Dernières nouvelles pour BYD (OTC:BYDDY) Stock

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Founded in 1995, BYD is a leading Chinese manufacturer in the design, development, and production of new energy vehicles, or NEVs. In March 2022, the firm discontinued production of internal combustion engine, or ICE, vehicles. Its products primarily target the growing midpriced mass-market segment in China's passenger vehicle market. The company sold about 3 million passenger NEVs in 2023, accounting for 33% of the Chinese passenger NEV market. Besides automobile production, the company is also engaged in handset components and assembly services, as well as the rechargeable battery and photovoltaics business. After more than 25 years of development, the company has established over 30 industrial parks worldwide.

BYD Co Ltd

Tesla Inc (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/tsla#NASDAQ">TSLA</a>) is having its Robotaxi Day this week. The &lsquo;We, Robot&rsquo; event will be held on October 10th&nbsp;in Hollywood as Tesla booked the massive&nbsp;Warner Bros. Discovery Inc. Studios to unveil its latest model. Considering the impressive venue and the fact&nbsp;that Tesla had delayed this&nbsp;event in order to make some important changes, expectations are high and there are many speculations of what the EV king plans to unveil, the day promises to be &quot;one&nbsp;for the history books&quot;.
Optimizing the charging process.&nbsp;
Yet, the week got kicked off by Nissan Motor Co Ltd (OTC: <a class="ticker" href="https://www.benzinga.com/stock/nsany#OTC">NSANY</a>)&nbsp;deciding to join Bayerische Motoren Werke Aktiengesellschaft (OTC: <a class="ticker" href="https://www.benzinga.com/stock/bmwyy#OTC">BMWYY</a>), Ford Motor (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/f#NYSE">F</a>), and Honda Motor Co (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/hmc#NYSE">HMC</a>), or more precisely the trio&rsquo;s EV integration joint venture.&nbsp;Through its investment, Nissan revealed it will become an equal 25% investor&nbsp;in ChargeScape. BMW and Honda had presented ChargeScape&rsquo;s software that optimizes charging. Through ChargeScape, BMW, Honda, Ford and now Nissan, will provide bidirectional charging, allowing EVs to send power back to the grid when needed, while optimizing the charging process by coordinating with real-time grid demands. Also, BMW, Ford, Honda and Nissan will be providing financial incentives to EV owners to reduce energy use during peak times.&nbsp;
Bringing more clean energy to the EV table.
Having already established a reputation for its &lsquo;made-in-the-USA&rsquo; hybrid and clean energy solutions for light trucks, Worksport Ltd. (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/wksp#NASDAQ">WKSP</a>) is preparing for a market release of its solar-powered tonneau cover, SOLIS&nbsp;&nbsp;and the COR portable energy system. This clean energy power duo that promises off-grid power on the go has the potential to propel Worksport&rsquo;s mid to long-term revenues. Worksport already has an ongoing collaboration with Hyundai who secured access to these groundbreaking accessories. Also, Worksport will be releasing one of the most in-demand tonneau cover models, AL4 premium tonneau Cover, in the fourth quarter, with innovative four-fold design that offers enhanced functionality and ease of the use. By launching three new product lines, Worksport is aiming to strengthen its positioning and expand market reach. In the fourth quarter, Worksport will also be implementing cost-saving measures to&nbsp;enhance margins and&nbsp;lower operational overhead&nbsp;without compromising growth. With these key strategic advances that will undoubtedly accelerate revenue growth and boost margings, Worksport is aiming for&nbsp;cash flow positivity un 2025.&nbsp;
While Tesla still holds the EV crown, long gone are the days it had the EV throne to itself. Besides already sharing the crown with BYD Company Limited (OTC: <a class="ticker" href="https://www.benzinga.com/stock/byddy#OTC">BYDDY</a>) on some fronts, both traditional automakers and newcomers are also shaping the EV landscape that is in the making, such as Worksport whose SOLIS and COR off-grid clean power duo promises to revolutionize the pickup experience altogether.&nbsp;
DISCLAIMER: This content is for informational purposes only. It is not intended as investing advice.
This article is from an unpaid external contributor. It does not represent Benzinga's reporting and has not been edited for content or accuracy.

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The EV Evolution Goes On With New Developments

Shares of Rivian Automotive, Inc. (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/rivn#NASDAQ">RIVN</a>) fell 3.2% to $10.44 after it announced third-quarter 2024 production and delivery results and lowered its 2024 production guidance. The electric vehicle maker produced 13,157 vehicles at its manufacturing facility in Normal, IL, down from 16,304 units in the same quarter of 2023.
It delivered 10,018 vehicles, down from 15,564 units in the same period last year. Deliveries also missed expectations. FactSet&#39;s compiled analyst estimates anticipated third-quarter deliveries of 13,000 vehicles.
The company is facing production issues due to a component shortage on the R1 and RCV platforms. The supply shortage, which started in the third quarter, has worsened in recent weeks. As a result, Rivian now expects its annual vehicle production in the range of 47,000-49,000 units, down from the previous projection of 57,000 units. However, it maintains its annual delivery estimate in the range of 50,500-52,000 vehicles.
In June, Rivian announced a $5 billion joint venture with Volkswagen AG (OTC: <a class="ticker" href="https://www.benzinga.com/stock/vwagy#OTC">VWAGY</a>), a global automotive giant. The collaboration will focus on software and electrical architecture design and development. However, the partnership will not cover battery technology, propulsion systems, high-voltage platforms, or autonomous driving. Per the JV, Volkswagen will initially invest $1 billion, followed by an additional $4 billion. Rivian anticipates finalizing the JV in the fourth quarter.
<h2>RIVN Applies for Federal Loan to Fund Factory Construction</h2>
The EV maker has applied for a federal loan to help fund the construction of an EV factory in Georgia, per a filing with the U.S. Department of Energy. Although Rivian has submitted the application, the department has not made a final call and the filing did not specify the loan amount or terms.
The factory is expected to begin partial operations in the third quarter of 2027, with full operation of its first production capacity block by 2028. Rivian had paused construction of the $5 billion Georgia plant to expedite the production of vehicles on the R2 midsize platform and to conserve cash. To save $2.25 billion and boost production, Rivian shifted manufacturing of the R2 midsize SUV, which will compete with Tesla&#39;s Model Y, to its Illinois facility. The production of R2 is scheduled to begin in 2026.
Rivian had secured $827 million in incentives from the State of Illinois to expand its Normal facility, where it also produces electric delivery vans for Amazon. In 2022, the company secured $1.5 billion in state and local incentives for the Georgia plant.
<h2>Rivian&#39;s Zacks Rank &amp; Key Picks</h2>
RIVN currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the auto space are Blue Bird Corporation (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/blbd#NASDAQ">BLBD</a>) and BYD Company Limited (OTC: <a class="ticker" href="https://www.benzinga.com/stock/byddy#OTC">BYDDY</a>), each sporting a Zacks Rank #1 (Strong Buy) at present.
The Zacks Consensus Estimate for BLBD&#39;s 2024 sales and earnings suggests year-over-year growth of 17.58% and 215.89%, respectively. EPS estimates for 2024 and 2025 have improved by 65 cents and 80 cents, respectively, in the past 60 days.
The Zacks Consensus Estimate for BYDDY&#39;s 2024 sales and earnings suggests year-over-year growth of 21.88% and 17.12%, respectively. EPS estimates for 2024 and 2025 have each improved by a penny in the past 30 days.
<a href="https://www.zacks.com/stock/news/2346896/rivian-shares-fall-3-after-it-slashes-2024-production-guidance?cid=CS-BENZ-FT-analyst_blog|company_news_corporate_actions-2346896">To read this article on Zacks.com click here.</a>

