I have just ticked over 1000ks in my MG ZS EV. I must say I am happier than I thought I would be after a lot of research. Heaps to learn for an old guy, but loving it and loving the seven-year warranty. Thank you for the very informative videos.
That's true, Adam is a tremendous asset to the EV industry. What makes it, is his honesty and agressivity searching for the truth, that together with a lot of work and courage to say what he thinks even when hurting some major manufacturers. Thank you mate
Such a release to hear someone acknowledging the true value of Chuanfu. In a world with where loudest bets best, showing that do more and talk less, is the true recipe for success in such a relieve!
BYD caught up to Tesla because it is really bad ass. It is the anti-Wall Street, anti-Boeing. It doesn't rest on its laurels, but continue to innovate and expand. There isn't another company out there that is as brilliantly integrated or have logistics set up as perfectly as BYD. BYD has its new Xi'an factory built right across the street from a railway freight so they can export more easily to Europe. It has it's new Shenzhen factory built right next to its own RoRo port and bought its own PCTC ships so that it can export those more easily to rest of the world. They plan for the long term and move toward that with full devotion. That's how they win. Single minded devotion to great product, low cost and serving customers.
And you think there isn't an anti western in China? Partnership to do businesses in China is just that. Learn their trade secrets through partial ownership by exploiting their reliance on China's cheap labors.
BYD are not so much a Tesla competitor but are starting here in New Zealand to cause a major disruption in the cheaper price ranges. The BYD Atto 3 has sold incredibly well here but it is NZ$20K cheaper than a RWD Tesla Model 3. The Atto 3 is not taking sales from Tesla but from the Japanese manufacturers of small petrol SUVs. The BYD Dolphin will be even cheaper and take a lot of sales off the Japanese whose small petrol hatchbacks are similar prices.
I’d buy a BYD Seal if it was available in the US! (Please don’t rename it Atto 5!!) I think they may be one of the first companies to make their cars in the US…my 2 cents!
I actually suspected this guy has time machine. How else can he consistently made the right decisions. He jumped into EV businesses before anyone even think it is going to be big. He even made sure that his company self reliant on every thing, including chips, before we have supply shock like today.
CCP is military in core and think of every tech no matter if it be success or not is worth to edge ahead of the rest of the world to profit. When you have the companies own factories in your own country itself becomes property of the state since who else is employed in the company than if not locals loyal to CCP. If the americans think it's worth the effort to invest, it's what will sell. All other nations in CCP own opinion are bugs meant to be crushed and USA is what only matter. At rank USA us next to China, the rest of the world is at rank 999 since no other country has the financial influence.
Figuring out you need to make batteries is the easy part. Getting your engineers to work 80 hours a week to figure out how to do it efficiently is the hard part.
Very nice analysis of BYD and I very much agree Vertical Integration is key and why BYD and Tesla are leading and will continue to lead. Thanks for your honest appraisal.
Its funny, automakers like GM and Ford had almost total vertical integration in the 1930s and 40s. Later on it was in fashion in the business world to contract more and more out. The most extreme example of this is where everything is contracted out, design, manufacturing, the only thing left is the brand. Many defunct electronic brands have met this fate.
In a nutshell: the winners are those with innovative/motivating engineers running the show versus non technical MBAers who love to plan and then say to their slaves "DO IT or I fire you".while walking through the museum which all show innovative founders. Shit on VW, GM and JPN ICE conglomerates who have to convince lenders to support their leaders top salaries!!!
Wang was an engineer and probably still has a much better understanding of the technology than his peers in China. The crunch time for talking CEO will come in 2023 as the Chinese government stops subsidizing EV
BYD is scaling like crazy but cant scale batteries as quickly as they would like (especially while selling a bunch of them). As a result PHEVs. Once batteries are abundant enough I have no doubt they will retool to more BEVs since they already have the designs and experience.
The strategy part that Wang talked about is the real point. Japanese automakers and some legacy automakers have failed to develop a winning long term strategy, specifically missing the EV transition, and failing to change the company culture to think beyond the internal combustion engine.
I think EV has been slow to catch on b/c consumers and manufacturers are still not quite sold on the battery range and charging solutions. Toyota is still developing a hydrogen solution while BMW abandoned hydrogen power not too long ago. The downside to hydrogen is still the range/storage issue, but the refueling is way faster at like 20 min which is more like a regular car.
@@supertouring1 So batteries take a while to charge and there is no hydrogen infrastructure. Of those two, which one is easier and cheaper to solve for?
Thanks for this video. I have been watching BYD for sometime and they actually supply buses for Transport for London (TFL). Very good and reliable buses. Believe they are electric. I would definitely buy their cars if they start selling SUVs in the UK
I live in Southern California and BYD has a huge plant making buses here. I agree with you that BYD buses are impressive. I don't ride public transportation much but the absences of diesel exhaust and noises from the buses are awesome when you are driving beside or behind them. I also notice that EV buses accelerate much faster than those old buses.
Great BYD history/overview, Sam. It appears Elon and Wang are learning from each other (Tesla increasingly vertical, e.g. 4680 onsite production). I agree BYD will likely be the largest automaker by/before 2030. Tesla is of course branching out and growing in different ways, too (besides new EV models), the combination of which could make them the largest company by/before 2030 (including SpaceX, Pi phone disrupting/displacing iPhone(?), Energy, Boring, ...
BYD has always been bigger than Tesla in combined sales. What they have done is solely reduce gas cars while ramping up the EV section of their business.
I think BYD and Tesla will be the largest car companies in 2026. What other car company will grow in the next 4 years? It’s difficult to grasp exponential change.
SAIC Motor are also doing well from MG battery electric vehicles and should survive the rapid changes we are seeing in the new car market in China, Europe, Asia and New Zealand. Australia is starting to catch up.
@@DavidKent0407 SAIC has not been successful in the Chinese EV market and I don't think a company that has lost the Chinese market is qualified to succeed.
