China’s BYD targets first-time buyers with EV priced 30% below Tesla

The Atto 2, which launched earlier this year in Europe and China (as Yuan Up), was officially unveiled in Hong Kong on Friday—providing potential customers with a strong value proposition.

BYD captures 30% of Hong Kong’s EV market, leaves Tesla trailing

Featuring BYD’s proprietary blade battery packs, the Atto 2 offers a range of up to 254 miles on a single charge—more than necessary for typical daily commutes. The battery can recharge from 10% to 80% in just 38 minutes, ensuring convenient fast charging for city drivers. 

Though priced lower than many competitors, the Atto 2 comes equipped with an intelligent cockpit featuring voice controls and smartphone connectivity. The model’s design is expected to primarily appeal to drivers aged between 25 and 45.

Since launching the comparatively larger Atto 3 in Hong Kong in 2022, BYD has sold 170,000 electric vehicles, capturing around 30% of the city’s EV market. From January to June this year, BYD’s best-selling model was the Sealion 07, a fully electric midsize SUV.

The company’s vehicles also accounted for 27% of the total 18,356 private EV registrations in Hong Kong during the first half of this year, surpassing Tesla which earlier held a market share of 47% from August 2017 to July 2024.

The Chinese automaker’s sales manager Xueliang expressed optimism about the evolving EV market in the city, emphasizing the need for all car brands to deliver excellent service in a bid to help consumers feel confident while making the switch to EVs.

Tesla sales drop sharply in Europe while BYD gains momentum

BYD is rapidly gaining ground against Tesla and other automakers in key international markets. While Tesla’s sales have fallen sharply in Europe’s largest markets, BYD is experiencing strong growth.

In Germany, Tesla sold only 1,110 vehicles last month, a 55% drop compared to same time last year. Total sales were down 58% for the year through July. Meanwhile, BYD’s sales have surged by a whopping 390% over the same period, signaling a significant shift in market dynamics, Electrek reports.

A notable shift is underway in the UK as well, as Tesla’s sales fell nearly 60% in July, with only 987 vehicles sold compared to nearly 2,500 in July 2024. Meanwhile, BYD’s sales surged to 3,184 vehicles, more than quadrupling from the previous year.

BYD’s growth isn’t limited to Europe and China, as the automaker’s brand and public relations general manager Li Yunfei recently pointed out, the company has developed a strong market presence across several countries, including Hong Kong, Singapore, Thailand, Indonesia, Spain, Italy, and Brazil.