Constructed with a 40GWh Scale of Energy Storage
[Asia Economy Beijing=Special Correspondent Kim Hyunjung] BYD, which surpassed Tesla last year to become the world's largest electric vehicle manufacturer, is building a new battery factory in Zhengzhou, Henan Province. The investment scale for the factory's completion reaches 1.2 billion dollars (approximately 1.5256 trillion KRW).
On the 14th, Hong Kong's South China Morning Post (SCMP) reported that the construction plan for the factory was disclosed through an environmental assessment report posted on the Zhengzhou Airport Economic Zone website. The construction entity is Zhengzhou Findreams Battery, wholly owned by BYD. According to the disclosed report, the factory will be established on a 1.15 million square meter site in Zhengzhou. The production capacity is expected to reach 40 gigawatt-hours (GWh) annually upon completion.
Fate Zhang, founder of China's electric vehicle specialized media CnEV Post, said, "BYD's electric vehicle sales have surged sharply since last year, and there is a need to increase battery production to prepare for further growth." According to China's SNE Research, BYD's battery usage last year was 70.4 GWh, similar to LG Energy Solution, the world's second-largest battery company.
BYD, listed on the Hong Kong and Shenzhen stock markets, delivered 1.87 million vehicles last year, surpassing Tesla (1.314 million units) to rank first worldwide. Compared to the 2021 sales volume (614,000 units), this represents a rapid growth of 204.6%, jumping from fourth place to first in one leap.
Unlike existing leading electric vehicle companies such as Tesla, BYD has focused on selling vehicles priced between 100,000 to 200,000 yuan (approximately 18.65 million to 37.3 million KRW) targeting the middle class rather than premium electric vehicles. The fact that the growth in electric vehicle sales has slowed this year due to economic slowdown and inflation is also considered advantageous for BYD, which centers on mid- to low-priced models. In April, BYD plans to unveil a small electric vehicle called 'Seagull' at the Shanghai Motor Show, and this vehicle is also expected to have a final price not exceeding 100,000 yuan.
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