BYD started building support for battery powered cars by introducing battery powered taxis years ago and battery powered buses not long after. Additionally, many Chinese potential car owners became familiar with driving on electricity due to the very large number of electric bikes that have been in use for a number of years.
Point of fact, volume is one thing but quality and driving pleasure are other criteria that BYD struggles with. The number of issues per 1000 vehicles is significantly higher than with Tesla in China. BYD also sells less expensive vehicles. But good on BYD for making it volume production without going bankrupt in the process
@@xiebaiqin Little Pink or 50 cent army? Anyhow Tesla cars are far less likely to catch fire then ICE cars and the few EV's that do catch fire get much attention because mainstream media and advertizers don't make any revenu from Tesla so they try their best to pain tesla in a bad light.
Vertical integration has its advantages, but it also has disadvantages. Ford long ago sold its steel making division. Owning battery makers gives a car company an advantage while batteries are in short supply, but what happens when a new battery technology comes along and your competitors are free to shift to the better supplier?
Your battery division is not resting on its backside and it maybe the one with the new tech that nobody but you has. Then you can sell it to your competitors and your profit every time they sell a car. BYD sells batteries to Tesla. Where the previously vertically integrated companies when wrong is management. One effort may cost you a bit the next will save you a bit. But they sold off any effort that was losing money. Eventually the sold them all. Some may have been sold to make the books look better. This caused the price of making a car to rise because all your suppliers need to make money. This makes it difficult or impossible to compete with a vertically integrated company. It puts your supply chain in the hands of a 3rd party whose only goal is to make money. Should add that if your making your own widgets you can't set up a plant and make the same widget for 30 years. If you do you will sell the plant.
Battery technology is unlikely to change dramatically in the near future and BYD is working on new technologies such as solid state batteries. The problem with vertical integration is cost, how BYD can ensure its cost advantage when the battery industry has a surplus of production in the future
BYD has had the blessings of the CCP… Tesla has had to battle the whole host of Government, mainstream media, and Wallstreet FUD..just imagine if Tesla had support of its local government, media, & Wallstreet. In spite of it all, Tesla persists!!
Tesla has the full backing of the CCP. Remember it was the Shanghai government who saved Tesla from financial ruins by granting them a huge plot of land basically interest free.
Lol. And the State own automakers in China and other EV makers don’t have the backing of the CCP? Lol. BYD is doing better than Telsa because it’s more integrated and have broader range of brands offering
I like your conviction that EV Will the vehicle of the future. It is amazing that legacy autos which hang on obstinately on the supremacy of combustion engine simply because they own most of the patents. It is like refusing to believe a truth which is becoming progressively more self obvious. Perhaps it is bureaucratic mentality. Thanks for your illuminating videos.
A patent only lasts 14 years, what are they hanging onto? The mentality has been expressed for many years now for those willing to see. Check out Al Capp's brilliant parody of General Motors, General Bull Moose. "What is good for General Bull Moose is good for the country".
I would like to know more about how BYD has expanded their production facilities so rapidly. Tesla struggles with ramping production. Does BYD have better processes?
They just buy. They are in China. There's a ton of those. They just look around, look for the ones that best match their needs ... eg BYD was originally a battery company. They expanded to making cars by .... buying car companies. Small Chinese companies. None we ever heard of. Then they expanded them production lines. BYD hits the ground faster by not starting from scratch. They buy existing tech and skills, and then improve and iterate. Just look at Tesla's Semi. They're having so much difficulty getting production started. BYD's TT8 has been out for years. They're not so flashy. They look just like diesel trucks. Batteries don't go 500 miles. They simply target companies that deliver shorter routes in cities. The 500 miles trucks will come later. Don't let the perfect be the enemy of the good-enough.
@@danielch6662- You are right. Good is the enemy of perfect. But there is more than that, and IMO, the glue that keeps the all thing together is long term planning. If you have good long term planning, you can know how much you can deviate w/o hurting the future.
Hopefully Tesla will soon launch a competitor to the MG 4. Tesla need to open up for part sales to third party garages and design the cars with low repair cost in mind.
Although some expect China to learn from Tesla, myself included, they still have a long way to go. I hope they eventually succeed, but they are not there yet.
Vertical integration is where US automakers started. Market forces and government oversight changed that starting in the 1960s. in 1965, a Chevrolet was made 95% by GM subs like Delco Harrison (radiators) Delco Moraine (brakes), etc. by 1980 all that had been outsourced to maximize just in time manufacturing. What Tesla did wasn't all that original, in fact it was the only way they could get their parts made. They are still non-union so there are some pressures they have yet to feel, especially in their component manufacturing. It was cost and government regulation that drove GM to divest the parts manufacturers. Tesla will face the same challenge when the technology behind the manufacturing in those silos becomes more mature and seen as a commodity. Batteries, outside of the research, are quickly becoming that now.
There is always talk about how large corporations buy up patents and companies and sit on that technology so they can milk as much as possible with their current tech. Maybe BYD or their affiliates have done this, maybe not. And, these struggling automakers most likely sat on little to none. It doesn't guarantee BYD will continue the same pace. The advantage of under the radar movement is diminished and replaced with a public presence, why? I still think research is open season and joint ventures ripe with opportunity.
The. Hardest thing to do is mass production of ev which is 20k a month. Every time BYD hits 10k a month with a model they start a new model because the car was not designed to be mass made. Until I see 20k a month of the same model I don't believe they can scale profitably. I will be watching this this year particularly.
No country will ban use of ICE cars before 2040, probably not until 2050. Well, maybe Switzerland, Lichtenstein, Monaco. Banning sales is 1 thing, but ICE cars have billions of units worldwide that will need to be replaced. A significant percent of people will refuse to give up their ICE car until they break or can’t get gas.
