BYD pauses work on plant in Türkiye, executive says

Chinese electric vehicle giant BYD has placed its planned factory in Türkiye on hold, shifting its focus to expanding production within Europe. The automaker had announced a $1 billion investment in Türkiye in 2024, with initial production slated for this year.

However, BYD's Executive Vice President Stella Li stated that there is currently no timeline for commencing operations in Türkiye. The company's primary focus is now on its new plant in Hungary, where assembly is scheduled to begin in the fourth quarter of this year. Li described Hungary as the "number one priority right now," with a secondary goal of identifying a second production facility in Europe.

The delay in Hungary means production will start about a year later than initially expected. BYD's expansion into Europe aims to help the company avoid potential European Union tariffs on Chinese-made electric cars. While cars manufactured in Türkiye would not face EU tariffs, BYD's strategic shift prioritizes direct European production.

BYD's sales in Europe have seen significant growth, increasing by 270% last year to nearly 188,000 vehicles. Year-to-date sales through May this year have already surpassed 100,000 units, marking a 144% rise. This surge in demand underscores the importance of establishing a European manufacturing base.

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Hungary is the number one priority right now. The second priority will be to focus on finding a second (production) facility in Europe.