BYD Delays EV Factory in Vietnam as Global EV Market Slows

China’s leading electric vehicle (EV) manufacturer, BYD, has announced a delay in its plans to construct an EV factory in northern Vietnam. The information was disclosed during a recent shareholders’ meeting by the manager of the industrial park where the facility was proposed to be built. The decision to postpone the project is attributed to BYD’s strategic considerations and the deceleration of the global electric vehicle market.

The Vietnamese government revealed in May that BYD intended to establish a factory in the province of Phu Tho, where the company already operates a plant that manufactures tablets for Apple. However, due to the slowdown in the electric vehicle market and the company’s strategic reassessment, construction plans have been put on hold.

Luong Thanh Tung, vice chairman of the Gelex Group, which manages the industrial park, stated that BYD had agreed to reserve 100 hectares of commercial land for the electric vehicle factory at the Phu Ha industrial park. However, delays in the project have necessitated both parties to seek a suitable time to commence construction.

BYD’s headquarters in China has not yet commented on the recent statements made by Gelex.

The global electric vehicle market is predicted to experience a decline this year, primarily due to a reduction in state subsidies. This, in turn, has impacted BYD’s investment plans and the growth of the EV sector as a whole.

In addition to its proposed Vietnamese factory, BYD is also currently constructing an EV facility in Thailand and has plans to establish similar facilities in Indonesia. The company sold over 3 million electric vehicles worldwide in the previous year, including both battery electric vehicles and plug-in hybrids.

While BYD faces delays in Vietnam, CATL battery chief Robin Zeng has dismissed the notion of imminent breakthroughs in solid-state batteries. Zeng highlighted the impracticality, lack of durability, and safety concerns surrounding this technology, stating that it still requires several years before achieving commercial viability. Instead, Zeng’s team is focusing on sodium-ion batteries and condensed-matter batteries that employ a semi-solid material.

Despite the setback in Vietnam, BYD remains committed to expanding its EV production capacity and exploring new advancements in battery technology. As the global EV market evolves and faces challenges, companies like BYD and CATL continue to shape the future of sustainable transportation.

An FAQ section based on the main topics and information presented in the article:

Q: What is the reason for the delay in constructing BYD’s EV factory in Vietnam?
A: The delay is due to BYD’s strategic considerations and the deceleration of the global electric vehicle market.

Q: Where was the proposed location for BYD’s EV factory in Vietnam?
A: The proposed location was in the province of Phu Tho, where BYD already operates a plant manufacturing tablets for Apple.

Q: Who manages the industrial park where the factory was proposed to be built?
A: The Gelex Group manages the industrial park.

Q: How much land had BYD agreed to reserve for the factory?
A: BYD had agreed to reserve 100 hectares of commercial land for the electric vehicle factory.

Q: What is the current state of the global electric vehicle market?
A: The global electric vehicle market is predicted to decline this year, primarily due to a reduction in state subsidies.

Q: Are there any other EV facilities BYD is currently constructing?
A: Yes, BYD is currently constructing an EV facility in Thailand and has plans to establish similar facilities in Indonesia.

Q: How many electric vehicles did BYD sell worldwide in the previous year?
A: BYD sold over 3 million electric vehicles worldwide in the previous year, including battery electric vehicles and plug-in hybrids.

Q: What technology is CATL battery chief Robin Zeng focusing on?
A: Robin Zeng’s team at CATL is focusing on sodium-ion batteries and condensed-matter batteries that employ a semi-solid material.

Definitions for key terms or jargon used within the article:

1. EV: Stands for electric vehicle, which is a vehicle that operates on electric power stored in rechargeable batteries, as opposed to traditional internal combustion engines.

2. Industrial park: An area of land developed for industrial use, usually consisting of factories, warehouses, and other facilities.

3. Subsidies: Financial aid or support provided by the government or other organizations to reduce costs for certain industries or activities.

4. Battery electric vehicle: A type of electric vehicle that is powered solely by an electric battery.

5. Plug-in hybrid: A type of hybrid vehicle that combines a conventional internal combustion engine with an electric battery that can be charged by plugging it into an external power source.

Suggested related links:
BYD website
CATL website