Great video! It contained much interesting and informative information about BYD. I think the French automakers may be the only ones who will be able to compete with BYD and Tesla in the EU but I will leave you to investigate this claim. It may be a question for you to ask at one of the Fully Charged event. I look forward to your reports from the upcoming Fully Charged events Australia, the US and Europe.
they should have done that sooner. their pricing in china is too aggressive, making people flood to byd dealers. even with the price hike they still have no match from value perspective.
Plug in hybrids and ice vehicles will not be banned in 2035, you just will not be able to buy a new one manufactured after that time. We will still see PHEV and ICE vehicles for 15 - 20 years after that, the lifespan of a car
I believe their factory being built in Thailand will supply Australia. It is more central to a much larger market therefore less shipping costs. Australia is better positioned to supply refined lithium and rare earths, but it needs far larger investment for down stream processes and keep politicians out of the way.
No, BYD is not naive. Wang knows sooner the US will label them as a national security threat. Australia being US lapdog will rush to sanction BYD just like it did on huawei. However, BYD factory has already started in India. Even we are not friendly to china but our market is too big for BYD to ignore. And we are 5th largest world GDP and have largest population next year while Australua is none. So it is obviously make more sense to build in India than Australia.
Both Tesla and BYD are the future big two. Tesla has an advantage, having maybe the most innovative CEO on the planet, and ahead in AI and robots. BYD also has advantages. Chinese labor rates instead of those at Berlin, Austin and Fremont. More vertically integrated. And they also have a CEO who works full-time at the company and is unconcerned about his Twitter popularity.
I don't see any other company competing with BYD and Tesla. And Tesla will remain relevant and competitive because they are building their massive plant in Texas, with battery plants and lithium purification plants nearby - otherwise, if they remained dependent upon Chinese battery makers, they would be vulnerable as well. Here in Michigan, Governor Gretchen Whitmer has announced a massive plan to make computer chips in Michigan, circumventing the supply chain stranglehold currently decimating production of Ford and GM vehicles. ONLY if the US gov't supports Vertical Integration efforts across the auto industry, will Ford and GM be able to survive and thrive. Chrysler, mated to failing FIAT, will soon go under.
Why would anyone in America buy a Tesla that will qualify for the $7500 rebate between now and Jan 1, 2023. If there is a delay in delivery, what will this do to 4th quarter numbers?
As a Tesla owner, I have a problem with the share price spruiking Tesla UA-cam channels……that can’t see anything that might depress the value of their shareholdings.
I always make the distinction between “Tesla fan boy” (blind to any other car maker), and “Tesla enthusiast” (Tesla, plus BYD, and perhaps Ford). Fan boy is a derogatory term focused on belittling the person you fling that term at. Enthusiast nails what many of us here are, and is a far bigger word than Tesla-nots can use. Enthusiasts recognize that the age of ICE/hybrid is over.
In your final summary you state "... the largest industry in the world". I have to correct you: the largest are the various oil & gas companies, followed by the military & industrial companies. The myth of the 'global emergency' will, likely be exposed - and this could have a major impact on all the EV manufacturers. Wars, on the other hand, have remained eternally popular ;) Thank you for you informative presentation. I am no expert in this field and had never even heard of the BYD company 🤥
BH sold only a very small percentage of the investment in BYD Not unusual to take some profit if there are other opportunities for that cash. All the eggs in one basket is not wise.
First all the Chinese stock market has been compared to a casino. It is currently in trouble and the CCP has instructed companies to buy back shares. With the "behind the curtain" aspects of the Chinese markets I would just stay away.
BYD MIGHT make reasonable vehicles ,in my opinion they copy a lot from other OEMs and possibly Tesla .Tesla is a technology company that are years ahead of any body, it would take a miracle for any one to catch Tesla. Tesla is always thinking about improving, what other car companys ceo has a rocket company that they can draw technology from .
BYD's fast and aggressive global expansion is kinda costing them. They don't have adequate/quality local dealerships and they can't keep up with the local maintenance services.
It's ironic that Toyota has resisted change considering that when they first entered the auto market they brought a car to the market with better gas mileage. Had they been proactive they could have been the leaders in EVs but now they have sealed their fate. Smaller EV companies are decades ahead of Toyota. I've driven their electric buses here in Colorado. They are awesome.
For the longest time, Toyota and other automakers felt that charging all these EVs is the problem. That's why Toyota/BMW pursued hydrogen powered cars for the longest times. Instead or charging for 1-3hrs. It takes 15-20min in the case of the Toyota Mirai.
I wonder how many of your viewers know of Ford Aerospace (now mostly Space Systems/Loral) - a resource that would certainly benefit Ford today. The short sighted, MBA driven, management philosophy of "concentrate on your core competence" will soon send another American inovator into the margins. Wang's philosophy of "Speak less. Do More." is one the Musk has only partly mastered.
I’m not that great at math but if Tesla selling in America China and other places and BYD is just selling in their own local area how are they beating Tesla like I say somebody help me out cause I’m not that great at math
Most of the Tesla "fan" channels have turned into Elon dick riding competitions. Very few of them will say anything critical of Elon Musk (even when it is valid and warranted).
Wow. Great information on the two market leaders on electric cars. It would appear there is going to be many auto manufacturers disappear in the next 10+ years. What happens if China and Russia economies are separated from the western economies as some predict? I think I seen a video somewhere, perhaps on this channel that the way around this is to build factories in the west owned by western countries, then contract BYD technology for the plant. Political instabilities may throw a wrench into many auto manufacturer plans.
I think GAC will follow BYD, there is this rivalry between Guangzhou and Shenzhen. A taxi driver in GZ said I would never drive a foreign car (BYD) and in Shenzhen they say we dont need those crappy GZ cars. GAC Aion was started 2017 to beat BYD and they are getting there.
A typical EV with a typical 1200 cycle lithium ternary battery and 250 miles of range has a 200k-300k mile life, and a Tesla ternary battery of 1500 cycles with 330 mile of range will get 350k to 450k miles, so I don't see that getting more cycles out of your battery to be important enough to pick a LFP battery over any other unless you are driving all day every day or using it as a autonomous taxi. After that many miles one will likely want to upgrade to a new vehicle, or upgrade to a new battery that will give you more range.
