Latest news with #Seagull
Sydney Morning Herald
2 days ago
- Automotive
- Sydney Morning Herald
China's EVs are dirt cheap. Its policymakers are concerned
Electric vehicles are an absolute steal in China right now. And the country's top leaders are concerned. EV manufacturers are locked in a death spiral of cost-cutting fuelled by weak domestic demand and an overcrowded, ferociously competitive marketplace that has been bloated by state subsidies. Today, Chinese motorists can drive off in BYD's top-selling Seagull hatchback for just 50,800 yuan (about $11,000) – more than 30 per cent below its guide price – after the EV giant kicked off a price-slashing war in May to squeeze its rivals. Its competitors followed suit. Only a handful of the 129 EV brands in China are turning a profit, BYD among them, while others are simply trying to outlast their rivals in weathering mounting losses. The toxic competition has spawned a phenomenon of dealers passing off new cars, fresh off the assembly line, as 'zero-mileage' used cars. They are then heavily discounted and sold domestically and overseas to boost revenue and clear inventory, while further driving down prices. The price war has prompted warnings from analysts, and even carmakers, of a looming mass consolidation that will wipe out dozens of players – a bad outcome for buyers and one that will drive up unemployment. The EU, US and even China's friends in Asia and South America have complained about cheap Chinese goods flooding their markets and wiping out local competitors. You won't see Chinese EVs on American roads. They have been shut out by a 100 per cent tariff imposed by the Biden administration to protect American carmakers.
The Age
2 days ago
- Automotive
- The Age
China's EVs are dirt cheap. Its policymakers are concerned
Electric vehicles are an absolute steal in China right now. And the country's top leaders are concerned. EV manufacturers are locked in a death spiral of cost-cutting fuelled by weak domestic demand and an overcrowded, ferociously competitive marketplace that has been bloated by state subsidies. Today, Chinese motorists can drive off in BYD's top-selling Seagull hatchback for just 50,800 yuan (about $11,000) – more than 30 per cent below its guide price – after the EV giant kicked off a price-slashing war in May to squeeze its rivals. Its competitors followed suit. Only a handful of the 129 EV brands in China are turning a profit, BYD among them, while others are simply trying to outlast their rivals in weathering mounting losses. The toxic competition has spawned a phenomenon of dealers passing off new cars, fresh off the assembly line, as 'zero-mileage' used cars. They are then heavily discounted and sold domestically and overseas to boost revenue and clear inventory, while further driving down prices. The price war has prompted warnings from analysts, and even carmakers, of a looming mass consolidation that will wipe out dozens of players – a bad outcome for buyers and one that will drive up unemployment. The EU, US and even China's friends in Asia and South America have complained about cheap Chinese goods flooding their markets and wiping out local competitors. You won't see Chinese EVs on American roads. They have been shut out by a 100 per cent tariff imposed by the Biden administration to protect American carmakers.
Straits Times
04-08-2025
- Automotive
- Straits Times
BYD sales sputter as competition, regulatory scrutiny grow
Sign up now: Get ST's newsletters delivered to your inbox BYD's sales barely grew in July, raising doubts about whether the Chinese electric-vehicle maker will meet its annual target. HONG KONG – BYD's sales barely grew in July, raising doubts about whether the Chinese electric-vehicle maker will meet its annual target. The world's biggest EV seller delivered 344,296 vehicles in July, it said on Aug 1. That's up 0.6 per cent from a year earlier, but down 10 per cent from June. While the slowdown isn't unexpected given China new car sales are typically weak in the summer, BYD faces headwinds in hitting its annual goal of 5.5 million units. Chinese authorities have stepped up scrutiny on the nation's auto sector, pledging to crack down on the heavy discounts that have fueled a price war. Having sold 2.49 million units through July, the maker of the electric Seagull hatchback now needs to deliver on average roughly 602,000 vehicles a month for the rest of the year to reach its target. The most vehicles BYD has ever sold in a single month was just shy of 515,000 last December. Most rivals are showing signs of resilient demand. Geely Automobile Holdings sold 237,717 cars in July, its highest since November. Meanwhile, Stellantis-partner Leapmotor and Xpeng achieved new monthly records, delivering 50,129 and 36,717 vehicles respectively. Fellow upstart Xiaomi also reported record deliveries of more than 30,000 units. In contrast, Li Auto's 30,731 units were down about 40 per cent from a year earlier. China's Passenger Car Association said last week that retail passenger vehicle sales in July were estimated to grow 7.6 per cent from a year earlier, or an 11 per cent decline from June. Nio continued to struggle as it posted a 16 per cent month-on-month fall in sales, recording its smallest sales volume since March. But Nio's shares jumped 8.6 per cent on Aug 1, after the launch of its Onvo L90 model which analysts see as attractive in its pricing and offering. BLOOMBERG
