What is EV maker BYD and can its batteries really charge in five minutes?
The leading Chinese electric carmaker BYD has surged in value after it said its latest batteries charge fast enough to add 400km (249 miles) of range in only five minutes.
BYD's Hong Kong-listed shares gained 4.1% on Monday to hit a record high of 408.80 Hong Kong dollars ($40.58), as investors bet that the company could strengthen its already commanding market position.
The Chinese company is already the world's biggest manufacturer of battery electric and plug-in hybrid electric cars that combine a battery and a polluting petrol engine. Investors including Warren Buffett have bet that the company can extend its lead in electric car production – and the sale of batteries to rival carmakers.
Here's what you need to know.
The BYD founder, Wang Chuanfu, – often described as China's Elon Musk – said flagship models would be able to receive a megawatt of power, or 1,000 kilowatts (kW), allowing the company to 'completely solve users' charging anxiety'.
The first models to have the super-fast charging technology will be the Han L saloon and the Tang L SUV. At megawatt speed, the new cars achieve 'the same speed of oil and electricity' in terms of charging time.
A 10C rating means it can charge to full in a 10th of an hour, or six minutes. Every second adds about 2km in range.
Tesla narrowly retained its title as the biggest maker of pure electric cars in 2024, but BYD's announcement appeared to prompt investors to question whether the company run by Musk – distracted by his allegiance to Donald Trump – could fall behind. Tesla's 'supercharger' network – a key part of its appeal to early electric car buyers – can provide enough power in 15 minutes to drive 172 miles at a power level of up to 250kW.
Tesla shares fell by 4.8% on Monday, and were down another 1.5% in pre-market trading on Tuesday, according to Marketwatch data.
Eunice Lee, the Asian autos analyst at Bernstein, an investment research company, cited Chinese rivals XPeng and Zeekr, whose respective 5C and 5.5C charging systems can add about 280 miles and 342 miles of range in 10 minutes. She was 'generally impressed' by BYD's claims, after it had lagged behind rivals.
For comparison, a mains plug will offer about 2.3kW – compared with the 1,000kW that BYD claims. In the UK, 'ultra-rapid' is generally considered to be above 150kW, although there are dozens of chargers on main roads faster than 350kW.
Not all chargers are created equal
More and more people are buying electric cars, and are having to grapple with charging for the first time. However, not all chargers are created equal, and the profusion of units can cause confusion.
Charging speeds are measured by power output in kilowatts (kW), while battery capacity is measured in kilowatt hours (kWh). For example, a Nissan Leaf has 39kWh of battery capacity, while a Tesla Model Y has 60kWh.
Recharge times vary depending on battery size: divide the battery size by the power to get a very rough idea of how many hours it will take to charge. (E.g., a 60kWh battery at a 22kW charger would take about three hours.) The quicker the charge, the more it tends to cost.
Slow: up to 8kW
Common at homes, on-street chargers and places cars hang around like car parks or hotels. Suitable for charging overnight. Plugging in with a UK three-pin plug to the mains at home will deliver about 2.3kW – although it is not recommended.
Fast: 8kW to 49kW
Found at urban sites like supermarkets, shopping centres or car parks. Capable of charging a smaller battery in a few hours.
Rapid: 50kW to 150kW
Typically found close to big roads for journey charging, but also increasingly found in locations such as supermarkets or gyms with short dwell times. 50kW could give 80% charge in less than an hour.
Ultra-rapid: 150kW and above
Most chargers being installed at motorway services or dedicated charging hubs are now at least 150kW. Many newer cars can now handle 150kW, and several can charge at speeds of over 300kW, adding hundreds of miles of range in around 10 minutes.
The chargers need to deliver ultra-high voltage and ultra-large current at the same time. But big currents in particular cause problems for batteries because they tend to generate damaging heat. BYD said it had managed to reduce the internal resistance of the new battery, allowing the highest charging speeds for any production vehicle.
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To handle the high voltages, BYD also had to produce a new generation of silicon carbide power chips, it said.
BYD also said it would install a network of 4,000 of megawatt 'flash-charging stations' across China to allow for the fast charging.
The obvious one is cost: the new electrical technology will add to the cost of producing the vehicle – although the speed of the charging could make the cars more desirable for people with 'range anxiety'.
Another big problem will be the cost of energy. Faster charging costs more, because more power is needed. That requires expensive connections to power grids, which mean that the fastest chargers command a big premium.
Added to that, it is unclear what effect such fast charging could have on batteries, which degrade over their lifetimes. In existing technology, regular fast charging comes at the expense of reducing overall range.
No – or not soon, at any rate. Premium carmakers will scramble to keep up with BYD, but in the mass market a lot of the focus is on reducing costs of batteries rather than going for the most advanced. For many drivers – and particularly those with private charging – there will very rarely be a need to charge at public chargers except for the odd long-distance holiday. Otherwise, they can top up overnight when energy prices are lowest.
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