China's EV Giant BYD Faces Sales Dip, Can It still hit 5.5M Target in 2025?

Chinese automaker BYD is now facing a slowing of monthly sales which raises concerns about its ability to achieve sales target of 5.5 million vehicles in 2025. Analysts are becoming sceptical whether BYD will meet its 2025 total sales target of 5.5 million units.

In order to reach this target, BYD would have to sell 560,000 electric and hybrid vehicles between now and December.

Monthly EV sales peaked for BYD in December 2024, selling just fewer than 515,000 units in that month, while in the domestic EV market, BYD is losing market share in China to other players like Geely and Xpeng.

• BYD Faces Sales Slowdown, Struggles to Hit 2025 Target of 5.5M Vehicles
• BYD Loses China Market Share Amid EV Price War and Regulatory Scrutiny
• BYD Hits 60 percent of Overseas EV Sales Goal Despite Global Market Challenges

In June, BYD's core car deliveries in China decreased by 8 percent year on year reported HSBC.  In terms of international sales, BYD is performing better and has hit 60 percent of its EV sales target of 800,000 units.

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BYD is facing hurdles to growth, both locally and internationally, impacting its sales growth in certain markets like Saudi Arabia, India, as well as Europe. Factors including lower EV adoption rates, tariffs, and increasing competition from incumbent automotive manufacturers are contributing to overall sales reducing.

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BYD is facing increased regulatory scrutiny in China, with its aggressive price cuts; the company has been engaged in an ongoing EV price cuts, and during late May, the company decreased its prices by as much as 34 percent, drawing criticism from state media.