Economic Observer Network reporter Zhou Ju On July 4, BYD announced its June and first half sales. Data show that BYD’s overall sales in June were 134,000 units, a year-on-year increase of 162.7%. From January to June this year, BYD sold 641,400 vehicles, a year-on-year increase of 314.90%.
BYD’s sales in the first half of the year have exceeded its full-year sales last year. Data shows that in 2021, BYD will sell a total of 603,800 vehicles. Taking into account the impact of the epidemic in the first half of the year and the general performance of the auto market, sales in the second half of the year are generally better than those in the first half of the year. Based on this calculation, BYD’s annual sales in 2022 are expected to exceed 1.2 million units.
BYD’s ambitions don’t stop there. According to BYD’s statement in the minutes of the previous investor meeting, based on the number of orders, its estimated sales in 2022 will be 1.5 million vehicles, and it will even hit the sales target of 2 million vehicles.
In the same industry, BYD’s sales in the first half of the year surpassed Tesla to become the global sales champion of new energy vehicles. According to Tesla’s production delivery report for the second quarter of 2022, Tesla delivered 254,000 vehicles globally in the second quarter, down from 310,000 vehicles in the first quarter. In the first half of 2022, Tesla delivered 564,000 vehicles globally, nearly 80,000 less than BYD. As a result, the pattern of the domestic new energy vehicle market has been rewritten.
The data shows that before 2017, BYD had long been the champion of the domestic new energy vehicle sales rankings, but since 2018, Tesla has come from behind, especially since Tesla’s domestic sales in 2020 have been higher than that in 2021. BYD has become the new sales champion. By the first half of this year, the pattern has been rewritten.
BYD’s various models have shown rapid growth. Among them, the sales of the Han family in June were 25,400 units, of which the Han DM series increased by 386% year-on-year; the sales of the Tang family in June were 8,134 units, of which the Tang EV increased by 837.1% year-on-year; The sales volume in June was 32,100 units, of which the Song DM series increased by 386.6% year-on-year.
Biya’s current sales of pure electric and hybrid models are basically the same. Data show that from January to June, BYD’s pure electric models and plug-in hybrid passenger vehicles sold a total of 323,519 and 314,638 vehicles, accounting for 50.70% and 49.30%, respectively, a year-on-year increase of 246.23% and 454.22%.
Regarding the reasons for the increase in sales, BYD insiders said in an interview with the media that the auto industry is facing the replacement of traditional fuel vehicles by new energy vehicles. At the same time, the company is actively expanding production capacity across the country, and the delivery of most models has improved.
In April this year, BYD announced that the company will stop the production of fuel vehicles from March 2022, and will focus on pure electric and plug-in hybrid vehicles in the automotive sector in the future. Later, Li Qian, secretary of the board of directors of BYD, explained to the public that the supply of BYD electric vehicles is in short supply and the production capacity is not enough, so the production capacity of fuel vehicles should be freed up for electric vehicles. Judging from the market performance in the first half of the year, BYD’s focus strategy of stopping the production of fuel vehicles to make way for new energy vehicles has achieved initial results.
In addition to the rapid increase in sales, BYD’s market value also made a big breakthrough in the first half of the year. On June 10, BYD broke through the trillion-dollar market value, ranking among the top three global auto companies in terms of market value, becoming the first Chinese vehicle company to enter the trillion-dollar market value club. In addition to the good market performance, the news of BYD’s supply of batteries to Tesla was confirmed at that time, which was also one of the factors that boosted its stock price.
At present, BYD is stable at the trillion-dollar market value. The latest data shows that as of the close on July 4, BYD closed at 336.16 yuan per share, an increase of 2.11%, with a total market value of 978.6 billion yuan.
But for BYD, while sales are rising, it also faces new challenges. On the one hand, there are more and more participants in the new energy vehicle market, and the competition is becoming increasingly fierce. How to maintain growth in the fierce battle is a major test. In addition, compared with Tesla and “Weixiaoli” and other new energy manufacturers, BYD is still insufficient in terms of high-end brand. At present, BYD has begun to make efforts in this regard, not only planning a new development strategy for the Denza brand, but also planning to launch a new high-end brand with a price of 800-100 million yuan.
Regarding BYD’s next performance, Huaxi Securities said that with the replacement of fuel vehicles in non-licensed cities, BYD expects that with the blessing of the Dynasty + Ocean dual network, the annual sales volume is expected to exceed 1.7 million vehicles. At the same time, relying on the two major technology platforms of DM-i and E3.0, and maximizing the advantages of the company’s vertically integrated supply chain, it can resist the impact of force majeure in the industry. “rating.
China Galaxy Securities also stated that based on BYD’s pure electric and plug-in hybrid dual-wheel development, sales continued to hit a record high, and it is expected that production capacity will usher in an accelerated ramp-up, while the brand’s upward breakthrough will accelerate. In addition, with the launch of a new round of new energy vehicles going to the countryside, a number of BYD models have entered the list of activities, which are expected to benefit from policy dividends and maintain a “recommended” rating for BYD.
In terms of new products, BYD frequently launched the brand in the first half of the year, and once intensively launched five new models in two months, including the new Han family, Denshi D9, seal, 2022 Tang EV, and Tang DM-p. The rhythm of the launch of a new car every month. According to BYD’s plan, several new cars will be launched this year.
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