in the production of electric cars in the 3rd quarter, lagging slightly behind in sales. However, Li Auto’s sales are increasing year by year

Chinese company BYD continues its unprecedented expansion, which has been seen in its automotive sector since last year. Thanks to the September sales, this year’s total sales of NEV vehicles (New Energy Vehicles – i.e. plug-in hybrids and electric vehicles) have already exceeded 2 million vehicles. In the segment of pure electric vehicles, BYD achieved a record its new sales in September when it delivered 151,193 electric vehicles to customers. Rival Tesla only publishes quarterly data, but it appears it hasn’t seen the same gains. In the 3rd quarter, it produced a total of 435,000 electric vehicles, ie by 31 thousand compared to the previous quarter. a little. At the same time, the market was expecting a significant drop in sales, and thus production. In short, the effect of the summer shutdown as part of the operational improvement should be minimal.

Tesla produced a total of only 430.5 thousand in the 3rd quarter. cars, while in the previous period it was a record of almost 480 thousand. cars. In absolute terms, results were affected by lower production Model 3/Y, but the percentage decrease is more pronounced for premium Model S/X vehicles. The weak interest of buyers was reflected in the large discounts of these cars, which we reported in the article “The price war is intensifying. Tesla also significantly reduces the prices of its first cars S and X, or this year it was possible to save a million crowns in exchange”.

Source: Tesla

In terms of comparing year to year, it can be mentioned that last year in the 3rd quarter Tesla produced around 366,000, or sold 343.8 thousand cars.

The mentioned Chinese BYD, which despite the sale of shares, still has shares Warren Buffettrespectively the group Berkshire Hathawayfor the entire 3rd quarter already produced 439.5 thousand electric cars. In this regard, it was able to surpass Tesla for the first time. In terms of sales, Tesla still maintained its leadership, as BYD delivered “only” 431.6 thousand to customers. electric cars.

As already mentioned in the introduction, BYD still outperforms Tesla when it includes other NEV vehicles. In short, it gave a total of 280,000 in September. cars, respectively even sold around 287.5 thousand cars. On an annual basis, that means more than 3.4 million cars. If only the BYD electric cars sold in September are taken into account, we can talk about more than 1.8 million cars on an annual basis. This is the level that is expected from the above company Tesla this year.

In any case, by comparison, BYD is recording a significant percentage increase in the car business. If its sales of 1.05 million electric vehicles so far this year are taken into account, this is an 80% increase year-on-year.

It can be added that Tesla plans to publish economic results on Wednesday, October 18, traditionally after the market closes. In response to the company’s news, its shares fell below the level of USD 243 at the beginning of Monday’s session, however, the losses began to be erased and by 5 pm they had already made a profit. So over the $250 mark.

Other growing Chinese automakers

China’s Tesla, as is sometimes the case with companies NIO nicknamed, sold more than 15.6 thousand in September. electric cars. That is, almost 44% more year on year. 55.4 thousand for the entire 3rd quarter. electric vehicles. Historically, the car company has been very close to the 400 thousand level with the total sales of its cars. cars.

A competitor XPeng in September it was successful in the market as well, or sold more than 15.3 thousand cars. For him, this is an 81% year-over-year improvement. It has been particularly successful with the G6 car. With G9, he intends to succeed in Europe. It launched the first shipments in Norway, Sweden, the Netherlands and Denmark at the end of September.

However, he has become the biggest predator in China in recent months Li Auto. In September, the manufacturer delivered a record of more than 36,000. cars, which is a year-on-year increase of 213%. For the entire quarter, sales results exceeded 105 thousand. cars, respectively since the beginning of the year more than 244 thousand cars. In comparison, it can be said that this year the automaker has almost surpassed Tesla 5 years ago. Throughout 2018, Tesla delivered more than 245,000 vehicles. cars.

As it follows from the above, the electric car market in China is still growing …

Jiří Zendulka

In the field of finance Jiří Zendulka has been moving since the days of personalization of coupons, so already 30 years. He worked in various positions in brokers, and later established himself as an analyst. He has been presenting his views in the media for a long time. A supporter of traditional capitalist values, or on the contrary, a critic of abnormal intervention in the economy by the government and central banks.