The biggest producer of electric vehicles (EVs) in China, BYD, had a 43% drop in sales in the first quarter of 2024 compared to the last quarter of 2023. This could mean that Tesla, which BYD had overtaken the previous year, will once again take the top spot in the global EV sales rankings.
BYD reported selling 300,114 electric vehicles (EVs) in the first quarter of this year in a statement to the Shenzhen Stock Exchange. This is a considerable decrease from the record quarterly high of 526,409 units sold in the three months prior. Sales for the first quarter of this year were still up 13.4% from the same time last year, though. Given that analysts surveyed by Visible Alpha predict Tesla to reach record sales of 458,500, this decline in sales may allow Tesla to recover the top spot in terms of sales.
Because of a downturn in the Chinese market and decreased overall demand, local competitors, led by BYD, stepped up their pricing battle for customers, causing Tesla’s expected sales for the first quarter to drop by more than 5% from the previous quarter. Given that both firms predict a slowing in the growth of electric vehicle sales in China this year, the possibility for Tesla to reclaim the sales crown highlights the company’s lasting worldwide significance. It also emphasizes how BYD’s domestic pricing cuts contributed to its brief reign of supremacy.
According to the company, BYD’s total car sales for the first quarter came to 626,263 units, up 13.4% from the same time last year but down 33.7% from the record quarterly high of 944,779 units in the fourth quarter.
Sales of plug-in hybrid vehicles increased by 56.4% to 161,729 units in March, while sales of fully electric models increased to 139,902 units in March, a 36.3% year-over-year gain. Later on Tuesday, the China Passenger Car Association is expected to disclose Tesla’s March delivery statistics in China. BYD has been slashing prices on the newest models in its lineup by 5%–20% since February in response to Tesla’s price battle, which began early this year.
BYD announced last week its 3.6 million unit sales goal for 2024, a 20% rise over its record-breaking sales the year before.
