BYD Launches Hybrids With 1,300-Mile Driving Range

By Jiahui Huang

Chinese automaker BYD is rolling out cars capable of driving more than 1,300 miles without refueling or recharging, its latest effort to set itself apart from rivals in the world's largest auto market.

The world's biggest maker of electric vehicles late Tuesday launched two plug-in hybrid sedans with upgraded powertrains that give both a driving range of more than 2,100 kilometers (1,306 miles) on a full tank and full battery.

Prices of the models, called the Qin L DM-i and the Seal 06 DM-i, start at 99,800 yuan ($13,775.21) and run up to CNY139,800, relatively low prices for the sedan segment in China.

The new powertrains are BYD's fifth iteration since it launched its first plug-in hybrid model in 2008. The new versions cut fuel consumption to 2.9 liters per 100 kilometers, down from 3.8 liters per 100 kilometers in the previous version three years ago.

BYD's Hong Kong-listed shares rose 5.3% Wednesday, making them the top gainer among Hang Seng Index constituents. Shenzhen-listed shares closed 8.35% higher, their largest one-day rise since September 2021.

Warren Buffett-backed BYD has been on a tear in recent months, passing Tesla as the world's largest seller of electric vehicles, unveiling a Ferrari-esque sports car and its first pickups, and continuing to grow its topline and bottomline, despite ongoing price wars and stiff competition in China, the world's most crowded EV market.

The driving ranges of the new sedans beat BYD's hybrid rivals by a wide margin. Hybrid specialist Li Auto's latest L6 model has a driving range of up to 1,390 kilometers, while models of Huawei-backed Seres's latest Aito M9 model is advertised at up to 1,402 kilometers. Ranges of major global hybrid carmakers typically top out around 1,100 kilometers.

Analysts said the extended driving range, lower fuel consumption and modest prices of the new BYD models would add to the carmaker's leading position in the industry at a time when rivals are gearing up to roll out new models and trim prices further in a monthslong price war.

They could also lead to more pressure for foreign automakers who are already losing market share in China, BOCOM International auto analyst Angus Chan said. "Japanese automakers would be at risk the most," he added, with the new models providing an alternative to brands like Nissan and Toyota that have long had a reputation for low prices and low operating costs.

Nomura analyst Joel Ying said major competitors of the new models would be internal-combustion-engine cars targeting similar consumers at a comparable price range, such as Nissan's Sylphy and Toyota's Levin and Corolla models. ICE competitors, he added, "aren't able "to provide 2,000 kilometers driving range for sure."

Write to Jiahui Huang at jiahui.huang@wsj.com

(END) Dow Jones Newswires

May 29, 2024 06:23 ET (10:23 GMT)

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