Annual Sales Forecast Revised Upward from 3.6 Million to 4 Million Units
China's leading electric vehicle manufacturer BYD has raised its annual sales forecast from 3.6 million units to 4 million units, driven by the popularity of plug-in hybrid vehicles, Bloomberg reported on the 9th (local time).
Morgan Stanley automotive analysts led by Tim Xiao cited BYD management's views to announce this on the same day.
Recently, Chinese consumers have been expanding their purchases of electric and hybrid vehicles. According to preliminary data released by the China Passenger Car Association on the 4th, shipments of electric and plug-in hybrid vehicles in the Chinese market in August increased by 42% year-on-year, surpassing 1 million units. Meanwhile, total vehicle shipments decreased by 1% to 1.9 million units. August shipments reached 378,054 units, a 30% increase.
Morgan Stanley stated that BYD's targets, sales volume, and profits will rise in the second half of this year as new models are launched.
BYD sold 2.3 million electric and hybrid vehicles this year. To achieve this goal, it must sell an average of 425,000 units per month over the remaining four months of the year.
Earlier, Ding Yuchen, head of China automotive research at HSBC Qianhai Securities, predicted that BYD would record monthly sales highs in September and October due to strong new model supply, strengthened overseas presence, and expanded subsidies.
Morgan Stanley analysts, quoting BYD executives, explained that new car carriers will begin operations in the second half of the year, expanding exports. BYD currently expects overseas sales to double by the end of the year, exceeding 450,000 units. Additionally, the increase of subsidies by 20,000 yuan for some models by the Chinese government is also expected to boost sales of electric and hybrid vehicles, further supporting BYD.
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