Vertical integration is at the moment of great importance, yet, as big batteries have become cheap this will not be the case anymore. Therefor I am afraid that investments in US battery factories will come too late.......
Jai Hinduja. Canny Buffett pulled out because of the inevitable move. So it is a double edged win for Wang to catch up and surpass Tesla manufacturing.
BYD made 630million USD last quarter Tesla made 1.1 billion about twice as much. CCP gave Chinese makers 231 Billion in production subsidies since 2009; I don't think Tesla got any even for their Chinese plant. BYD has had 10 dealerships in China burn to the ground in the last 3 years - has Tesla had any? Speaking of dealers - BYD doesn't sell direct to buyers - it sells to Dealers so if you are talking Delivered sales to customers BYD isn't even close on sales to customers. BYD doesn't just make BEVs - it makes Hybrids even busses - unlike most Chinese makers that only make BEVs and none of them do anything but lose billions and billions.
I think BYD will be ahead of Tesla with various reasons. First, China market is the biggest automobile market in the world especially with the largest & growing middle-income. Second, BYD manufacturing cost is much lower than that of Tesla as they have developed their own supply chain & independent or at the mercy of part suppliers. Third, BYD has the full support of the Chinese government in their drive to meet the zero emission target. 4th, Chinese people are becoming more nationlistic due to the various technology sanctions from the western & G7 countries. Last & probably most important is that BYD own the "heart" of an EV, i.e. the battery technology. BYD holds multiple patents regarding their battery technology as they manufacture their own battery and supplying to other EV brands. It is a matter of time that BYD's sodium battery development will become mature & feasible for usage in EV. Sodium batteries which have some potential advantages over lithium-ion batteries in terms of abundance and affordability, as well as less prone to overheat issues. When that time comes, it will be a watershed in the history of EV as well as batteries technology. These are just my personal opinions as I would gladly put my bet on BYD instead of Tesla in the long term.
I wonder how well BYD would do if it was restricted by the labor laws of the west and import fees of raw materials. On the other hand, I wonder how the West would be able to compete if manufacturing and resources were available to the same level. As nice as what BYD is doing and as strong Tesla goggles are, I don't think these organizations can be compared on development and manufacturing due to a nonstandard of legal and workforce requirements.
Tesla PE ratio = 160, BYD PE = 36 Overpriced Tesla is sold to the rich, which can't solve global warming, while BYD sells to middle class which is bulk of the market.
I have just ticked over 1000ks in my MG ZS EV. I must say I am happier than I thought I would be after a lot of research. Heaps to learn for an old guy, but loving it and loving the seven-year warranty. Thank you for the very informative videos.
I know all MGs were not sports cars but I do miss the MG, Spitfires etc. Would be great to have an electric version that did not smoke the wiring. :)
Great stuff mate. Every time I watch your vlogs I learn something new. You are becoming a valuable asset to the EV scene.
Thanks 👍
😂😂😂😂😂😂
That's true, Adam is a tremendous asset to the EV industry.
What makes it, is his honesty and agressivity searching for the truth, that together with a lot of work and courage to say what he thinks even when hurting some major manufacturers.
Thank you mate
Such a release to hear someone acknowledging the true value of Chuanfu. In a world with where loudest bets best, showing that do more and talk less, is the true recipe for success in such a relieve!
BYD caught up to Tesla because it is really bad ass. It is the anti-Wall Street, anti-Boeing. It doesn't rest on its laurels, but continue to innovate and expand. There isn't another company out there that is as brilliantly integrated or have logistics set up as perfectly as BYD. BYD has its new Xi'an factory built right across the street from a railway freight so they can export more easily to Europe. It has it's new Shenzhen factory built right next to its own RoRo port and bought its own PCTC ships so that it can export those more easily to rest of the world. They plan for the long term and move toward that with full devotion. That's how they win. Single minded devotion to great product, low cost and serving customers.
You forgot stealing tech from Tesla.
@@vec306 yes, that why tesla is buying from byd... Another delusional i....
@@vec306stole yo mamas virginity too
@@vec306 Cry about it. Jajajajaja.
And you think there isn't an anti western in China? Partnership to do businesses in China is just that. Learn their trade secrets through partial ownership by exploiting their reliance on China's cheap labors.
Sam I respect your hustle…. There’s so much news to weed thru and you continue to bring us the good stuff
Thanks Mate!
BYD are not so much a Tesla competitor but are starting here in New Zealand to cause a major disruption in the cheaper price ranges. The BYD Atto 3 has sold incredibly well here but it is NZ$20K cheaper than a RWD Tesla Model 3. The Atto 3 is not taking sales from Tesla but from the Japanese manufacturers of small petrol SUVs. The BYD Dolphin will be even cheaper and take a lot of sales off the Japanese whose small petrol hatchbacks are similar prices.
Tesla has the lowest prices in China due to fierce Chinese competition. 😎👍
在中国比亚迪海豚已经把日本小车挤下来了，A0级市场海豚现在是遥遥领先。
sooner or later, it won't be ev vs ice, but ev vs ev. it is already turning that way in china. the rest of the world will follow.
I’d buy a BYD Seal if it was available in the US! (Please don’t rename it Atto 5!!) I think they may be one of the first companies to make their cars in the US…my 2 cents!
Shame new housing developments dont have a garage to charge ev. On road parking will mean hybrids will be the big seller.
Interesting insight from the Viking once again. Thank you for all your exhausting research. We appreciate all the information you provide.
Glad you enjoyed it
Nice balanced coverage. THANK YOU.
Glad you liked it!
One of your best Sam! How exciting is the future?
Thanks Mate!
We are living in the best most exciting times - out of the last 4000years (of recorded history).
This is my strong opinion.
Great to know a little about BYD CEO. Impressive guy
One of your best videos. Keep it up!
