By on March 15, 2010

Chinese battery maker and aspiring automaker BYD earned $215m in the fourth quarter of 2009, bringing its net profit for last year to $555.2m, reports Automotive News [sub]. BYD’s performance outstripped analyst estimates, which projected fourth quarter profits of $130.5m, and full-year profits of $473.2m. Though the Chinese auto market grew 46 percent to 1.6m vehicles, 47 percent of BYD’s 2009 sales came from the firm’s cell phone battery business, which is expected to give back recent gains as the global economic crisis takes its toll. Not so with BYD’s auto business: the firm has raised its 2010 car sales projections 14 percent, with sales of 800k foreseen. And as China’s car market takes off, BYD, which has one of the nation’s best-selling cars in its F3 compact, is expected to keep growing. Says one JP Morgan analyst:

BYD is a company that can’t be underestimated. If the Chinese vehicle market expands 10 percent this year BYD’s sales will grow at least 40 percent — 50 or even 60 percent is also a possibility.

And those plans are moving forward rapidly. The LA Business Journal reports that BYD is shopping for North American headquarters in LA County, and could be looking for a production site as well. Portland, Oregon has also been in the running to host BYD’s US operations. With local governments eager to attract “green-collar” jobs, BYD can expect the red-carpet treatment (and hosts of local tax abatements) as they prepare to bring the fight to the US and European markets.
Backed by cash from Warren Buffett and technical cooperation with Daimler and VW, BYD remains the front-runner among Chinese firms who are anxious to back up their domestic-market success with a seat at the table with the global giants. But as with so much that emerges from China, their vehicles are under-tested, and if BYD is pushing for acceptance before its product is ready for prime-time, it could give new life to anti-Chinese-car prejudices. Needless to say, BYD is one of the firms we’ll be watching closely over the next several years.
Get the latest TTAC e-Newsletter!

3 Comments on “BYD Charges Ahead...”


  • avatar
    Dutchchris

    About those new energy vehicles BYD is announcing: don’t hold your breath. The BYD F3DM was supposed to be the “world’s first mass produced PHEV” way back in December 2008 but few (if any) were ever delivered to customers. According to the Wallstreet Journal the problem is the batteries. Apparently BYD’s labour intensive production methods just don’t get the right quality for large automotive battery packs: http://www.tinyurl.com.au/2r2

  • avatar
    Disaster

    Gotta love the BMWesque BYD logo.
    http://img89.imageshack.us/img89/2780/dashnl3.jpg

    http://37signals.com/svn/archives2/chinese_logo_lookalikes_bmw_and_byd.php


Back to TopLeave a Reply

You must be logged in to post a comment.

Subscribe without commenting

Recent Comments

  • Re: Saturation Dive: The GM 8L90 transmission

    Felis Concolor - Having recently ordered a custom bicycle fitted with Rohloff’s 3 planetary 14 speed hub changer system I am enjoying these engineering...
  • Re: Town And Country Update: Road Trip

    Thomas Kreutzer - Back in the day we weren’t belted in and could move around. You could put your head out the window, spend time in the rear facing seat and switch...
  • Re: Ford C-Max Sales Decline Post-Fuel Economy Revision

    KixStart - It’s heavy. It weighs about 325 lbs more than the larger Prius v. Fuel economy is worse. This is not surprising. I do wonder if they...
  • Re: Town And Country Update: Road Trip

    davefromcalgary - Sadly, that’s not really an option at the moment. Basically, I’ll drive it straight through, have a home cooked meal, then fly home. Or he...
  • Re: Subaru: No WRX Hatch For U.S. Market

    sitting@home - Last Sunday morning I took my stick-shift WRX wagon to the hardware store and loaded up with 12 bags of redwood tree bark. Last Sunday afternoon I took...
  • Re: QOTD: The Economics Of Ownership

    danio3834 - ” Unless you’ve got something special, the 4.3 was a V6, not a V8.” Nah, it’s really not a special engine at all. Some people buy them by...
  • Re: Ford C-Max Sales Decline Post-Fuel Economy Revision

    baconator - I test drove one the other day and thought that it was a subtly tiring thing to drive / ride in. The suspension has a lot of high-frequency...
  • Re: QOTD: The Economics Of Ownership

    bumpy ii - http://www.kadee.com/ca/allcar s.htm http://www.bayvalleyfoods.com/ http://en.wikipedia.org/wiki/U SS_Gerald_R._Ford_%28CVN-78%29 http://www.mar-k.com/
  • Re: Town And Country Update: Road Trip

    FormerFF - Sounds like an opportunity for an adventure to me. i rode a Honda NT600 from Chicago to Brooks, Alberta, and then to Atlanta over a couple of weeks. You could...
  • Re: Junkyard Find: 1996 Buick Regal Olympic Edition

    I've got a Jaaaaag - Yes they did, GM provided thousands of cars for Olympic workers I managed 5 parking lots for ACOG, our group had 6 employees 2 Olds...

New Car Research

Get a Free Dealer Quote

Staff

  • Authors

  • Brendan McAleer, Canada
  • Marcelo De Vasconcellos, Brazil
  • Matthias Gasnier, Australia
  • J & J Sutherland, Canada
  • Tycho de Feyter, China
  • W. Christian 'Mental' Ward, Abu Dhabi
  • Mark Stevenson, Canada
  • Faisal Ali Khan, India