Price war at BYD: E-cars up to 15% cheaper – shares under pressure!

Price war at BYD: E-cars up to 15% cheaper – shares under pressure!

In the world of electromobility, supplier BYD Electronic faces a serious challenge. Parent company BYD announced on June 13 that it was aggressively cutting prices on several electric vehicles, causing excitement in the industry. The new price adjustments came at the right time, despite internal concerns about possible loss of profit margins, as competition in the electric car market continues to increase. These price reductions are directly related to an intense price war that has now affected the entire industry.

BYD has currently significantly reduced the prices of several models. The popular Atto 3 compact SUV, which has a front-wheel drive with 150 kW and a range of 420 km, is now offered from 37,990 euros, a decrease of almost 15% compared to previous prices. The previous costs were 44,625 euros. The Dolphin and Seal models have also had their pricing redesigned, while the prices for the Han and Tang models remain unchanged.

Details about the price changes

The current prices of the various BYD models are as follows:

• Dolphin Comfort: neu 32.990 Euro (bisher 35.990 Euro, Differenz 3.000 Euro)
• Dolphin Design: neu 34.990 Euro (bisher 37.990 Euro, Differenz 3.000 Euro)
• Atto 3 Comfort: neu 37.990 Euro (bisher 44.625 Euro, Differenz 6.635 Euro)
• Atto 3 Design: neu 39.990 Euro (bisher 47.005 Euro, Differenz 7.015 Euro)
• Seal RWD Design: neu 44.990 Euro (bisher 47.578 Euro, Differenz 2.588 Euro)
• Seal AWD Excellence: neu 50.990 Euro (bisher 53.668 Euro, Differenz 2.678 Euro)

These price adjustments are a direct response to the price cuts of competitors such as the VW ID.4, whose price has been reduced by up to 7,735 euros since the beginning of the year. The ID.4 is now available from 32,600 euros, but offers less range and engine power compared to the BYD models.

Financial challenges and investment plans

For BYD Electronic, the price pressure that is typically passed on to suppliers could significantly reduce profit margins. Since the beginning of the year, BYD Electronic shares have lost more than 30% of their value, potentially highlighting the challenges in the current market environment. The next few quarters will be crucial in assessing the tension between the price war and the company's investment opportunities.

Despite the tense situation, BYD is planning significant capital expenditures of almost $1.1 billion for 2025/2026. These investments will be used to modernize production capacities and build new technologies and more efficient supply chains. The long-term investments indicate that the group is ready to face the challenges and further expand its market position.

The ongoing price reduction and ongoing price war in the electric vehicle segment show how dynamic and challenging the market currently is. Developments at BYD and other players will continue to be closely monitored as the industry prepares for possible consolidation and improvement in earnings.

For more information about the current market situation and price changes at BYD, the reports can be found on the pages of Exchange Express and InsideEVs be consulted.