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BYD to add autopilot system in EVs to gain edge amid China's price war

BYD to add autopilot system in EVs to gain edge amid China's price war

Yahoo10-02-2025

BYD plans to offer an autopilot system in nearly all its cars, making autonomous driving affordable to all mainland Chinese customers as the world's largest electric-vehicle (EV) maker seeks a competitive edge in an escalating price war.
At least 21 models - including the Seagull hatchback priced from as low as 69,800 yuan (US$9,554) - will be fitted with its indigenous advanced driver assistance system, or ADAS, which enables cars to navigate on highways and conduct self-parking, the Shenzhen-based company said on Monday.
The system, known as God's Eye, "will mark a new era when all customers can access smart driving", founder and chairman Wang Chuanfu said.
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The ADAS system would beat market expectations, built on 5,000 engineers' painstaking research over the past seven years, he added.
BYD's announcement echoed a bullish industry projection that 15 million new cars, or two-thirds of national sales in 2025, would be fitted with a preliminary autonomous-driving system as EV makers step up their offerings to win customers and Beijing extended a subsidy programme to spur big-ticket consumption.
BYD chairman Wang Chuanfu unveils the Yangwang U8 luxury SUV at the Shanghai Auto Show 2023. Photo: Handout alt=BYD chairman Wang Chuanfu unveils the Yangwang U8 luxury SUV at the Shanghai Auto Show 2023. Photo: Handout>
Zhang Yongwei, general secretary of China EV100, a non-governmental organisation that counts most of the nation's top EV executives as members, said the 15 million intelligent cars would feature at least Level 2 (L2) self-driving capabilities including steering, acceleration and deceleration, but still require drivers to take control or intervene at any time.
"We believe BYD's acceleration of autopilot progress will have a meaningful impact on the market given its position as industry leader," Goldman Sachs analysts Tina Hou and Sylvia Hu wrote in a research note last weekend.
BYD would catch up with its rivals in terms of developing navigate-on-autopilot technologies, they added.
BYD, known for its blade battery packs, builds low-priced electric cars that resonate with millions of local and overseas drivers for their value-for-money appeal. Currently, most China-made cars featuring preliminary autonomous driving systems are priced above 150,000 yuan.
Still, BYD has been lagging behind its domestic rivals like Xpeng and Nio in developing intelligent EVs because of its insufficient experience in digital technology.
That will change, Wang said.
"We have been adopting a strategy - fewer words, more deeds - over the past years in our research and development," he added. "BYD has a firm belief in smart driving and has been unswervingly delving into this area."
Autonomous driving is graded in five levels of sophistication. In China, most intelligent vehicles are classified as L2 or L2+ under the standards set by US-based SAE International. These levels stipulate that the driver must be alert and ready to take control at any time.
The cost of an ADAS has dropped over the last two years on economy of scale and rising sales of intelligent cars in China.
It now stands at about 10,000 yuan, according to Chen Jinzhu, CEO of Shanghai Mingliang Auto Service, a consultancy. It cost about twice as much three years ago, according to one estimate.
Xpeng and Huawei Technologies-backed EV maker Aito are viewed as China's market leaders in self-driving.
Tesla, which is expected to start testing its Full Self-Driving system on the mainland later this year, charges US$8,000 to install the system in the US, on top of a US$99 monthly subscription.
This article originally appeared in the South China Morning Post (SCMP), the most authoritative voice reporting on China and Asia for more than a century. For more SCMP stories, please explore the SCMP app or visit the SCMP's Facebook and Twitter pages. Copyright © 2025 South China Morning Post Publishers Ltd. All rights reserved.
Copyright (c) 2025. South China Morning Post Publishers Ltd. All rights reserved.

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Trump says Xi agreed to restart flow of crucial minerals, but analysts say China won't give up its ‘rare earth card'
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Trump says Xi agreed to restart flow of crucial minerals, but analysts say China won't give up its ‘rare earth card'

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Todd Weaver has an important message for Apple as it faces growing demands by President Donald Trump to reshore some of its smartphone production: Don't listen to the conventional wisdom. Experts have long said that manufacturing iPhones in the U.S., rather than Asia, as Apple does, would be logistically impossible and ridiculously expensive. But Weaver argues companies can indeed do it successfully, and at a similar or only slightly higher cost—if given several years to navigate the inevitable complications. Weaver should know: His startup, Purism, is among the few, if not the only business, that assembles smartphones in the U.S. In fact, the U.S. pedigree is the main selling point of his company's Made in America device, the Liberty Phone. 'It is challenging to do this in the U.S.,' Weaver acknowledges. 'It's probably the reason I'm the only one.' 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The area is home to a pool of skilled labor thanks to the local defense industry and manufacturing for other mobile carriers. That relatively modest assembly line is a major contrast to the factories that make iPhones, operated by contract manufacturers, mostly in China. Those facilities can be the size of several football fields and employ over 100,000 people who work around-the-clock shifts. Weaver said the U.S. is at a huge disadvantage to China when it comes to skilled workers, who make up a significant part of the workforce in smartphone factories. The only way to reverse the shortage and lay the groundwork for companies to reshore their production is to encourage more people to learn skills that are useful in the manufacturing process, he said. 'If you go over to China you can find buildings and buildings of thousands of electronics engineers. If you look here, you can find maybe five total,' Weaver said. Apple, for example, would risk a catastrophe if it suddenly, in 2026, needed to ramp up staffing in the U.S. to produce millions of iPhones, he said. Training enough people for such a massive undertaking would take years. Weaver said Purism, founded in 2014, took several years to develop its domestic supply chain. The company's small size means it only needs limited quantities of components, which makes it impossible to achieve the economies of scale that come from producing huge numbers of devices. Manufacturing in the U.S. also comes with higher labor costs than in China. But with the help of automation, those extra costs can be kept to a minimum by reserving human labor for tasks performed after production is complete, such as soldering, assembly, repairs, and testing. Apple, on the other hand, would need vast amounts of components to keep its assembly line humming. 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And yet, that's exactly what's required for something as complex as shifting manufacturing to the U.S. Trump's tariffs would be far more effective if phased in over many years, Weaver said. In that scenario, companies would have a clear and increasing incentive to reshore production—without being punished right off the bat. Weaver argues his U.S. manufacturing effort is already paying off and that it will gain momentum over time. He hopes the recent scandal involving U.S. officials using the chat app Signal to discuss a military strike against Yemen, and then accidentally inviting a journalist to join them, will help lift sales by encouraging the federal government to focus more on security. Weaver wouldn't get into the specifics of Purism's financials other than to say it has millions in annual revenue and turned profitable in 2023. The Liberty Phone is its biggest seller. Wayne Lam, an analyst with market research firm TechInsights, gave a mixed take on Purism's prospect. In an email, he said: 'They can be a successful niche player, but the odds of success are lower thanks to the bigger brands. They won't be able to compete in the consumer market but government/enterprise/military are all niche markets they can address.' To fund the expansion of his business, Weaver is trying to raise additional investment after taking in $16 million in funding over the years. Some of that money would go to fixing a shortcoming with his phones. Because they don't use Apple's iOS or Google's Android operating systems, they are incompatible with many of the most popular mobile apps like Uber. To get such apps work on its devices, Purism must make technical tweaks for each one. Purism can at least claim one small advantage over the giant companies that dominate the smartphone industry. If Trump's tariffs become permanent, it won't feel much impact from its U.S.-made phone, while the big players and their foreign-made devices could be hammered. 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