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Rivian Shares Fall 3% After It Slashes 2024 Production Guidance

European Union&#8217;s member states have expressed sufficient support for imposing <a href="https://www.benzinga.com/news/24/10/41143690/european-tariffs-on-chinas-ev-makers-could-backfire">definitive additional tariffs of up to 35.3%</a> on China-made battery electric vehicle imports, the European Commission said in a statement on Friday. 
What Happened: &#8220;Today, the European Commission&#8217;s proposal to impose definitive countervailing duties on imports of battery electric vehicles (BEVs) from China has obtained the necessary support from EU Member States for the adoption of tariffs,&#8221; the commission said. 
The commission added that it would continue to work with China to find an alternative solution. 
EU first announced that it would impose tariffs on China-made EVs in June, alleging that EV manufacturers in China benefit from &#8220;unfair subsidies&#8221; and that their cheaper offerings pose a threat to European manufacturers. Provisional duties were imposed in July. 
Potentially Impacted Stocks: The stocks that might potentially be affected by the definitive tariffs <a href="https://www.benzinga.com/news/24/09/40914629/china-warns-eu-tariffs-on-evs-will-harm-trade-with-germany">include</a>:
<ol>
<li>BYD Co Ltd. (OTCPK: BYDDY) (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BYDDF#OTC">BYDDF</a>): The Chinese EV giant exports significantly into Europe. In September alone, the company sold 33,012 units of its vehicles overseas, of which 30,512 were exported, including to Europe.</li>
<li>Tesla Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>): Tesla, in addition to manufacturing within Germany, also imports vehicles into Europe from its gigafactory in Shanghai. EU has slapped an additional tariff of 7.8% on Tesla EVs made in China and sold in Europe.</li>
<li>Nio Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NIO#NYSE">NIO</a>) and Xpeng Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XPEV#NYSE">XPEV</a>): Shanghai-based Nio and Guangzhou-based XPeng also export their vehicles from China into Europe.</li>
</ol>
Other automakers to be impacted by the tariffs include BMW, Volkswagen, and SAIC Motors.
Check out more of Benzinga's Future Of Mobility coverage by&nbsp;<a href="https://www.benzinga.com/topic/mobility" target="_blank" rel="noreferrer noopener">following this link</a>.
Read More:
<ul>
<li><a href="https://www.benzinga.com/news/24/10/41135581/tesla-discontinues-cheapest-model-3-variant-entry-level-trim-now-starts-at-42-490" target="_blank" rel="noreferrer noopener">Tesla Discontinues Cheapest Model 3 Variant: Entry Level Trim Now Starts At $42,490</a></li>
</ul>
Photo courtesy: Shutterstock

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Tesla, BYD, And Other EV Stocks To Watch As EU Votes To Approve Tariffs On Chinese EV Imports

Five out of China&rsquo;s six biggest EV makers posted record sales in September. Fueled by discounts and promotions, the Chinese EV pack led by BYD Company Limited (OTC: <a class="ticker" href="https://www.benzinga.com/stock/byddy#OTC">BYDDY</a>)&nbsp;revived demand. While Li Auto Inc (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/li#NASDAQ">LI</a>) and Xpeng Inc (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/xpev#NYSE">XPEV</a>) also had a record sales month,&nbsp;Nio Inc (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/nio#NYSE">NIO</a>) was the only major Chinese carmaker that missed hitting record deliveries, but had sales grow by more than 35%.&nbsp;
BYD continues to race to take over Tesla Inc (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/tsla#NASDAQ">TSLA</a>).
According to CnEVPost, BYD sold as many as 419,426 NEVs which include both EVs and plug-in-hybrids (PHEVs). Besides being the fourth straight month that BYD posted record sales, it is also the first time that BYD hit the 400,000 milestone in monthly sales. BYD also reached the 1 million mark in shipped vehicles in a single quarter. Keeping up with the larger trend to combat the EV slowdown, BYD also reported its hybrid sales went up more than 86% YoY. However, EV sales continued to pick up, rising 9% YoY and 11% from August.&nbsp;&nbsp;
Li Auto also had a month of bumper sales.
In September, Li Auto&nbsp;shipped a record 53,709 vehicles, which translates to a YoY rise of 48.94%. With this figure, Li Auto exceeded its prior record from July by 5%.&nbsp;
This means that Leapmotor posted its fourth consecutive monthly sales record.
In September, Stellantis N.V. (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/stla#NYSE">STLA</a>)-backed Leapmotor delivered 33,767 NEVs, which translates to a YoY increase of 113.7%.
Putting EVs aside, hybrid makers are emerging as winners on the mainland.
While BYD reached glory thanks to its affordable EVs, it continues to expand its portfolio, including pickups and luxury models, challenging Tesla who will report its full third quarter earnings on October 23rd. After two quarters of declines, Tesla sales seem to be picking up. For the three-month period ending in September, Tesla made 469,796 vehicles and delivered 462,890 of them, which means production rose 14.4% and deliveries grew 5.8% from the second quarter. &nbsp;
But before it releases the full figure third quarter report, Tesla will be revealing its long-awaited robotaxi on October 10th&nbsp;and provide a glimpse of its future and new identity as an AI and robotics company. But while its rivals continue to set new records, Tesla reported a smaller-than-expected rise in third quarter deliveries.&nbsp;
DISCLAIMER: This content is for informational purposes only. It is not intended as investing advice.
This article is from an unpaid external contributor. It does not represent Benzinga&#39;s reporting and has not been edited for content or accuracy.