Wow, thanks!
I actually suspected this guy has time machine. How else can he consistently made the right decisions. He jumped into EV businesses before anyone even think it is going to be big. He even made sure that his company self reliant on every thing, including chips, before we have supply shock like today.
CCP is military in core and think of every tech no matter if it be success or not is worth to edge ahead of the rest of the world to profit. When you have the companies own factories in your own country itself becomes property of the state since who else is employed in the company than if not locals loyal to CCP. If the americans think it's worth the effort to invest, it's what will sell. All other nations in CCP own opinion are bugs meant to be crushed and USA is what only matter. At rank USA us next to China, the rest of the world is at rank 999 since no other country has the financial influence.
The early reason for BYD's vertical integration was that he had difficulty finding suitable suppliers in China, so he had to do it himself.
@@robertagren9360 stop taking drugs it's not good for you.
Well because BYD in early stage us a battery company, so it make sense for them to make electric car because it will create a huge demand of battery
Figuring out you need to make batteries is the easy part. Getting your engineers to work 80 hours a week to figure out how to do it efficiently is the hard part.
Very nice analysis of BYD and I very much agree Vertical Integration is key and why BYD and Tesla are leading and will continue to lead. Thanks for your honest appraisal.
i think byd are the leading electrical vehicle maker in the world (not just car maker)
Its funny, automakers like GM and Ford had almost total vertical integration in the 1930s and 40s. Later on it was in fashion in the business world to contract more and more out. The most extreme example of this is where everything is contracted out, design, manufacturing, the only thing left is the brand. Many defunct electronic brands have met this fate.
I knew Vikings made it to Greenland, but Australia?! You must have one hell of a boat! 😉
I hitched a ride on the same boat. Sam picked me up on the way through when he 'stopped over' in Greece 🇬🇷 😁
It's electric.
In a nutshell: the winners are those with innovative/motivating engineers running the show versus non technical MBAers who love to plan and then say to their slaves "DO IT or I fire you".while walking through the museum which all show innovative founders.
Shit on VW, GM and JPN ICE conglomerates who have to convince lenders to support their leaders top salaries!!!
Wang was an engineer and probably still has a much better understanding of the technology than his peers in China. The crunch time for talking CEO will come in 2023 as the Chinese government stops subsidizing EV
BYD is scaling like crazy but cant scale batteries as quickly as they would like (especially while selling a bunch of them). As a result PHEVs. Once batteries are abundant enough I have no doubt they will retool to more BEVs since they already have the designs and experience.
The strategy part that Wang talked about is the real point. Japanese automakers and some legacy automakers have failed to develop a winning long term strategy, specifically missing the EV transition, and failing to change the company culture to think beyond the internal combustion engine.
I think EV has been slow to catch on b/c consumers and manufacturers are still not quite sold on the battery range and charging solutions. Toyota is still developing a hydrogen solution while BMW abandoned hydrogen power not too long ago. The downside to hydrogen is still the range/storage issue, but the refueling is way faster at like 20 min which is more like a regular car.
@@supertouring1 So batteries take a while to charge and there is no hydrogen infrastructure. Of those two, which one is easier and cheaper to solve for?
Thanks for this video. I have been watching BYD for sometime and they actually supply buses for Transport for London (TFL). Very good and reliable buses. Believe they are electric. I would definitely buy their cars if they start selling SUVs in the UK
I live in Southern California and BYD has a huge plant making buses here. I agree with you that BYD buses are impressive. I don't ride public transportation much but the absences of diesel exhaust and noises from the buses are awesome when you are driving beside or behind them. I also notice that EV buses accelerate much faster than those old buses.
The new car market is between 90 - 100 million cars annually. There’s plenty of opportunities for both BYD and Tesla to prosper.
This was such a well done video. Thanks.
Wang just looking well balanced from nature and hi just walks what hi talks and no surprise Buffet is there involved too
Great BYD history/overview, Sam. It appears Elon and Wang are learning from each other (Tesla increasingly vertical, e.g. 4680 onsite production). I agree BYD will likely be the largest automaker by/before 2030. Tesla is of course branching out and growing in different ways, too (besides new EV models), the combination of which could make them the largest company by/before 2030 (including SpaceX, Pi phone disrupting/displacing iPhone(?), Energy, Boring, ...
BYD has its fingers in a lot of pies too. The thing is BYD sells more EVs but Tesla makes 8x more profit per car. I will go with the money.
BYD has always been bigger than Tesla in combined sales. What they have done is solely reduce gas cars while ramping up the EV section of their business.
I think BYD and Tesla will be the largest car companies in 2026. What other car company will grow in the next 4 years? It’s difficult to grasp exponential change.
SAIC Motor are also doing well from MG battery electric vehicles and should survive the rapid changes we are seeing in the new car market in China, Europe, Asia and New Zealand. Australia is starting to catch up.
I think geely gonna be big too
@@DavidKent0407 SAIC has not been successful in the Chinese EV market and I don't think a company that has lost the Chinese market is qualified to succeed.
Startup Eva have the best chance.
BYD started building support for battery powered cars by introducing battery powered taxis years ago and battery powered buses not long after. Additionally, many Chinese potential car owners became familiar with driving on electricity due to the very large number of electric bikes that have been in use for a number of years.
Thanks Electric ... good overview. Points out Tesla weakness in semis ... they should buy a power chip co. asap!
Agreed
Great video thanks for the research
"Bring Your Dollars". Love it!
Jai Hinduja. India is likely to seize any BYD profit like from other Chinese entities.
Be Your Daddy! BYD kicking Tesla 's ass. 😎👍
Point of fact, volume is one thing but quality and driving pleasure are other criteria that BYD struggles with. The number of issues per 1000 vehicles is significantly higher than with Tesla in China. BYD also sells less expensive vehicles. But good on BYD for making it volume production without going bankrupt in the process
because so many tesla car owners were burn to death, they get no chance to complaint.