Business Times
04-08-2025
- Automotive
- Business Times
BYD shares fall as stalling sales put annual target in question
[HONG KONG] BYD shares fell in Hong Kong trading on Monday (Aug 4), as sputtering monthly sales growth raised doubts about whether the Chinese electric-vehicle (EV) maker will meet its annual target. The stock fell as much as 4.2 per cent in early trading, taking its decline from a May peak to around 28 per cent. Sales of the Shenzhen-based auto giant barely grew last month. The world's biggest EV seller delivered 344,296 vehicles in July, it said on Friday. That's up 0.6 per cent from a year earlier, but down 10 per cent from June. BYD's overseas sales also fell 10 per cent compared to June to 80,737 units. While the slowdown is not unexpected given China new car sales are typically weak in the summer, BYD faces headwinds in hitting its annual goal of 5.5 million units. Chinese authorities have stepped up scrutiny on the nation's auto sector, pledging to crack down on the heavy discounts that have fuelled a price war. Having sold 2.5 million units to July, the maker of the electric Seagull hatchback now needs to deliver on average roughly 602,000 vehicles a month for the rest of the year to reach its target. The most vehicles BYD has ever sold in a single month was just shy of 515,000 last December. Most rivals are showing signs of resilient demand. Geely Automobile Holdings sold 237,717 cars in July, its highest since November. Meanwhile, Stellantis-partner Leapmotor and Xpeng achieved new monthly records, delivering 50,129 and 36,717 vehicles respectively. Fellow upstart Xiaomi also reported record deliveries of more than 30,000 units. In contrast, Li Auto's 30,731 units were down about 40 per cent from a year earlier. Li Auto shares fell as much as 2.6 per cent in Hong Kong trading on Monday. China's Passenger Car Association last week said that retail passenger vehicle sales in July were estimated to grow 7.6 per cent from a year earlier, though would be down 11 per cent from June. Nio continued to struggle as it posted a 16 per cent month-on-month fall in sales, recording its smallest sales volume since March. Nio's shares jumped 8.6 per cent on Friday, after the launch of its Onvo L90 model which analysts see as attractive in its pricing and offering. BLOOMBERG
Associated Press
03-07-2025
- Automotive
- Associated Press
Navigating Automotive Supply Chain Disruption: Insights From DP World's David D'Annunzio
In a recent interview at the Gartner Supply Chain Symposium, David D'Annunzio, Global Vice President and Automotive Vertical Leader at DP World, sat down with Supply Chain Now host Scott Luton to share critical insights on the ever-evolving automotive supply chain landscape, the new norm of constant disruption, and the future of global automotive manufacturing. The automotive supply chain is being actively reshaped by global disruption, rapid innovation, and shifting trade dynamics. In this interview, 'Inside the Automotive Supply Chain with DP World's David D'Annunzio,' learn more about why the automotive supply chain is in constant flux, how DP World balances 'asset appropriate' strategies, the rising influence of Chinese automakers, and what's driving change in inter-Americas trade. Navigating a 'pressure-cooked' sector Drawing from decades of experience, D'Annunzio underscored the intense pressures unique to automotive supply chains, where factories rely on precise sequencing to produce vehicles every 60 seconds. Any misstep, he noted, could halt operations, making it an intensely 'pressure-cooked' sector. Adding to this high-stakes environment is the long-term effects of outsourcing parts production from local suppliers to low-cost countries such as China, India, and Pakistan. While this has increased efficiency and lowered costs over the past few decades, it has also increased market and supply chain vulnerability as global disruptions persist. DP World's proactive approach to disruption DP World's distinctive 'asset-appropriate' strategy – acquiring assets strategically rather than adhering strictly to an 'asset-light' model – positions them advantageously. Simply put, 'asset-light' companies prefer not owning physical assets like ships or trucks, opting instead to lease or outsource. In contrast, DP World chooses to own these assets strategically when it makes financial and operational sense, ensuring readiness and reliability during disruptions. As D'Annunzio pointed out, companies with resources readily available are primed to lead when inevitable supply chain disruptions occur. China's disruption of the global automotive industry Highlighting emerging industry trends, D'Annunzio spoke of the rapid ascendence of Chinese automotive manufacturing. Chinese electric vehicles, like BYD's Seagull, are poised to upend the global market – a Seagull can be purchased for $10,000 and offers features and quality equivalent to a $40,000 U.S.-manufactured car. D'Annunzio speculated that we could soon see Chinese automakers entering the U.S. market through partnerships with domestic firms – a scenario mirroring China's own strategy from decades past when U.S. manufacturers entered their market. Learn more To hear more from David D'Annunzio and explore deeper insights on the future of automotive supply chains, watch the full interview here. Visit 3BL Media to see more multimedia and stories from DP World