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September Brings New Records For Chinese EV Makers

The European Union is set to <a href="https://www.france24.com/en/live-news/20240930-eu-states-plan-friday-vote-on-chinese-ev-tariffs">vote on Friday</a> on whether to back final tariffs on China's electric vehicle (EV) makers.&nbsp;
The EU <a href="https://europeancapitalinsights.substack.com/p/european-tariffs-on-chinas-ev-makers?r=3nmatg">wants to protect its automobile makers</a> against the increasing number of less expensive Chinese EVs entering the market. Of the total <a href="https://think.ing.com/articles/what-the-eus-tariffs-on-chinese-electric-vehicles-could-mean-for-energy-transition/">EV imports to the EU in 2023</a>, 54%&nbsp;originate from China.
But the 27-member bloc's protectionist stance could cause a wider trade war with China. That could hurt the EU's export-dependent companies, its EV targets and threaten critical raw material supplies.&nbsp;
The European Commission (EC)<a href="https://www.nytimes.com/2024/07/04/business/european-union-china-ev-tariffs.html"> imposed provisional tariffs on China's EVs</a> in July <a href="https://asia.nikkei.com/Economy/Trade/China-Europe-in-EV-tariff-stare-down-as-Beijing-drops-retaliation-hints">despite Beijing's previous warning</a> that it would retaliate.
Beijing has denied that it improperly subsidizes EV companies, arguing that its leading role in EVs results from efficient manufacturing.
<figure class="wp-block-image size-full is-resized"><img loading="lazy" decoding="async" width="805" height="448" src="https://contributor-assets.benzinga.com/wp-content/uploads/2024/10/02142904/ING_chart.png" alt="" class="wp-image-1771" style="width:624px" srcset="https://contributor-assets.benzinga.com/wp-content/uploads/2024/10/02142904/ING_chart.png 805w,https://contributor-assets.benzinga.com/wp-content/uploads/2024/10/02142904/ING_chart-300x167.png 300w,https://contributor-assets.benzinga.com/wp-content/uploads/2024/10/02142904/ING_chart-768x427.png 768w" sizes="(max-width: 805px) 100vw, 805px" /></figure>
<a href="https://think.ing.com/articles/what-the-eus-tariffs-on-chinese-electric-vehicles-could-mean-for-energy-transition/">Source</a>: JATO Dynamics, BNEF, ING Research
<h3 class="wp-block-heading">Europe-China EV Talks Stall</h3>
So far, both sides have been unable to compromise on their EV trade differences.&nbsp;
The EU's Commissioner for Trade, Valdis Dombrovskis, and China's Minister of Commerce, Wang Wentao, <a href="https://policy.trade.ec.europa.eu/news/readout-meeting-between-evp-dombrovskis-and-chinese-commerce-minister-wang-2024-09-20_en">held unsuccessful talks</a> on September 19.&nbsp;
"Both sides <a href="https://x.com/VDombrovskis/status/1836795726308708712">agreed to intensify efforts</a> to find an effective, enforceable and WTO compatible solution," Dombrovskis said.&nbsp;
The EC then told EU member countries t<a href="https://www.reuters.com/business/autos-transportation/eu-continue-china-electric-vehicle-talks-even-after-final-vote-say-sources-2024-09-30/#:~:text=BRUSSELS%2C%20Sept%2030%20(Reuters),EU%20official%20said%20on%20Monday.">hat it would continue negotiations with China</a> after the October vote, Reuters reported.&nbsp;
 EU members are split on whether to levy European tariffs for the next five years, adding a further complication. Spain has called on th<a href="https://www.france24.com/en/live-news/20240911-spain-pm-urges-eu-to-reconsider-china-ev-tariffs-plan">e EU to &#8220;rethink&#8221; the duties, aligning</a> with Germany, while France supports them.&nbsp;
<h3 class="wp-block-heading">Automakers Warn Against European Tariffs</h3>
Automobile industry leaders in Europe have pushed back against the tariffs.&nbsp;
Executives from BMW AG (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BMWYY#OTC">BMWYY</a>) and Volkswagen AG (OTC:<a class="ticker" href="https://www.benzinga.com/stock/VWAGY#OTC">VWAGY</a>) have warned that imposing tariffs on Chinese EVs was a bad idea.
&#8220;Protectionism risks starting a spiral," <a href="https://europe.autonews.com/automakers/german-automakers-slam-eus-high-tariffs-chinese-ev-exports">BMW CEO Oliver Zipse said</a> in June. "Tariffs lead to new tariffs, to isolation rather than cooperation."&nbsp;
<a href="http://www.bmw-brilliance.cn/cn/en/news/news/2024-1-09.html#:~:text=Munich%2FBeijing.,mainland%20market%20(%2B4.2%25).">China is a core sales market for BMW</a>. It delivered 824,932 BMW and MINI vehicles in the Chinese mainland market in 2023.
<a href="https://europeancapitalinsights.substack.com/p/volkswagen-considers-first-ever-closure?r=3nmatg">Former Volkswagen AG CEO</a> Herbert Diess reiterated a similar message. "An <a href="https://x.com/economics/status/1799352437800612022">escalating trade spat</a> between China and the West would fuel inflation," he said in June.&nbsp;
Would European tariffs actually slow China's EV expansion into the region? The Rhodium Group, a New York-based independent research provider, doubts their impact.&nbsp;
<figure class="wp-block-image size-full is-resized"><img loading="lazy" decoding="async" width="855" height="431" src="https://contributor-assets.benzinga.com/wp-content/uploads/2024/10/02142956/ing2.png" alt="" class="wp-image-1772" style="width:624px" srcset="https://contributor-assets.benzinga.com/wp-content/uploads/2024/10/02142956/ing2.png 855w,https://contributor-assets.benzinga.com/wp-content/uploads/2024/10/02142956/ing2-300x151.png 300w,https://contributor-assets.benzinga.com/wp-content/uploads/2024/10/02142956/ing2-768x387.png 768w" sizes="(max-width: 855px) 100vw, 855px" /></figure>
<a href="https://think.ing.com/articles/what-the-eus-tariffs-on-chinese-electric-vehicles-could-mean-for-energy-transition/">Source</a>: ITC Trade Map, BNEF, ING Research