@@xiebaiqin Little Pink or 50 cent army? Anyhow Tesla cars are far less likely to catch fire then ICE cars and the few EV's that do catch fire get much attention because mainstream media and advertizers don't make any revenu from Tesla so they try their best to pain tesla in a bad light.
Vertical integration has its advantages, but it also has disadvantages. Ford long ago sold its steel making division. Owning battery makers gives a car company an advantage while batteries are in short supply, but what happens when a new battery technology comes along and your competitors are free to shift to the better supplier?
Your battery division is not resting on its backside and it maybe the one with the new tech that nobody but you has. Then you can sell it to your competitors and your profit every time they sell a car. BYD sells batteries to Tesla. Where the previously vertically integrated companies when wrong is management. One effort may cost you a bit the next will save you a bit. But they sold off any effort that was losing money. Eventually the sold them all. Some may have been sold to make the books look better. This caused the price of making a car to rise because all your suppliers need to make money. This makes it difficult or impossible to compete with a vertically integrated company. It puts your supply chain in the hands of a 3rd party whose only goal is to make money.
Should add that if your making your own widgets you can't set up a plant and make the same widget for 30 years. If you do you will sell the plant.
Battery technology is unlikely to change dramatically in the near future and BYD is working on new technologies such as solid state batteries. The problem with vertical integration is cost, how BYD can ensure its cost advantage when the battery industry has a surplus of production in the future
@@vitolu6727 yes, as I said "Owning battery makers gives a car company an advantage while batteries are in short supply"
BYD has had the blessings of the CCP… Tesla has had to battle the whole host of Government, mainstream media, and Wallstreet FUD..just imagine if Tesla had support of its local government, media, & Wallstreet. In spite of it all, Tesla persists!!
Tesla has the full backing of the CCP. Remember it was the Shanghai government who saved Tesla from financial ruins by granting them a huge plot of land basically interest free.
But Tesla got strong support from Chinese government, much stronger than from US, Germany, oops
Lol. And the State own automakers in China and other EV makers don’t have the backing of the CCP? Lol.
BYD is doing better than Telsa because it’s more integrated and have broader range of brands offering
I couldn’t have said it better myself. Good Job.
@@litowsean9724 Support? You mean allowing them to own their own business then I agree.
I like your conviction that EV Will the vehicle of the future. It is amazing that legacy autos which hang on obstinately on the supremacy of combustion engine simply because they own most of the patents. It is like refusing to believe a truth which is becoming progressively more self obvious. Perhaps it is bureaucratic mentality. Thanks for your illuminating videos.
A patent only lasts 14 years, what are they hanging onto? The mentality has been expressed for many years now for those willing to see. Check out Al Capp's brilliant parody of General Motors, General Bull Moose. "What is good for General Bull Moose is good for the country".
I would like to know more about how BYD has expanded their production facilities so rapidly. Tesla struggles with ramping production. Does BYD have better processes?
They just buy. They are in China. There's a ton of those. They just look around, look for the ones that best match their needs ... eg BYD was originally a battery company. They expanded to making cars by .... buying car companies. Small Chinese companies. None we ever heard of. Then they expanded them production lines. BYD hits the ground faster by not starting from scratch. They buy existing tech and skills, and then improve and iterate. Just look at Tesla's Semi. They're having so much difficulty getting production started. BYD's TT8 has been out for years. They're not so flashy. They look just like diesel trucks. Batteries don't go 500 miles. They simply target companies that deliver shorter routes in cities. The 500 miles trucks will come later. Don't let the perfect be the enemy of the good-enough.
@@danielch6662- You are right. Good is the enemy of perfect.
But there is more than that, and IMO, the glue that keeps the all thing together is long term planning. If you have good long term planning, you can know how much you can deviate w/o hurting the future.
Polestar recently showed a small ($3M) quarterly profit, and they will need to continue improving manufacturing costs while ramping production.
Dreaming.
Hopefully Tesla will soon launch a competitor to the MG 4. Tesla need to open up for part sales to third party garages and design the cars with low repair cost in mind.
Although some expect China to learn from Tesla, myself included, they still have a long way to go. I hope they eventually succeed, but they are not there yet.
Vertical integration is where US automakers started. Market forces and government oversight changed that starting in the 1960s. in 1965, a Chevrolet was made 95% by GM subs like Delco Harrison (radiators) Delco Moraine (brakes), etc. by 1980 all that had been outsourced to maximize just in time manufacturing. What Tesla did wasn't all that original, in fact it was the only way they could get their parts made. They are still non-union so there are some pressures they have yet to feel, especially in their component manufacturing. It was cost and government regulation that drove GM to divest the parts manufacturers. Tesla will face the same challenge when the technology behind the manufacturing in those silos becomes more mature and seen as a commodity. Batteries, outside of the research, are quickly becoming that now.
There is always talk about how large corporations buy up patents and companies and sit on that technology so they can milk as much as possible with their current tech. Maybe BYD or their affiliates have done this, maybe not. And, these struggling automakers most likely sat on little to none.
It doesn't guarantee BYD will continue the same pace. The advantage of under the radar movement is diminished and replaced with a public presence, why? I still think research is open season and joint ventures ripe with opportunity.
The. Hardest thing to do is mass production of ev which is 20k a month. Every time BYD hits 10k a month with a model they start a new model because the car was not designed to be mass made. Until I see 20k a month of the same model I don't believe they can scale profitably. I will be watching this this year particularly.
Lol they are way beyond 20k a month per model already
Well done and thanks.
Thank you too!
Good video! Thanks.
Glad you liked it!
Sam, just curious how reliable have BYD vehicles been so far? Compare to Tesla and the industry?
Everybody Wang Chuanfu Tonight.
No country will ban use of ICE cars before 2040, probably not until 2050. Well, maybe Switzerland, Lichtenstein, Monaco. Banning sales is 1 thing, but ICE cars have billions of units worldwide that will need to be replaced. A significant percent of people will refuse to give up their ICE car until they break or can’t get gas.
