How do you think about BYD's suspension of fuel vehicles?

In the matter of stopping the sale of fuel vehicles, BYD sampled the global automobile companies this time and erected a stick.

On the evening of April 3, BYD announced on the Hong Kong Stock Exchange that according to the company's strategic development needs, the company will stop the production of fuel vehicles from March 2022. In the future, BYD will focus on pure electric and plug-in hybrid vehicles in the automotive segment.

At the same time, the announcement also pointed out that BYD will continue to ensure the production and supply of parts for fuel vehicles, and continue to provide perfect service and after-sales protection for existing fuel vehicle customers.

According to BYD's production and sales report in March, in March this year, BYD produced and sold 106,700 units and 104,900 units, respectively, of which the sales of fuel vehicles have been cleared.

This means that in March this year, BYD has completed the destocking of fuel vehicles.

In the first quarter of this year, BYD's production and sales totaled 292,200 units and 291,400 units, an increase of 170.06% and 179.78% year-on-year, of which the production and sales of new energy vehicles were 287,500 units and 286,300 units, respectively, an increase of 416.96% and 422.97% year-on-year.

It can be seen that since the beginning of this year, BYD's fuel vehicle business is already in a stage of destocking.

With the announcement, BYD has also officially become the world's first traditional automobile company to confirm the cessation of fuel vehicle production.

However, in a sense, this is also BYD's original intention.

After all, since entering the automobile industry more than a decade ago, BYD has already said that it will be a new energy vehicle company.

This time, BYD officially announced the suspension of fuel vehicles, which can be described as an uproar in the global automotive industry.

There are many plans to stop production of fuel vehicles, but few can land on the ground.

Traditional auto companies have been announcing the suspension of fuel vehicles for a long time, and among them, European auto companies are the most enthusiastic about announcing plans to stop selling fuel vehicles.

Of course, European auto companies are also the worst in the field of new energy.

Since a few years ago, European auto companies have begun to introduce plans to stop selling fuel vehicles, and the earliest will no longer develop and sell fuel vehicles in 2025.

However, this series of schedules is more like a pandering to policies and regulations.

Mercedes-Benz has recently launched a series of EQ models, but this series of models without exception are based on the fuel version of the model oil to electricity products, the domestic BMW i3 listed a few days ago, is also bmw G28 series of oil to electricity.

European auto companies, including Mercedes-Benz, BMW, Audi and Volkswagen, are now more profits concentrated on fuel vehicles.

Especially the luxury brands represented by Mercedes-Benz, BMW and Audi. The huge sales volume brought about by the consumption upgrade of China's automobile market can still make the three luxury carriages in Europe sit back and relax in the next few years.

In contrast, Volkswagen, as a brother of the European automobile industry, attaches relatively high importance to new energy after the emission gate, and has launched a series of electric vehicle products.

However, even so, Volkswagen has not fundamentally solved the contradiction between the new energy era and the current operation of automobile society.

Moreover, from a technical point of view, Volkswagen's electric vehicle technology level is still only at a relatively low level, and the energy consumption level of electric energy is much worse than that of mainstream new energy vehicles.

From the perspective of industrial development, European auto companies seem to be passively accepting the era of new energy and being wrapped up in the era of new energy.

So, what we're seeing now is that the European auto companies that have proposed to stop producing and developing new energy vehicles within a few years are just plans.

And technology, there is no essential innovation.

Byd's great strength lies in solving the pain points of the new energy era.

Unlike European companies being forced into the new energy era, BYD has been exploring solutions to the contradiction between new energy power and automobile social operation from the beginning.

In the early years, BYD used the BYD F3 DM to explore this technical solution that balances the contradiction between electric vehicles and new energy.

On this route, BYD has been developing.

Subsequently, BYD launched the 542 strategy based on parallel hybrid technology, which initially realized the mass production exploration of plug-in hybrid system.

After the parallel plug-in hybrid system began to take shape, BYD's DM-i super hybrid system truly realized the foundation for large-scale industrialization.

In this way, BYD has accumulated more than ten years on the technology tree of plug-in hybrid technology.

Compared with pure electric power, the difficulty of this efficient plug-in hybrid technology is higher, and BYD's technology accumulation for more than ten years is exactly what European auto companies have been lying flat in the previous ten years.

The plug-in hybrid technology that BYD has studied for more than ten years is indeed the optimal solution for the development of the new energy industry at this stage.

In other words, the core of BYD's ability to discontinue fuel vehicles is the emergence of DM-i plug-in hybrid systems.

The success of the DM-i plug-in hybrid system lies in the use of electric motors to make the internal combustion engine better.

You can think of the DM-i super hybrid system as a branch of the development of new energy, and you can also see it as an advance in the development of traditional fuel vehicle technology.

DM-i super hybrid system with a dedicated gearbox to achieve efficient motor and engine power coupling, with the assistance of the motor, the engine can run for a long time in the efficient range, and the engine setback such shortcomings, but also the motor longer time drive completely solved.

In other words, BYD's DM-i makes traditional cars drive better, and indeed more fuel-efficient.

Starting from the node of consumers' daily use, BYD DM-i is an upgrade of the power system. It is not a transitional existence, but will exist in the operation mode of automobile society for a long time.

The self-production and self-sale of lithium iron phosphate batteries is the key to BYD's victory in the new energy era.

With the design capabilities of more complex power management systems and the power battery industry with the scale of the whole industry chain, BYD holds the most core competitiveness in the new energy era.

Therefore, BYD does have the courage to stop production of fuel vehicles. It is no exaggeration to say that in the future, BYD has a future than volkswagen.