"<a href="https://rhg.com/research/aint-no-duty-high-enough/">Duties in the 40-50% range</a> would probably be necessary to make the European market unattractive for Chinese EV exporters," it said in April.
<h3 class="wp-block-heading">Provisional European Tariffs On China</h3>
The EC launched its <a href="https://ec.europa.eu/commission/presscorner/detail/en/ip_24_3231">anti-subsidy investigation against Chinese EVs</a> last year.
The investigation concluded that China's value chain of battery electric vehicles (BEV) benefited from unfair subsidization. This caused a "threat of economic injury to EU BEV producers," the EC said.
The <a href="https://www.bloomberg.com/news/articles/2024-08-21/saic-motor-blames-impending-eu-duties-for-slumping-sales">highest tariffs were imposed</a> on Chinese state-owned automobile manufacturer SAIC Motor (Shanghai:<a href="https://finance.yahoo.com/quote/600104.SS/">600104.SS</a>) at 36.3%. BYD (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BYDDY#OTC">BYDDY</a>) and Volvo's (OTC:<a class="ticker" href="https://www.benzinga.com/stock/VOLAF#OTC">VOLAF</a>) parent, Geely (OTC:<a class="ticker" href="https://www.benzinga.com/stock/GELYF#OTC">GELYF</a>), received lower tariffs of 17.4% and 19.9%.
The EC then cut<a href="https://ec.europa.eu/commission/presscorner/detail/en/qanda_24_4302"> European tariffs marginally</a> at the end of August. It considered submissions and technical corrections by EV companies operating in China.
<h3 class="wp-block-heading">European Tariff Trade Spat With China</h3>
In response to the threat of tariffs, China has accused the EU of violating World Trade Organization (WTO) rules.&nbsp;
"Judgment in the EU's provisional conclusion lacks factual and legal foundation," a Chinese ministry spokesperson said on August 9.&nbsp; "It severely<a href="https://www.bloomberg.com/news/articles/2024-08-09/china-takes-europe-s-ev-tariffs-to-wto-as-trade-tensions-rise?utm_medium=cpc_search&amp;utm_campaign=NB_ENG_DSAXX_DSAXXXXXXXXXX_EVG_XXXX_XXX_COUSA_EN_EN_X_BLOM_GO_SE_XXX_XXXXXXXXXX&amp;gad_source=1&amp;gclid=Cj0KCQjwo8S3BhDeARIsAFRmkOMKaKYs36uGBlOIi64HxfnrIRqjbZv_QwFuVa65JaDuGzVZtWJDcKYaAmA4EALw_wcB&amp;gclsrc=aw.ds"> violated WTO rules</a>."
It then brought the case to the <a href="https://www.wto.org/english/news_e/news24_e/ds626rfc_14aug24_e.htm#:~:text=WTO%20%7C%202024%20News%20items%20%2D%20China,subsidy%20duties%20on%20electric%20vehicles">WTO's rules dispute settlement mechanism</a> on August 14 to "safeguard the development rights and interests" of the EV industry.
A week later, China initiated an anti-subsidy investigation targeting EU milk, cream, and cheese products.
The <a href="https://ec.europa.eu/commission/presscorner/detail/en/ip_24_4821">EC challenged China</a> in September at the WTO against China&#8217;s investigation into EU dairy products. <a href="https://x.com/VDombrovskis">China's investigation</a> "is based on questionable allegations and insufficient evidence," Valdis said on <a href="https://x.com/VDombrovskis">X</a>.&nbsp;&nbsp;
<h3 class="wp-block-heading">Europe Depends On China For Raw Materials</h3>
But a trade war with China would likely hurt European companies and the broader economy.
China imports 22% of its <a href="https://www.reuters.com/breakingviews/eus-china-trade-weak-spots-hide-plain-sight-2024-07-09/#:~:text=Methodological%20complexities%20and%20statistical%20revisions,the%20world's%20second%2Dlargest%20economy">consumer goods from Europe</a>. This puts <a href="https://europeancapitalinsights.substack.com/p/european-luxury-brands-feel-pinch?r=3nmatg">luxury groups</a> like LVMH (OTC:<a class="ticker" href="https://www.benzinga.com/stock/LVMHA#OTC">LVMHA</a>) and Kering (OTC:<a class="ticker" href="https://www.benzinga.com/stock/PPRUY#OTC">PPRUY</a>) at risk.
European tariffs could increase the cost of EVs for consumers as Europe moves to phase out n<a href="https://think.ing.com/articles/what-the-eus-tariffs-on-chinese-electric-vehicles-could-mean-for-energy-transition/">ew gasoline and diesel cars by 2035</a>, according to ING.
The bloc remains highly <a href="https://commission.europa.eu/strategy-and-policy/priorities-2019-2024/european-green-deal/green-deal-industrial-plan/european-critical-raw-materials-act_en#:~:text=The%20EU%20is%20heavily%20dependent%20on%20imports%20of,is%20extracted%20in%20the%20Democratic%20Republic%20of%20Congo">dependent on China</a> for critical raw materials. It sources 97% of its magnesium and 100% of its rare earths for permanent magnets from China.
<figure class="wp-block-image size-full is-resized"><img loading="lazy" decoding="async" width="830" height="418" src="https://contributor-assets.benzinga.com/wp-content/uploads/2024/10/02143051/ing3.png" alt="" class="wp-image-1774" style="width:624px" srcset="https://contributor-assets.benzinga.com/wp-content/uploads/2024/10/02143051/ing3.png 830w,https://contributor-assets.benzinga.com/wp-content/uploads/2024/10/02143051/ing3-300x151.png 300w,https://contributor-assets.benzinga.com/wp-content/uploads/2024/10/02143051/ing3-768x387.png 768w" sizes="(max-width: 830px) 100vw, 830px" /></figure>
"Europe will not be self-sufficient in EV production or the EV supply chain any time soon," ING wrote on June 19. "It needs to act carefully, considering any further retaliation from China."
Disclaimer:
Any opinions expressed in this article are not to be considered investment advice and are solely those of the authors. European Capital Insights is not responsible for any financial decisions made based on the contents of this article. Readers may use this article for information and educational purposes only.
This article is from an unpaid external contributor. It does not represent Benzinga&#8217;s reporting and has not been edited for content or accuracy.

