"If you are not strong enough, they will not be afraid of you," said BYD CEO Wang Chuanfu. This was his take on Western countries fear regarding low-cost Chinese EVs.

BYD's CEO Reacts to US and Europe's Fear Over Chinese EVs

BYD's competitiveness in the market cannot be denied. Its affordability compared to other leading and popular brands gives its competitors something to watch out for. It could definitely make others see it as a treat in their stable status in the market when it comes to sales.

US and Europe maybe among these who viewed Chinese EVs as a competitor to beat in the near future. According to a report by Electrek referencing Bloomberg, BYD CEO Wang Chuanfu emphasized the importance of strength in influencing others' perceptions.

At an industry event, Wang remarked, "If your strength is lacking, there will be no reason for them to fear you." He also alluded to various instances where policymakers expressed concerns regarding the competitiveness of budget-friendly Chinese EVs, with implications directed towards the US and Europe.

In a recent statement, he mentioned, numerous politicians abroad express apprehensions about Chinese EVs. These remarks coincide with efforts by the US and Europe to impede the influx of Chinese EVs through tariff implementations.

Wang highlighted that these tariffs serve as a validation of China's automotive sector's robustness. His critique towards Western markets follows the US's decision to raise tariffs on various Chinese imports, encompassing EVs, batteries, and essential minerals.

Reported by EconoTimes, the European Union is poised to introduce tailored tariffs aimed at Chinese electric vehicles in the near future. European Commission President Ursula von der Leyen revealed in September Europe's concern over the surge of inexpensive electric cars, leading to a probe into Chinese EVs.

A 25% import tariff is one of the retaliatory measures China has threatened to implement in response to the growing global trade disputes.

BYD Pricing

According to details from EconoTimes, the entry-level cost of BYD's latest model, the Seagull electric vehicle, stands at $9,700 (69,800 yuan) in China, making it the company's most economical option. But in Brazil, the same Seagull EV costs about $20,000 (99,800 BRL).

The report also spotlighted insights from Dataforce, a global data analytics company, indicating that Chinese electric vehicles, including models from BYD and MG, represented approximately nine percent of all electric vehicles sold in Europe last year.

This proportion is projected to witness a substantial surge in the forthcoming years.

READ MORE: Volvo Moves Electric Car Production to Belgium from China

Are Chinese EVs Really a Threat

While the Barron's downplayed downplayed the visual impact of BYD's Seagull, paradoxically, vehicles such as the Seagull seem to instill enough concern that the Biden administration decided to escalate tariffs on Chinese electric vehicles.

By taking this action, the American auto industry hopes to avoid being disrupted by the feared danger of inexpensive automobiles. Notably, a substantial 100% import duty is slated for EVs like the popular BYD Seagull and the GAC AION S, while specific batteries and components will face a 25% tariff.

Moreover, according to insights from the Barron's, the Chinese automotive market demonstrates the capacity to accommodate pricier vehicles as well. For instance, a Tesla Model Y carries a starting price of $35,000 in China, claiming the title of the nation's top-selling electric vehicle.

The elevated price tag can be attributed to factors like its larger dimensions-being 50% bigger than a Seagull, necessitating more resources like steel, plastic, and copper-and the inclusion of a substantial battery pack and a more potent electric motor, reflecting its status as a luxury automobile.

Interestingly, the Model Y is priced $10,000 lower in China compared to the U.S. or Europe, influenced by varying safety regulations and labor expenses. While manufacturing cars in China proves cost-effective, this advantage doesn't directly transfer to other markets.

RELATED ARTICLE: BYD Seagull EV Below $21,500 Price Tag: Defines Luxury Within Reach in European Markets

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