When the European Union announced the implementation of strong tariffs to stop Chinese brands who manufacture electric vehicles, we knew that the war was going to break out. The government of the Asian country is going to hit us back in spades and the worst of all is that its brands will not suffer anything. We have proof of this in that many have sufficient financial muscle to bring part of your production to Europe. BYD It is a clear example of this and attention, when they manufacture locally they will be just as cheap...
The reason for this is very simple. They will prefer operate with very tight margins in the Old Continent to do the opposite in markets that are not so contrary to all their cars. This way they will compensate their financial balances without incurring losses that ruin their plans. In this way it is not surprising that BYD announces that it is going to build a new technical center in Türkiye and that it will be operational sooner than many people imagine. Take note, because after this factory another one will also arrive on European soil.
The Turkish factory will be operational in 2025 and will create up to 5 thousand new jobs
As we have already said, the European Union has set a series of tariffs on Chinese electric vehicles. In the case of BYD they are 17,4% (plus the 10% that it already pays today) and to avoid such a situation have decided to bring part of their production. But in Türkiye everything was going to be worse since the president of the Ottoman country announced that the “pending account” to pay for Asian manufacturers would be 40%. Taking into account that China's most powerful brand was going to suffer, diplomatic contacts have occurred at great speed...
A series of meetings of the Shanghai Cooperation Organization recently took place in Astana, Kazakhstan. Erdogan and Chinese President Xi Jinping participated in them and what do you think happened. Well, what had to happen. Türkiye and China have been preferred trading partners for years with which the Ottoman president announced that he would withdraw these tariffs. For your part BYD announced that it would build a new factory on Turkish soil (which we are talking about). This way everyone wins in many aspects.
According to Automotive News BYD's new factory in Türkiye will be more than that. Apparently, along with it there will be a logistics center that will help improve service to customers in the region. On the other hand, they will be able to better satisfy the growing demand for electric vehicles that the Euro-Asian country is experiencing. In 2023, demand accounted for 7,5% of registrations and throughout 2024 this figure is expected to be even higher. And this is just the tip of the iceberg because there is still data that we do not know.
Por el momento It is not known what the location of this new BYD factory will be.. The announced investment is estimated at around one billion euros, which should be more than enough to achieve a cumulative production of 150 thousand units per year. According to several sources will employ about 5 thousand new workers that will be formed by the Chinese house. The objective is to continue growing sales with products more in line with the tastes of Europe, which, today, is one of the main markets in which it operates.
In addition to Türkiye and Hungary, BYD already has factories in Brazil and Thailand...
But there is more, because Turkey is not going to be the only “European” country that has a BYD factory within its borders. The nationalist government of Hungary commanded by the extremist Viktor Orbán has achieved that the first 100% European factory of the Chinese company is in its country. Like Turkey, this ex-Soviet country is also a trading partner of the Chinese and being part of the European Union is ideal for all their expansionist plans. In this way they will save the tariffs imposed on them…
If everything goes according to plan the Hungarian factory should be ready by 2026. It will be a year later than the Ottoman one but more important because of everything at stake. With all this, this center will not be the only one they operate because BYD has taken over the factory that Ford had in Brazil, they have opened one in Thailand and are thinking of entering Mexico. All under the auspices of sales that continue to grow year after year. Yes, because so far this year they have already exceeded 950 thousand units, which is 40% more than in 2023...
Source - Automotive News
Images | BYD
More information about this model
- Plazas 5
- Power 204 cv
- Consumption 15,6 l / 100km
- Assessment 4,5