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European Tariffs On China's EV Makers Could Backfire

General Motors&#39; (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/gm#NYSE">GM</a>) autonomous vehicle division, Cruise, is set to pay a $1.5 million fine after failing to fully report a crash involving a pedestrian, per the National Highway Traffic Safety Administration (NHTSA). The incident, which occurred in October 2023 in San Francisco, involved a robotaxi that dragged a pedestrian for 20 feet after she got hit by another vehicle. It led Cruise to halt its driverless operations nationwide after California regulators deemed its vehicles a public safety risk. As a result, the California Department of Motor Vehicles revoked Cruise&#39;s license to operate without human drivers in San Francisco.
The U.S. Department of Justice and the Securities and Exchange Commission are still investigating the incident. A GM-commissioned report revealed that Cruise employees attempted to dissuade the NHTSA from launching an investigation into the pedestrian&#39;s injuries and failed to disclose that the pedestrian had been dragged.
Per Reuters, the NHTSA pointed out that Cruise filed incomplete reports for multiple crashes involving its automated driving systems, which includes two reports related to the October 2023 accident. The California Public Utilities Commission also fined GM $112,500 for not providing full details about the crash.
One month after the incident, Cruise recalled all 950 of its vehicles to update software. Under a consent order with NHTSA, Cruise is required to submit a corrective action plan outlining how it will improve compliance with regulations for crashes involving automated driving systems. The consent order lasts two years and the NHTSA holds the option to extend it for a third year.
Per Steve Kenner, Cruise&#39;s chief safety officer, the agreement with NHTSA marks a positive step in a new phase for Cruise, reflecting the company&#39;s advancements under new leadership, enhanced processes and culture and a strong commitment to increased transparency with regulators. The company is committed to working closely with the NHTSA to enhance road safety. Cruise will meet quarterly with the NHTSA to review the periodic reporting and development toward the requirements of the consent order. Cruise will submit a final report summarizing its compliance and operations 90 days before the consent order&#39;s term ends.
<h2>General Motors&#39; Zacks Rank &amp; Key Picks</h2>
GM currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the auto space are Dorman Products, Inc. (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/dorm#NASDAQ">DORM</a>), Blue Bird Corporation (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/blbd#NASDAQ">BLBD</a>) and BYD Company Limited (OTC: <a class="ticker" href="https://www.benzinga.com/stock/byddy#OTC">BYDDY</a>), each sporting a Zacks Rank #1 (Strong Buy) at present.
The consensus estimate for DORM&#39;s 2024 sales and earnings suggests year-over-year growth of 3.71% and 35.46%, respectively. EPS estimates for 2024 and 2025 have improved 51 cents and 37 cents, respectively, in the past 60 days.
The Zacks Consensus Estimate for BLBD&#39;s 2024 sales and earnings suggests year-over-year growth of 17.58% and 215.89%, respectively. EPS estimates for 2024 and 2025 have improved 65 cents and 80 cents, respectively, in the past 60 days.
The Zacks Consensus Estimate for BYDDY&#39;s 2024 sales and earnings suggests year-over-year growth of 21.88% and 17.12%. EPS estimates for 2024 and 2025 have each improved by a penny in the past 60 days.
<a href="https://www.zacks.com/stock/news/2344210/general-motors-to-pay-1-5m-penalty-for-failing-a-crash-disclosure?cid=CS-BENZ-FT-analyst_blog|company_news_corporate_actions-2344210">To read this article on Zacks.com click here.</a>

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Mid Cap

Regulations

DORM

General Motors to Pay $1.5M Penalty for Failing a Crash Disclosure

Chinese EV giant&nbsp;BYD Co Ltd (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BYDDY#OTC">BYDDY</a>) (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BYDDF#OTC">BYDDF</a>) said on Tuesday that the company sold 417,603 new energy passenger vehicles in September, marking a jump of nearly 46% from last year, thanks to a major jump in plug-in hybrid vehicles sales. 
What Happened:&nbsp;Pure EV sales of the Chinese player rose to 164,956 in September, marking a rise of 9% from the corresponding month of last year. 
Plug-in hybrid passenger vehicle sales in the period rose 86.2% to 252,647 units. 
The company also sold 1,823 commercial vehicles in September, including 306 buses. 
Why It Matters: BYD is the biggest rival to American EV giant Tesla Inc. The company <a href="https://www.benzinga.com/news/24/01/36839203/warren-buffett-backed-byd-sees-higher-profits-for-fy23-after-taking-over-tesla-as-biggest-ev-seller" target="_blank" rel="noreferrer noopener">took over Tesla</a> as the world's largest BEV seller in the fourth quarter of 2023. However, Tesla took back the crown in the first quarter of 2024 and has been holding on to it since.
Through the end of the third quarter, BYD sold 443,426 battery-electric vehicles. Tesla, however, is yet to report its <a href="https://www.benzinga.com/analyst-ratings/analyst-color/24/09/41082647/tesla-could-report-slight-q3-deliveries-miss-amid-musks-political-controversies-mun">delivery numbers for the quarter</a>. 
Tech venture capitalist and Deepwater Asset Management Managing Partner&nbsp;Gene Munster expects Tesla&#8217;s deliveries for the quarter to come at around 452,000 units, trailing Wall Street estimates but higher than the 435,059 units the EV giant delivered in the third quarter of 2023. 
Check out more of Benzinga's Future Of Mobility coverage by&nbsp;<a href="https://www.benzinga.com/topic/mobility" target="_blank" rel="noreferrer noopener">following this link</a>.
Read More:
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<li><a href="https://www.benzinga.com/news/24/10/41111955/ford-ceo-jim-farley-brings-european-insights-home-offers-free-ev-chargers-for-us-buyers-till-jan-2">Ford CEO Jim Farley Brings European Insights Home, Offers Free EV Chargers for US Buyers Till Jan 2</a></li>
</ul>
Photo courtesy: Shutterstock

Chinese Carmaker BYD's September Sales Jump 46% On Rising Popularity Of Plug-in Hybrid EVs

Shares of Chinese electric-vehicle startups Nio, Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NIO#NYSE">NIO</a>), XPeng, Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XPEV#NYSE">XPEV</a>) and Li Auto, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/LI#NASDAQ">LI</a>) are rallying<a href="https://www.benzinga.com/premarket"> in premarket trading</a> on Tuesday, signaling a potential rebound from Monday&#8217;s pullback.
The optimism came on the back of<a href="https://www.benzinga.com/markets/equities/24/10/41109111/tesla-rivals-li-auto-xpeng-clock-record-september-deliveries-end-q3-on-a-strong-note"> stellar deliveries these companies reported for September</a> and the third quarter. Here&#8217;s how each of them fared:
<figure class="wp-block-table is-style-stripes"> 
<table>
<tbody>
<tr>
<td></td>
<td>Sept. Deliveries (units)</td>
<td>Y-o-Y</td>
<td>Q-o-Q</td>
<td>Q3 Deliveries (units)</td>
<td>Q3 Guidance (units)</td>
</tr>
<tr>
<td>Nio</td>
<td>21,181</td>
<td>+35.4%</td>
<td>+4.98%</td>
<td>61,855</td>
<td>61,000-63,000</td>
</tr>
<tr>
<td>XPeng</td>
<td>21,352</td>
<td>+39%</td>
<td>+52.12%</td>
<td>46,533</td>
<td>41,000-45,000</td>
</tr>
<tr>
<td>Li Auto</td>
<td>53,709&nbsp;</td>
<td>+48.9%</td>
<td>+11.61%</td>
<td>152,831</td>
<td>145,000-155,000</td>
</tr>
<tr>
<td>BYD Co. Ltd. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BYDDY#OTC">BYDDY</a>) (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BYDDF#OTC">BYDDF</a>)</td>
<td>164,956&#x2A;</td>
<td>+9.10%</td>
<td>+11.10%</td>
<td>443,426</td>
<td>N/A</td>
</tr>
</tbody>
</table>
<figcaption class="wp-element-caption">&#x2A;includes only battery EVs</figcaption></figure>
See Also: <a href="https://www.benzinga.com/money/best-electric-vehicle-stocks">Best EV Stocks</a>
Most of these companies are now focusing on the low end of the market. XPeng said the first month deliveries of its XPeng Mona M03, an affordable electric sedan launched in late August, topped 10,000 units. Nio, which has so far focused on the premium end of the market has forayed into the mass market with its Onvo brand. Deliveries of the first vehicle launched by the sub-brand, codenamed L60, began in late September.
Given China&#8217;s efforts to stimulate the domestic economy, the EV makers could see demand recovery, which bodes well for their fundamentals.
Incidentally, Tesla, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) is scheduled to release its quarterly global deliveries report on Wednesday. Analysts, on average, expect the company to report sales of 465,000 units for the third quarter, with China primarily responsible for much of the upside. 
According to <a href="https://benzinga.grsm.io/register174">Benzinga Pro data </a>in premarket trading:
<ul>
<li>Nio rose 4.49% to $6.98.</li>
<li>XPeng rallied 3.69% to $12.63.</li>
<li>Li Auto moved up 3.70% to $26.60.</li>
</ul>
Read Next:
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<li><a href="https://www.benzinga.com/markets/equities/24/09/41082193/teslas-chinese-rival-nio-snags-1-9b-investment-from-parent-strategic-investors-as-it-forays-into" target="_blank" rel="noreferrer noopener">Tesla's Chinese Rival Nio Snags $1.9B Investment From Parent, Strategic Investors As It Forays Into Mass Market</a></li>
</ul>
Photo Via Shutterstock

