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The second price increase this year, is BYD floating or helpless?

Now does not seem to be a good time to buy a car, not only the oil price soared, the cost of use rubbed upwards, many old fuel owners can not afford to drive, even new energy electric vehicles have also successively sent out "bad news", subsidies decline, premium increases, this is not only, the price is getting higher and higher. Recently, it is more frequent to see many new energy models silently increase prices. Today, BYD is no exception, in the past few days BYD announced the price increase of the Dynasty series and the Marine series, ranging from 3,000-6,000 yuan. It is worth mentioning that this is already the second price increase of BYD this year, and in January this year, BYD has made a price increase ranging from 1,000-7,000 yuan for related models.

The second price increase this year, is BYD floating or helpless?

In the past, this kind of thing generally happened to Tesla, and now this thing has also happened to BYD, which has undoubtedly caused a lot of controversy. Or a helpless move. In fact, the price of domestic new energy models is not only BYD, since entering this month, there have been no less than ten car companies for their new energy models to adjust prices, GAC Aian, Weima, Euler, Roewe, geometry, Nezha, zero run, Chery new energy, Xiaopeng and so on, less than a thousand yuan, more than tens of thousands, new energy models in March ushered in a real wave of price increases.

The second price increase this year, is BYD floating or helpless?

And everyone invariably increased prices, on the one hand, it was affected by the decline of subsidies. Previously, the state has issued a notice that the subsidy rate of new energy models this year will be 30% lower than last year, and from next year, new energy models will no longer receive subsidies. This is actually not difficult to understand, the subsidy is to promote the development of new energy models, the early subsidy range is even crazier, BYD also ate the dividend, after the statistics in 2016-2020 BYD received state subsidies reached nearly 4 billion yuan.

The second price increase this year, is BYD floating or helpless?

Under the attractive incentive mechanism, domestic new energy models have indeed achieved great growth in recent years, and according to the market penetration rate, it has also increased from 1.8% in 2016 to 12.7% in 2021 (as of November 2021), and subsidies will withdraw from the historical stage sooner or later. With the progress of the industry, it has slowly entered a benign competitive environment, but the elimination of the last place should also be more intense, and it may enter a real bayonet melee stage.

The second price increase this year, is BYD floating or helpless?

Speaking of another reason for the price increase, that is, the recent sharp rise in raw material prices and the price increase caused by the lack of core, the Russian-Ukrainian war, the impact of the epidemic are all stimuli. In the past, Tesla's price adjustment was nothing more than based on the fluctuation of costs, and now including BYD, domestic car companies can not withstand the pressure of raw materials soaring, and can only transfer this part of the cost to consumers, after all, car companies need certain profits to maintain, which is really a helpless move. However, compared with other car companies, BYD's price increase is actually not high, and this has a lot to do with its own complete industrial chain.

The second price increase this year, is BYD floating or helpless?

However, some people also said: the price increase is understandable, I don't know if the car companies will reduce prices at the same time when the raw materials fall? On this point, I think many people are also very curious.

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