I don't' think there is a need to ban ICE cars. Given the cost differential people will just stop using them on a regular basis.
Great video! It contained much interesting and informative information about BYD. I think the French automakers may be the only ones who will be able to compete with BYD and Tesla in the EU but I will leave you to investigate this claim. It may be a question for you to ask at one of the Fully Charged event. I look forward to your reports from the upcoming Fully Charged events Australia, the US and Europe.
I remember the 2-CV.
There's a famous quote, "Whoever talks a lot often fails"...
i think Geely playing the higher end of the EV game can be a competitor in that sector with their many brands like Lotus, Polestar, Lynk&Co
BYD just anounced price increases on most of the models while Tesla anounced price reduction. The race is on.
BYD still offers more car for the money after the 2k-6k RMB price increase.
they should have done that sooner. their pricing in china is too aggressive, making people flood to byd dealers. even with the price hike they still have no match from value perspective.
My thought is that the music shouldn't be louder
than the narrative. excellent presentation though!
Thank you
You're welcome
Plug in hybrids and ice vehicles will not be banned in 2035, you just will not be able to buy a new one manufactured after that time. We will still see PHEV and ICE vehicles for 15 - 20 years after that, the lifespan of a car
Hi Do you think that BYD will ever consider Manufacturing or Building Cars in Australia? I think it would be great for our Australian Economy.
I believe their factory being built in Thailand will supply Australia. It is more central to a much larger market therefore less shipping costs. Australia is better positioned to supply refined lithium and rare earths, but it needs far larger investment for down stream processes and keep politicians out of the way.
nope AUS hates China
I agree with Ralph. Thailand is OEM car factories that serves neighbouring market of 600 million. Australia is just too small a market
Good idea, but high cost of local employees and strict apprentice practice will make any car manufacturing in Australia impossible.
No, BYD is not naive. Wang knows sooner the US will label them as a national security threat. Australia being US lapdog will rush to sanction BYD just like it did on huawei.
However, BYD factory has already started in India. Even we are not friendly to china but our market is too big for BYD to ignore. And we are 5th largest world GDP and have largest population next year while Australua is none. So it is obviously make more sense to build in India than Australia.
I wouldn't count Hyundai/Kai out from the competition for EV market. They are building very good EVs.
But they are not making money.
Not when only making a handful of them.
Fantastic video.
Glad you enjoyed it
Both Tesla and BYD are the future big two.
Tesla has an advantage, having maybe the most innovative CEO on the planet, and ahead in AI and robots.
BYD also has advantages. Chinese labor rates instead of those at Berlin, Austin and Fremont. More vertically integrated. And they also have a CEO who works full-time at the company and is unconcerned about his Twitter popularity.
I don't see any other company competing with BYD and Tesla. And Tesla will remain relevant and competitive because they are building their massive plant in Texas, with battery plants and lithium purification plants nearby - otherwise, if they remained dependent upon Chinese battery makers, they would be vulnerable as well. Here in Michigan, Governor Gretchen Whitmer has announced a massive plan to make computer chips in Michigan, circumventing the supply chain stranglehold currently decimating production of Ford and GM vehicles. ONLY if the US gov't supports Vertical Integration efforts across the auto industry, will Ford and GM be able to survive and thrive. Chrysler, mated to failing FIAT, will soon go under.
Why would anyone in America buy a Tesla that will qualify for the $7500 rebate between now and Jan 1, 2023. If there is a delay in delivery, what will this do to 4th quarter numbers?
As a Tesla owner, I have a problem with the share price spruiking Tesla UA-cam channels……that can’t see anything that might depress the value of their shareholdings.
I always make the distinction between “Tesla fan boy” (blind to any other car maker), and “Tesla enthusiast” (Tesla, plus BYD, and perhaps Ford). Fan boy is a derogatory term focused on belittling the person you fling that term at. Enthusiast nails what many of us here are, and is a far bigger word than Tesla-nots can use. Enthusiasts recognize that the age of ICE/hybrid is over.
IMPORTANT QUESTION:
is BYD profitable with its EV business or profitable as a company including all its sales like headsets etc.?
Neither, it is supported by the CCP.
In your final summary you state "... the largest industry in the world". I have to correct you: the largest are the various oil & gas companies, followed by the military & industrial companies. The myth of the 'global emergency' will, likely be exposed - and this could have a major impact on all the EV manufacturers. Wars, on the other hand, have remained eternally popular ;)
Thank you for you informative presentation. I am no expert in this field and had never even heard of the BYD company 🤥
BYD is better looking (interior and exterior) than TESLA though. I just put money on ATTO3, but I am interested on dual motor ATTO4
Why is Berkshire Hathaway selling off it's BYD shares? Do they know something or, is the the Chinese covid policy?
BH sold only a very small percentage of the investment in BYD Not unusual to take some profit if there are other opportunities for that cash. All the eggs in one basket is not wise.
First all the Chinese stock market has been compared to a casino. It is currently in trouble and the CCP has instructed companies to buy back shares. With the "behind the curtain" aspects of the Chinese markets I would just stay away.
Hey Sam, When I try to buy Fully Charged tickets it says that it is sold out!
Where is BYD’s worldwide charging network and self driving software? There in 2nd place but well behind Tesla.
Tesla will be the new Apple while BYD will be the samsung.
I think BYD will eventually overtake Tesla on numbers but Tesla will have better profits.
BYD MIGHT make reasonable vehicles ,in my opinion they copy a lot from other OEMs and possibly Tesla .Tesla is a technology company that are years ahead of any body, it would take a miracle for any one to catch Tesla. Tesla is always thinking about improving, what other car companys ceo has a rocket company that they can draw technology from .
Nice necktie, Chuanfu!
Well said. But still, I sold all of my BYDDY stock on it’s all time high point (80$) to buy more TSLA.
I live in a valley so miss out on early and late sunlight . And my panels are only mono facial.