Chinese EV Trio Nio, XPeng, Li Auto Surge Higher In Tuesday's Premarket: What's Going On

Chinese automaker BYD Co Ltd. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BYDDY#OTC">BYDDY</a>) (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BYDDF#OTC">BYDDF</a>) is recalling 96,714 electric vehicles owing to risks of a part overheating, the country&#8217;s market regulator said on Monday.
What Happened: The recall population includes domestically produced Dolphin and Yuan PLUS EVs made between November 2022 and December 2023. It is not clear whether all the recalled vehicles are in operation within China or whether some were also exported. 
The capacitor within the column-assist electric power steering (CEPS) system may have cracks which can cause a short circuit, increasing risks of overheating or even fire, the regulator said.
BYD dealers will deploy a physical fix on the vehicles at no cost to the customer to resolve the issue, it added. 
The company did not immediately respond to <a href="https://pro.benzinga.com/dashboard">Benzinga&#8217;s</a> request for comment.
Why It Matters: BYD, the biggest Chinese EV maker, sold 2,328,449 new energy vehicles (NEVs) this year through the end of August, including both passenger and commercial vehicles, marking an increase of nearly 30% from the corresponding period last year. NEV refers to both battery-electric vehicles and plug-in hybrid vehicles.
In the last quarter of 2023, BYD&nbsp;<a href="https://www.benzinga.com/news/24/09/40768611/elon-musk-shoots-down-reports-of-teslas-china-woes-amid-intense-competition-says-giga-shanghai-is-ru" target="_blank" rel="noreferrer noopener">took over American EV giant</a>&nbsp;Tesla Inc.&nbsp;in battery electric vehicle sales with 526,409 BEVs sold as compared to Tesla's 484,507 EVs. However, Tesla&nbsp;<a href="https://www.benzinga.com/news/24/04/38068997/elon-musk-dwells-on-wokeness-geopolitics-population-crisis-but-mostly-stays-silent-on-teslas-gloomy" target="_blank" rel="noreferrer noopener">took back the crown</a>&nbsp;in the first quarter of 2024.
Last week, the company announced that it made its<a href="https://www.benzinga.com/news/24/09/41043074/byd-makes-a-red-yangwang-u9-supercar-for-its-9-millionth-new-energy-vehicle"> 9 millionth NEV- a red Yangwang U9 supercar </a>produced by the company under its luxury car brand Yangwang.
Check out more of Benzinga's Future Of Mobility coverage by&nbsp;<a href="https://www.benzinga.com/topic/mobility" target="_blank" rel="noreferrer noopener">following this link</a>.
Read More:
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<li><a href="https://www.benzinga.com/news/24/09/41063317/toyotas-global-output-tumbles-11-after-suspension-of-production-of-2-suvs-in-north-america">Toyota&#8217;s Global Output Tumbles 11% After Suspension Of Production Of 2 SUVs In North America</a></li>
</ul>
Photo courtesy: Shutterstock

BYD Recalls Nearly 97K EVs Over Concerns Of Overheating Part, Potential Fire

It&rsquo;s been almost two years that China&rsquo;s biggest EV maker and Tesla Inc (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/tsla#NASDAQ">TSLA</a>) rival, BYD (OTC: <a class="ticker" href="https://www.benzinga.com/stock/byddy#OTC">BYDDY</a>) entered the EU and the UK. While BYD marches on, traditional automakers like Ford Motor (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/f#NYSE">F</a>), General Motors (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/gm#NYSE">GM</a>) and Volkswagen are struggling to adapt to the new EV era.
<h3>Ford Is Struggling To Make Its EV Business Work</h3>
With its EV business continuing to lose money, Ford is trying to turn things around. Even electrifying its best-selling F-150s, America&rsquo;s best-selling vehicle of 42 years, didn&rsquo;t solve EV issues for Ford. Despite its luster, the electric version of F-150, the Lightning, was not a game changer for Ford. Moreover, Electrek reported that GM is narrowing the gap. With GM expanding its lineup across key EV segments, covering both low-cost and luxury ends, GM has the momentum on its side and could surpass Ford this year, especially considering the setbacks Ford has faced, including canceling its three-row electric SUV.
But Ford is not alone in its struggles, with all legacy automakers both in the U.S. and in Europe facing increased competitive pressure from China, while they deal with high inventories, falling prices, and weakening consumer demand. Europe&rsquo;s largest automaker, Volkswagen (OTC: <a class="ticker" href="https://www.benzinga.com/stock/vwagy#OTC">VWAGY</a>) has not only lost its strength in China to BYD, but it is also struggling on the home front.&nbsp;
<h3>Tensions At Volkswagen Are Running High&nbsp;</h3>
On Wednesday, union leaders in Germany have threatened with strikes as they warned Volkswagen&nbsp;of making a &lsquo;historic mistake&rsquo; if management decides to pursue layoffs and plant closures. Volkswagen literally shocked both its employees and the world by announcing earlier this month it is considering to close plants in its home country, for the first time in the automaker&rsquo;s 87-year-old history. AFP reported that Volkswagen has disappointed its workers by being too vague and failing to concretize its turnaround plan. Earlier this year, Volkswagen entered into an agreement with XPeng (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/xpeng#NYSE">XPENG</a>) to improve its odds in China, but XPeng is also eyeing Europe, and therefore also threatening Volkswagen on its home continent. XPeng just showcased its latest technology in Stockholm. Also, XPeng used the opportunity to reaffirm its European expansion plans, with Spain, Portugal and the UK being on the itinerary for the second half of the year. Moreover, XPEng is also considering an EV manufacturing base in Europe. Therefore, while joining forces with XPeng to tackle the Chinese market was a sensible move, this did not shield Volkswagen against a rising rival that already entered its home market back in March.&nbsp;
<h3>Chinese EV Makers Are Steaming Ahead</h3>
Despite the global EV slowdown, Chinese EV makers are not pushing the brakes.&nbsp;
China is determined to win the race to EV dominance. By the looks of it, it is leading the way. Consequently, the automotive landscape is undoubtedly evolving in the EV era that is in the making. Unfortunately, the changing face of the automotive industry does not look too good for legacy automakers that lack a systematic response to China&rsquo;s EV offensive.&nbsp;
DISCLAIMER: This content is for informational purposes only. It is not intended as investing advice.
This article is from an unpaid external contributor. It does not represent Benzinga&#39;s reporting and has not been edited for content or accuracy.

