Tesla Rival BYD to Set Up Its First EV Factory in India Near Hyderabad

BYD, the world's largest electric vehicle manufacturer, is set to establish its first production facility in India near Hyderabad, Telangana. This move marks a significant milestone for India's EV sector, as Telangana will become the first Indian state to host a BYD factory. The facility is expected to produce up to 600,000 EVs annually within the next seven years.

The Telangana government has proposed three potential sites for the factory, and BYD representatives are currently evaluating them. This initiative could also lead to the development of ancillary industries manufacturing EV components, creating an automotive hub around Hyderabad.

BYD's entry into India comes at a time when the country is witnessing rapid growth in its EV market, with favorable policies and increasing demand.

Notably, BYD has a small assembly base in Tamil Nadu for electric buses. This facility plays a key role in BYD's strategy to establish a foothold in India's growing EV sector. While the current operations are limited in scale, the company has ambitious plans to expand its presence in India, including setting up a large-scale manufacturing facility near Hyderabad.

BYD's primary manufacturing hubs are in Shenzhen, Xi'an, and Changsha. These facilities produce a wide range of EVs, batteries, and components. BYD has a factory in Lancaster, California, focused on electric buses and trucks.

In Brazil, BYD has a facility in Campinas specializes in electric buses and solar panels.

When it comes to pricing, BYD's vehicles are generally more affordable than Tesla, making them accessible to a broader audience. Tesla's premium pricing targets a different segment.

BYD Vs Tesla

BYD has a significant edge in manufacturing scale, producing both EVs and batteries in-house. In 2024, it sold 1.79 million vehicles globally, surpassing Tesla's 1.37 million.

BYD's Blade Battery, a lithium iron phosphate (LFP) battery, is known for its safety, durability, and cost-effectiveness. Tesla, on the other hand, uses a mix of LFP and nickel-based batteries, focusing on energy density.

BYD dominates the Chinese market and is expanding rapidly in other regions, including India. Tesla leads in Western markets like the U.S. and Europe but faces challenges in markets with high import duties, such as India.

Both companies are pioneers in EV technology. Tesla is renowned for its autonomous driving features and software integration, while BYD excels in cost-efficient manufacturing and energy solutions.