BYD vs Tesla: will the Chinese brand dethrone the American giant?

BYD Tesla électrique

In the automotive market, Chinese manufacturers are hoping to make a name for themselves and stand up to their competitors by offering electric cars at rock-bottom prices in Europe. Take the example ofInvicta Ponya electric city car for less than €20,000 or theAtto 3 of the Chinese car brand BYD - acronym forBuild Your Dream"("Build your dreams"). It was during the Paris Motor Show in spring 2022 that this BYD electric has been unveiled.

That's enough to intimidate its direct competitor Tesla with the SUV electrical Model Y. However, the American brand has not been able to expand by lowering the price of its electric cars to make them more accessible to buyers and, above all, to make them eligible for the environmental bonus.

With BYD currently in 2nd place on the electric car market, behind leader Tesla, will the Chinese brand dethrone the American brand? We tell you all about it!

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BYD vs Tesla: comparison table

Which electric car should you choose between BYD and Tesla?

There are many similarities between the electric cars of these 2 brands. To help you choose, here's a table comparing BYD and Tesla cars in terms ofautonomy and the price :

Voitures électriques Autonomie (selon WLTP) Prix catalogue
BYD Atto 3
420 km
43 690 €
BYD Tang
528 km
70 800 €
BYD Han
521 km
71 160 €
BYD Seal
Autonomy not communicated
Price not communicated
BYD Dolphin
424 km
28 990 €
Tesla Model S
634 km (Dual Motor all-wheel drive)
106 490 €
Tesla Model S Plaid
600 km
131 490 €
Tesla Model 3
491 km (Propulsion)
41 990 €
Tesla Model X
576 km (Dual Motor all-wheel drive)
114 490 €
Tesla Model Y
455 km (Propulsion)
49 990 €

BYD and Tesla: are they really competitors?

Before answering this question, let's find out more about the Chinese car brand BYD.

Before taking 2nd place in the electric car market, Wang Chuanfu, the visionary Chinese chemist and CEO of BYD, began by building batteries for telephones, making his brand the world's 3rd largest manufacturer of rechargeable batteries after China's Ningde Time and South Korea's LD.

BYD manufactures batteries such as :

  • NiMH batteries (nickel metal hydride): this battery can be recharged using a charger,
  • batteries lithium-ion It's a lithium battery. In fact, most electric or hybrid vehicles, cameras and mobile phones are equipped with lithium batteries. battery lithium-ion, 
  • NMC batteries (nickel-manganese-ion batteries)cobalt): this electrochemical battery, which is also used in some electric cars, is designed to deliver high performance while remaining lightweight and compact.

As well as making batteries, the Chinese brand manufactures taxis, buses and coaches, sanitary vehicles and forklift trucks.

To answer the question of whether the BYD brand competes with Tesla, the answer is yes and no. Yes in the sense that both brands offer premium electric cars, with more or less similar designs. Yes, in the sense that both brands offer premium electric cars, with more or less similar designs.

In addition, to compete with Tesla and become the market leader, BYD plans to open 20 points of sale with its partners in 2023 and up to 10 points of sale in France in 2025. The Chinese brand would also like to set up factories to avoid exporting vehicles, to have a more efficient supply chain and delivery times, and to enable motorists to receive their electric vehicles quickly. This strategy has also been devised by BYD to deal with the consequences of the Covid-19, where the entire automotive market was affected on a global scale.

On the other hand, as Tesla's electric cars are powered by batteries manufactured by BYD, notably with the Model Y, we might think that these 2 car brands are not really competitors. The collaboration is designed to boost Tesla's Gigafactory automotive plant in Berlin and strengthen the company's supply chain. Tesla and reduce delivery times.

The battery that will soon be fitted to RWD versions of the Model Y will not be lithium-ion, but a "Blade" battery with LFP chemistry (lithium, iron, phosphorus). This battery will "revolutionising safety, durability and performance in the electric vehicle industry"according to BYD.

As far as the price difference is concerned, BYD demonstrated at the April 2023 motor show that it could offer lower prices than the European industry. The sub-brand of Shenzhen has unveiled the Seagull for under €10,000.

Not sure which model to choose between BYD and Tesla?

Our experts will advise you according to your needs. Beev offers leasing of BYD and Tesla 100 % electric vehicles at the best prices, as well as recharging solutions.

What can we expect from BYD and Tesla?

BYD: ready to conquer Europe?

BYD's appearance at the Paris Motor Show last spring marked the start of a new era for the company. the Chinese brand's plan to conquer Europe. To achieve this objective, the brand plans to market top-of-the-range electric cars at knock-down prices. Here are some of the electric cars planned for the next few years:

The model will be available in 4 versions, with prices starting from €28,990:

Versions Autonomie Batterie Puissance Prix
Active*
340 km
44.9 kWh
70 kW / 96 bhp
28 990 €
Boost*
310 km
44.9 kWh
130 kW / 177 bhp
29 990 €
Comfort
427 km
60.4 kWh
130 kW / 177 bhp
33 990 €
Design
427 km
60.4 kWh
150 kW / 204 hp
35 990 €

*These first two versions will be available from 1ᵉʳ quarter 2024.

 

For this compact 100 % electricAn initial export of 152 units began on 2 July 2023 in Europe, according to CarNewsChina.