XPENG

European Automakers Don't Have A Response To China's EV Offensive

BYD Co. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BYDDY#OTC">BYDDY</a>) (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BYDDF#OTC">BYDDF</a>) on Wednesday made its 9 millionth new energy vehicle (NEV) to date, the Chinese EV giant said.
What Happened: &#8220;MAJOR MILESTONE: BYD's 9 Millionth NEV Rolls Off Production,&#8221; BYD wrote in a post on social media platform X. The post was adjoined by a picture of a red Yangwang U9, a supercar produced by the BYD under its luxury car brand Yangwang. The vehicle is priced at 1.68 million yuan ($0.24 million).
&#8220;The YANGWANG U9&#8217;s selection for this milestone underscores BYD&#8217;s advancement in luxury and performance segments,&#8221; BYD said on Wednesday. 
BYD made its 8 millionth NEV merely two months before in July. 
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"> 
<div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">MAJOR MILESTONE: BYD's 9 Millionth NEV Rolls Off Production This accomplishment comes just two months after BYD&#39;s 8 millionth NEV. The YANGWANG U9&#39;s selection for this milestone underscores BYD&#39;s advancement in luxury and performance segments. BYD&#39;s rapid progress from 8 to 9… <a href="https://t.co/OYJQHivJgU">pic.twitter.com/OYJQHivJgU</a>
&mdash; BYD (@BYDCompany) <a href="https://twitter.com/BYDCompany/status/1839016952892895250?ref_src=twsrc%5Etfw">September 25, 2024</a></blockquote>
<script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script></div>
</figure>
Why It Matters: New energy vehicle refers to battery electric vehicles and plug-in hybrid vehicles. BYD sold 2,328,449 NEVs this year through the end of August, including both passenger and commercial vehicles, marking an increase of nearly 30% from the corresponding period last year.
In the last quarter of 2023, BYD <a href="https://www.benzinga.com/news/24/09/40768611/elon-musk-shoots-down-reports-of-teslas-china-woes-amid-intense-competition-says-giga-shanghai-is-ru">took over American EV giant</a> Tesla Inc. in battery electric vehicle sales with 526,409 BEVs sold as compared to Tesla&#8217;s 484,507 EVs. However, Tesla <a href="https://www.benzinga.com/news/24/04/38068997/elon-musk-dwells-on-wokeness-geopolitics-population-crisis-but-mostly-stays-silent-on-teslas-gloomy">took back the crown</a> in the first quarter of 2024.
Check out more of Benzinga's Future Of Mobility coverage by&nbsp;<a href="https://www.benzinga.com/topic/mobility" target="_blank" rel="noreferrer noopener">following this link</a>.
Read More:
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<li><a href="https://www.benzinga.com/news/24/09/41040877/stellantis-recalls-nearly-16k-fiat-124-spider-roadster-vehicles-in-the-us-over-improper-airbag-deplo">Stellantis Recalls Nearly 16K Fiat 124 Spider Roadster Vehicles In The US Over Improper Airbag Deployment Concerns</a></li>
</ul>
Photo courtesy: Shutterstock

BYD Makes A Red Yangwang U9 Supercar For Its 9 Millionth New Energy Vehicle

Chinese electric vehicle manufacturer BYD (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BYDDY#OTC">BYDDY</a>) (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BYDDF#OTC">BYDDF</a>) and Tesla Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) rival plans to establish its <a href="https://www.benzinga.com/markets/equities/24/09/40946478/chinas-nio-says-40-of-its-store-managers-are-ex-tesla">first South Asian assembly plant in Pakistan</a>. The move follows a rejection from India.
What Happened: The plant, expected to be operational by 2026, is a collaboration with Pakistan&#8217;s largest private electricity producer, Hub Power (Hubco). Hubco&#8217;s subsidiary, Mega Motor, will partner with BYD to set up the facility near Karachi's Port Qasim, <a href="https://www.ft.com/content/bf1e6817-5313-4b6e-8e47-9e2960d30ecc">reported</a> Financial Times on Sunday. 
Hubco CEO Kamran Kamal said that the goal is for Pakistan to begin exporting vehicles from the plant. The government is encouraging BYD to target markets in Africa and South Asia, including Bangladesh and Sri Lanka.
"We have big ambitions to be the leading carmaker in this country by the end of the decade," Kamal said. "For any industry in Pakistan to be competitive, they should be focused on the export market."
BYD&#8217;s expansion into Pakistan comes amid broader international growth, with new factories planned in Turkey, Hungary, Thailand, and Brazil. The company is also considering a new factory in Mexico.
BYD declined to comment further on the specifics of the Pakistan project, which is still under discussion. The company aims to sell 100,000 plug-in hybrid and fully electric cars annually in Pakistan by 2030, according to the report.
See Also: <a href="https://www.benzinga.com/news/24/09/40899599/elon-musk-said-spacex-competitors-only-take-up-less-than-we-do-and-they-take-nothing-down-and-they-g?itm_source=parsely-api" target="_blank" rel="noreferrer noopener">Elon Musk Said SpaceX Competitors Only &#8216;Take Up Less Than We Do, And They Take Nothing Down, And They Get Paid Twice As Much&#8217; — 10 Years Later, Its Rival In Space Boeing Has Frozen Hiring And Is Weighing Furloughs</a>
Why It Matters: The decision by BYD to establish a plant in Pakistan follows a series of global strategic moves by Chinese automakers to counteract increasing trade barriers and tariffs. 
Recently, the President Joe Biden administration imposed <a href="https://www.benzinga.com/markets/asia/24/09/40886450/50-of-new-car-sales-in-china-are-electric-but-in-the-us-its-only-10-are-protectionist-policies-widen">a 100% tax on electric vehicles made in China</a>, affecting companies like BYD and Geely. This move is part of a broader effort to relocate manufacturing and boost U.S. jobs.
China has also advised its automakers to keep advanced EV technology within the country, even as they expand globally. This includes exporting knock-down kits for assembly abroad, and ensuring <a href="https://www.benzinga.com/news/24/09/40825946/china-wants-automakers-to-safeguard-their-ev-technology-and-keep-it-within-the-country-as-companies">key parts remain produced in China</a>.
BYD&#8217;s expansion is not just limited to Pakistan. The company has been making significant strides in Europe, showcasing their vehicles at trade fairs like the Automechanika in Frankfurt, <a href="https://www.benzinga.com/markets/equities/24/09/40818732/chinese-ev-manufacturers-byd-and-geely-storm-frankfurt-fair-as-eu-tariffs-threaten-to-crimp-thei">despite looming EU tariffs</a>.
Furthermore, the competitive <a href="https://www.benzinga.com/markets/equities/24/09/40946478/chinas-nio-says-40-of-its-store-managers-are-ex-tesla">landscape in China is intensifying</a>. Companies like NIO are also expanding aggressively, with a significant portion of their management coming from Tesla.
Read Next: 
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<li><a href="https://www.benzinga.com/analyst-ratings/analyst-color/24/09/40968088/teslas-stock-performance-in-2019-and-2024-shows-striking-similarities-says-gary-bla?itm_source=parsely-api" target="_blank" rel="noreferrer noopener">Tesla&#8217;s Stock Performance In 2019 And 2024 Shows &#8216;Striking&#8217; Similarities, Says Gary Black: Flags This Reason That May Lead To Price Surge In 2025</a></li>
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Image Via Shutterstock 
This story was generated using <a href="https://www.benzinga.com/author/benzinga-neuro">Benzinga Neuro</a> and edited by <a href="https://www.benzinga.com/topic/Kaustubh-Bagalkote" target="_blank" rel="noreferrer noopener">Kaustubh Bagalkote</a>

