BYD Tatang Tesla's Business In The World Electric Vehicle Market

Lines of BYD electric cars. (Doc. BYD)

JAKARTA - Electric vehicle company Tesla Inc went on a price war from the start of the year when it cut the prices of the Model 3 and Model Y by 20% in January. This strategy is quite surprising amid a shortage of semiconductors and other materials in the automotive industry.

But the cuts seem to work as Tesla is back at the forefront of world's highest electrification sales in the first quarter of 2023.

In Tesla's report, total car shipments for the quarter reached 422,875, up to 36% compared to the same period in 2022 with 310,048 shipments. Well, the more affordable Model 3 and Y after cutting into Tesla's most popular vehicles, accounting for about 97% of quarter I shipments.

However, reported by InsideEV, Jum'at, April 28, 2023, under Tesla there is a brand from China, BYD which recorded sales of 264,647 units.

Taking third place, there is the Volkswagen Group which recorded sales of 140,852 units which included sales from various brands under its auspices, such as VW, Audi, Porsche, Skolda, Cupra, and Volkswagen Commercial Vehicle.

Although Tesla is ahead of BYD and VW, BYD won a higher sales percentage of 85 percent compared to sales in the same period last year.

The Shenzhen-based company, whose investors include Warren Buffett's Berkshire Hathaway, has great ambitions to overtake Tesla as the world's leading EV producer in terms of sales volume. BYD CEO Wang Chuanfu also on various occasions has always emphasized the company's ambitions.

Even at the beginning of the year, Forbes magazine specifically reviewed the success of BYD globally while at the same time questioning whether BYD could exceed Tesla if they were allowed to sell vehicles in North America.

Previously, BYD had surpassed Tesla as the world's largest EV producer after successfully selling more than 640,000 cars in the first half of 2022.