To further increase competition with Model Y of Tesla, the American best-seller of the moment, BYD has joined forces with Mercedes-Benz to launch a Electric SUV Denza, with two models: the D9, an electric minivan, and the N7, an SUV. The price in Europe is not yet known, but it has already been sold in China for between 301,800 and 379,800 yuan, or €38,317 to €48,215.

Tesla: what about the current leader?

As for Tesla, the American brand is still in the running on the market and has even beaten a record during the 1st quarter of 2023 Model 3 and Model Y have been the best sellers, with 446,915 delivered in Europeor 95.87 % of the company's sales! But the car that stood out from the rest was the Model Y, number 1 in Europe with 71,693 between January and March 2023 !

If Tesla has achieved such a performance, it's thanks to various actions, in particular the fact that the ecological bonus reduced from 1ᵉʳ January 2023from 6,000 to €5,000 for individuals and 4,000 to €3,000 for professionals. To make these Tesla cars accessible to motorists, sales prices have been reducedsIn addition, reductions have been applied to make them eligible for financial assistance.

It's a great achievement for Tesla, but Elon Musk isn't stopping there. He also wants to relaunch the Full Self Driving of its Tesla cars, advanced autonomous driving software. This feature had already been unveiled since October 2020 in beta version in Canada and the United States, then suspended and postponed several times, this assistance technology was not yet perfected and outpaced by the systems of Mercedes-Benz or even Toyota. But it was on a Twitter post that Elon Musk announced that the next version of this software would no longer be in beta :

Currently in version 11, when will version 12 of Full Self Driving be unveiled? This is information that Elon Musk has not yet given.

The Tesla Roadster project postponed until 2024!

What's more, the Tesla Roadster which was unveiled in 2017, was due to be launched in 2020, then postponed several times, has been rethought and is now available for pre-order for 2024 by the CEO of the American brand. It is now available for pre-order with a €4,000 deposit on the first payment and €39,000 within 10 days, giving a total refundable deposit of €43,000.

Regarding the launch date, the electric sports car will see the light of day in 2024, as announced by Elon Musk. In the meantime, a number of details of its features have already been revealed, including :

  • acceleration from 0 to 100 km/h: 2.1 seconds
  • over 400 metres from a standing start in 8.8 seconds
  • maximum speed: over 400 km/h
  • wheel torque: 10,000 Nm
  • range: 1,000 km
  • number of places: 4 places

You can consult the Tesla website for more information on the Roadster.

Which vehicles are eligible for government assistance?

BYD vs Tesla: ecological bonus

For both brands, certain models are eligible for the ecological bonus. To be eligible, the vehicle purchased outright or second-hand must have a value of less than €47,000 including tax. In some cases, the amount of this aid can be up to €7,000 for a new private car, and up to €1,000 for a second-hand private car. The exact amount of assistance depends on income and whether the applicant is a natural or legal person.

BYD vs Tesla: conversion premium

You can also access the conversion premium. This bonus, which can be combined with the ecological bonus, is awarded to motorists who scrap their old polluting vehicle. This amount will enable them tobuy or lease an electric vehicle.

Entitlement to and the amount of the conversion premium depend on a number of criteria, including :

  • the applicant's reference tax income (RFR), which must be less than or equal to €22,983,
  • the engine of the vehicle to be destroyed,
  • the type of vehicle purchased: a passenger car (PC), van, motorised 2 or 3-wheeler, or motorised quadricycle,
  • if the applicant lives in a low mobility emission zone (ZFE-m), an additional €1,000 may be granted, and up to €3,000 if a local authority has granted additional aid.
Find out about your financial aid with our simulator!
Need to find out about financial assistance for buying an electric vehicle? Use our project simulator to find out about your subsidies to reduce the cost of electric vehicles.

Will BYD and Tesla cars be eligible for financial aid in the next few years?

As we saw earlier, the government is helping private individuals and businesses by offering subsidies for the purchase of electric vehicles. On 16 May 2023, the government announced a change to the ecological bonus.

According to the French Minister for the Economy, Bruno Le Maire, of the Chinese electric vehicles sold in Europe, "40% of the ecological bonus has gone to Asia". He also added that the government had not "not to use public funds to finance the development of factories in Asia".

So, before the end of 2023, a boost will be given to vehicles and batteries made in Europe only, excluding aid to Chinese manufacturers.

To do this, an environmental score will be awarded and this is what will be checked:

  • the electricity mix used to produce an electric vehicle
  • the carbon footprint steel and batteries
  • recyclable and bio-sourced materials used in electric cars

In fact, to find out all this information about how the battery is made, a digital passport will be available from 2026. This passport will make it possible to measure the environmental impact of the battery and trace its life cycle, from design to wear and tear.

In conclusion

To answer the initial question, competition will be fierce between these two electric car brands, as they seek to remain or become market leaders. As we saw earlier, these two brands are finding strategies to put in place to stay in the race.

So yes, BYD has a chance of overtaking Tesla, but Tesla also has the potential to remain the leader in electric vehicles. We look forward to seeing how the electric BYDs perform when they go on sale, and to giving you our verdict on BYD versus Tesla in the near future.

Picture of Grace Nzuzi
Grace Nzuzi

Through my articles, I help you to better manage your energy transition. For professionals and private individuals alike.

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