BYD's fast and aggressive global expansion is kinda costing them. They don't have adequate/quality local dealerships and they can't keep up with the local maintenance services.
I would not knock them too hard on that. If they are making money on BEVs that is a great accomplishment.
It's ironic that Toyota has resisted change considering that when they first entered the auto market they brought a car to the market with better gas mileage. Had they been proactive they could have been the leaders in EVs but now they have sealed their fate. Smaller EV companies are decades ahead of Toyota.
I've driven their electric buses here in Colorado. They are awesome.
For the longest time, Toyota and other automakers felt that charging all these EVs is the problem. That's why Toyota/BMW pursued hydrogen powered cars for the longest times. Instead or charging for 1-3hrs. It takes 15-20min in the case of the Toyota Mirai.
So now Quantum Scape has some competition. More info about the show!
I wonder how many of your viewers know of Ford Aerospace (now mostly Space Systems/Loral) - a resource that would certainly benefit Ford today. The short sighted, MBA driven, management philosophy of "concentrate on your core competence" will soon send another American inovator into the margins. Wang's philosophy of "Speak less. Do More." is one the Musk has only partly mastered.
My wife did temp work at Ford Aerospace.
When will BYD start a reassembly plant in the US?
BYD do London electric busses well in fact for many UK new electric bus companies.
hybrids are needed for the next 15 years, as the infrastructure is rolled out worldwide
I’m not that great at math but if Tesla selling in America China and other places and BYD is just selling in their own local area how are they beating Tesla like I say somebody help me out cause I’m not that great at math
By the way, byd switched its production line to manufacture masks to help the shortage at the beginning of the pandemic.
I’ve written off the Tesla fan channels. Keep up the good work here!
Most of the Tesla "fan" channels have turned into Elon dick riding competitions. Very few of them will say anything critical of Elon Musk (even when it is valid and warranted).
If there aren’t selling hybrids, I wonder if they can still be profitable due to subsidy and scale.
Never.
What about SCIAC? They seem to be doing well.
TEV hey what are your thoughts on Lucid Motor cars in 10 years?
Just subscribed due to the lack of TSLA confirmation bias.
Wow. Great information on the two market leaders on electric cars. It would appear there is going to be many auto manufacturers disappear in the next 10+ years. What happens if China and Russia economies are separated from the western economies as some predict? I think I seen a video somewhere, perhaps on this channel that the way around this is to build factories in the west owned by western countries, then contract BYD technology for the plant. Political instabilities may throw a wrench into many auto manufacturer plans.
I think GAC will follow BYD, there is this rivalry between Guangzhou and Shenzhen. A taxi driver in GZ said I would never drive a foreign car (BYD) and in Shenzhen they say we dont need those crappy GZ cars. GAC Aion was started 2017 to beat BYD and they are getting there.
GAC first has to beat Tesla in China. 😎👍
A typical EV with a typical 1200 cycle lithium ternary battery and 250 miles of range has a 200k-300k mile life, and a Tesla ternary battery of 1500 cycles with 330 mile of range will get 350k to 450k miles, so I don't see that getting more cycles out of your battery to be important enough to pick a LFP battery over any other unless you are driving all day every day or using it as a autonomous taxi. After that many miles one will likely want to upgrade to a new vehicle, or upgrade to a new battery that will give you more range.
Vertical integration is at the moment of great importance, yet, as big batteries have become cheap this will not be the case anymore. Therefor I am afraid that investments in US battery factories will come too late.......
Yes you can get a decent price BYD in China but if they came to America can they still at those same prices
Jai Hinduja. Canny Buffett pulled out because of the inevitable move. So it is a double edged win for Wang to catch up and surpass Tesla manufacturing.
BYD made 630million USD last quarter Tesla made 1.1 billion about twice as much. CCP gave Chinese makers 231 Billion in production subsidies since 2009; I don't think Tesla got any even for their Chinese plant. BYD has had 10 dealerships in China burn to the ground in the last 3 years - has Tesla had any? Speaking of dealers - BYD doesn't sell direct to buyers - it sells to Dealers so if you are talking Delivered sales to customers BYD isn't even close on sales to customers. BYD doesn't just make BEVs - it makes Hybrids even busses - unlike most Chinese makers that only make BEVs and none of them do anything but lose billions and billions.
I think BYD will be ahead of Tesla with various reasons. First, China market is the biggest automobile market in the world especially with the largest & growing middle-income. Second, BYD manufacturing cost is much lower than that of Tesla as they have developed their own supply chain & independent or at the mercy of part suppliers. Third, BYD has the full support of the Chinese government in their drive to meet the zero emission target. 4th, Chinese people are becoming more nationlistic due to the various technology sanctions from the western & G7 countries. Last & probably most important is that BYD own the "heart" of an EV, i.e. the battery technology. BYD holds multiple patents regarding their battery technology as they manufacture their own battery and supplying to other EV brands. It is a matter of time that BYD's sodium battery development will become mature & feasible for usage in EV. Sodium batteries which have some potential advantages over lithium-ion batteries in terms of abundance and affordability, as well as less prone to overheat issues. When that time comes, it will be a watershed in the history of EV as well as batteries technology. These are just my personal opinions as I would gladly put my bet on BYD instead of Tesla in the long term.
Most companies would rather go bankrupt than change business plan
I wonder how well BYD would do if it was restricted by the labor laws of the west and import fees of raw materials. On the other hand, I wonder how the West would be able to compete if manufacturing and resources were available to the same level.
As nice as what BYD is doing and as strong Tesla goggles are, I don't think these organizations can be compared on development and manufacturing due to a nonstandard of legal and workforce requirements.
Tesla PE ratio = 160, BYD PE = 36
Overpriced Tesla is sold to the rich, which can't solve global warming, while BYD sells to middle class which is bulk of the market.
But BYD (HK 01121) stocks price keeps dropping...
BYD also has more facilities then Tesla. I would like to see Tesla build a semiconductor plant.