YYDS, BYD really does not do pure fuel vehicles!

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In the face of carbon peak/carbon neutrality goals, the world's major car companies are doing electrification transformation, and give the corresponding fuel vehicle shutdown schedule, including Volkswagen, Toyota and other global manufacturers, most of the brand's time nodes are concentrated in 2025-2030, except for independent car companies - BYD exception.

Recently, BYD Automobile officially announced on the official Weibo that the brand will stop the production of pure fuel vehicles from March 2022 and focus on pure electric vehicles and green-brand plug-in mixed vehicles. In other words, BYD has completed the electrification transformation task ahead of schedule, and can say to all its peers with confidence: "Sorry, than the new energy vehicle business, everyone here is a hot chicken." ”

In the eyes of laymen, BYD Automobile's "early submission" this time seems to have some active turning, the feeling of competing for the top spot, after all, it is a complete abandonment of an important business sector, will it not affect the income? In fact, the suspension of fuel vehicles for BYD automobiles is completely "forced out" by the market and users, which we can clearly see from the sales data of the past two years and the crisis of the production capacity of the main engine plant.

We all know that BYD new energy vehicles are very hot, but many people are not very clear about its quantitative standards, we can simply analyze the sales data of BYD cars in 2020-2021.

In 2020, BYD's cumulative sales of passenger cars were 426,000 units, of which new energy sales were 189,000 units, accounting for 45%. Only half of the sales volume is obviously not enough for BYD Automobile to "bet" on new energy, who will be willing to give up half of the pure fuel vehicle revenue, the full production of new energy market and users will recognize? Not only BYD, but also Volkswagen, Toyota and German ABB green car sales in the future will exceed half of the sales, and they will definitely not dare to stop production of fuel vehicles.

By 2021, BYD's total sales of passenger cars will reach 730,000, of which nearly 600,000 new energy vehicles will be sold, accounting for 82%, and the year-on-year sales growth will mainly come from the new energy vehicle business. As for pure fuel vehicles, sales in 2021 will only be 130,000, and the total amount and proportion will decline significantly.

Starting from the fourth quarter of 2021, starting in October, the proportion of new energy vehicle sales has exceeded 90%, 92.7% in November, 94.7% in December, 97.6% in January this year, and 96.9% in February this year. In recent March, 104,338 vehicles were sold, and manufacturers no longer supply pure fuel vehicles.

Qin PLUS DM-i continues to sell well

Han DM-i is coming soon

What makes BYD really make up its mind is the long-standing "short supply" problem of the new energy vehicle business. Those who have had BYD's car purchase experience know that pure fuel vehicles are not a source of profit for BYD, but a burden on production capacity, especially the DM-i series of plug-in hybrid vehicles, booking cars and so on for half a year is the norm, users and dealers are waiting for manufacturers to start.

In addition, we can briefly compare our peers.

The Ashkenazi BBA is still dominated by blue cards

German ABB does not need to talk much, the current sales force is still "34C", "56E" such pure fuel cars / SUVs, to the death to add 48V mixing system, from the green card is still very early. Japanese well, the domestic definition of new energy so that the "two fields and one production" hybrid vehicle can not be green card, and they do not have battery production capacity, relying on outsourcing from the Ningde era is absolutely unable to support the new energy vehicle plate, embarrassing. Volkswagen is still relatively active in this field, but the ID series has just started, compared with star cars such as Langyi, Tiguan, Passat, etc., neither influence nor sales can be on the table.

Toyota THS series, can not be on the green card

The Volkswagen ID series is just getting started

Like the joint venture car companies, the counterparts of independent car companies also have the problem of battery production capacity, FAW, SAIC, and GAC inevitably have to purchase batteries from the Ningde era, which is obviously not a long-term solution for the development of brand new energy vehicles, because only by firmly controlling the supply chain in their own hands can they effectively control costs.

The battery supply of major automobile manufacturers will not be able to rely on procurement

At present, the Great Wall Hive Yichuang and GAC New Energy are working hard to build their own hybrid system & power battery production lines, but there is still a long way to go to achieve the volume and influence of the BYD Andi and Ningde eras.

summary

It seems that BYD's abandonment of the fuel vehicle business + betting on new energy is an active choice for the strategic transformation of the brand, but in fact, the brand's fuel vehicle business is completely squeezed out by new energy vehicles, rather than the manufacturer taking the initiative to give up. This will not only not affect the sales/revenue of BYD automobiles in 2022, but also the total sales of the brand will further rise this year with the further release of production capacity.

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