Will European BYD cars be cheaper starting in 2025?

BYD is making giant strides in building its first European factory in Szeged, southern Hungary.

The bold bet is on the verge of being won as BYD is expected to become the first Chinese automaker to own a new energy vehicle manufacturing plant in Europe as early as next year. The most optimistic forecasts pointed to an operational production line in 2026, three years after signing an agreement, but BYD seems determined to accelerate this process. Is this due to new customs duties imposed by the European Commission? It would be naive to believe that this has had no impact because BYD’s decision to build this factory in Hungary is, of course, a strategic move to bypass these tariffs and secure a foothold in the European market. But more than that, BYD wisely chose a European base it is familiar with, since the brand has already operated an electric bus factory in Hungary for seven years, the first of its kind in all of Europe.

The excavators have now almost finished preparing the 300-hectare site near the country’s border with Serbia, and the groundbreaking ceremony should take place in the coming days, while the machinery has already arrived on-site from China.

Outside of China, the automaker already has factories in three countries: Thailand, Uzbekistan, and Brazil. While the Uzbek factory has just started production, the Thai automotive plant will begin manufacturing next year. The Brazilian production unit was confirmed last year and is expected to be the most versatile, assembling cars, bus chassis, and electric trucks, as well as a battery recycling facility. A perfect base to launch into the North American market.

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