Tesla's Chinese Rival BYD Plans To Assemble EVs In Pakistan After India Said No: 'We Have Big Ambitions'

Europe&rsquo;s biggest automaker, Volkswagen (OTC: <a class="ticker" href="https://www.benzinga.com/stock/vwagy#OTC">VWAGY</a>) is considering plant closures for the first time in its 87-year-old history. But Volkswagen is merely a reflection of a struggling European auto industry that is currently challenged on many fronts, with its struggles being both the global competition and its declining appeal.&nbsp;
Europe&rsquo;s automotive industry is struggling with many issues simultaneously.&nbsp;
According to&nbsp;Bloomberg Intelligence, one in three European factories of carmaking behemoths, namely Volkswagen, Bayerische Motoren Werke Aktiengesellschaft (OTC: <a class="ticker" href="https://www.benzinga.com/stock/bmwyy#OTC">BMWYY</a>), Mercedes-Benz Group AG (OTC: <a class="ticker" href="https://www.benzinga.com/stock/mbgaf#OTC">MBGAF</a>)(OTC: <a class="ticker" href="https://www.benzinga.com/stock/mbgyy#OTC">MBGYY</a>), Stellantis N.V. (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/stla#NYSE">STLA</a>) and Renault (OTC: <a class="ticker" href="https://www.benzinga.com/stock/rnlsy#OTC">RNLSY</a>) is underutilized.&nbsp;Meanwhile, Chinese automakers such as BYD (OTC: <a class="ticker" href="https://www.benzinga.com/stock/byddy#OTC">BYDDY</a>) are off to conquer Europe. To avoid tarrifs on China-made EVs, they are planning to make their own factories on the European continent.&nbsp;
Volkswagen is only one of the first victims.
Volkswagen Group CEO Oliver Blume&nbsp;openly spoke of the serious situation that Europe&rsquo;s automotive industry is facing with Germany in particular falling from grace as a competitive manufacturing location. Volkswagen has also fallen from grace in China, its single biggest market. During the first half of 2024, Volkswagen&rsquo;s deliveries in China dropped 7%&nbsp;YoY with group operating profit tumbling 11.4%&nbsp;to $11.2 billion. Volkswagen is losing out to local brands in China like BYD and those brands are now going for its home market.&nbsp;&nbsp;
Stellantis has also been hit by slowing demand in Europe.
In Italy, Stellantis is hitting the brakes. In response to the sales crisis, Stellantis halted production of its electric Fiat 500e for a month at its Mirafiori facility that is located near Turin. Stellantis also revealed that the site will be undergoing a significant transformation that will involve an investment worth&nbsp;&euro;100 million. Stellantis is expected to start making a hybrid version of the Fiat 500&nbsp;sometimes next year.&nbsp;
In addition to its European struggles, Stellantis is also facing a shrinking share in North America. During the first half of 2024, net revenues dropped 14% YoY while net profit took a 48% YoY plunge.
With Chinese EV makers navigating new roads, determined to conquer the world, simple cost-cutting measures won&rsquo;t do.&nbsp;
European automakers are having a hard time keeping up with Chinese EV makers. The increased tariffs that the EU imposed on Chinese EV makers led to significant backlash and concerns that this will make it more difficult for the EU to achieve its net-zero goals as Chinese EVs are more popular with consumers, both due to their more favorable pricing and greater features. Moreover, tarrifs are seen as&nbsp;a minor speed bump for an EV powerhouse like BYD.&nbsp;Regardless of their legacy, European automakers who fail to adapt quickly enough will be left on the sidelines as Chinese EV makers like BYD threaten to leave them in the dust.
DISCLAIMER: This content is for informational purposes only. It is not intended as investing advice.
This article is from an unpaid external contributor. It does not represent Benzinga&#39;s reporting and has not been edited for content or accuracy.

MERCEDES BENZ GROUP AG by Mercedes Benz Group AG

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MERCEDES-BENZ UNSP / ADR by Mercedes Benz Group AG

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Volkswagen's Crisis Is The Reflection Of Europe's Automotive Struggles

NIO Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NIO#NYSE">NIO</a>) shares are <a href="https://www.benzinga.com/movers" target="_blank" rel="noreferrer noopener">trading higher on Thursday</a>. Nio&#8217;s Onvo currently has 180 store managers in China, with 40% hailing from Tesla, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) and 27% from Li Auto (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/LI#NASDAQ">LI</a>), according to Xia Qinghua, head of Onvo&#8217;s user and service operations, CnEV Post <a href="https://cnevpost.com/2024/09/19/nio-onvo-40-pct-store-managers-from-tesla/" target="_blank" rel="noreferrer noopener">reports</a>.
The competition stories between NIO and Tesla is not new! Earlier this May, NIO reportedly reached an agreement with larger competitor BYD Co., Ltd. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BYDDY#OTC">BYDDY</a>) to obtain batteries for a new EV brand positioned in a lower price range, targeting competition with Tesla, according to a Reuters report.
Also Read: <a target="_blank" href="https://www.benzinga.com/markets/equities/24/09/40937424/why-tesla-stock-is-rallying-about-3-higher-in-thursdays-premarket" rel="noreferrer noopener">Why Tesla Stock Is Rallying About 3% Higher In Thursday&#8217;s Premarket</a>
Meanwhile, Onvo is officially set to launch the L60 later today. The L60 first appeared on May 15 and opened for pre-orders at a promotional price of RMB219,900, which includes the battery.
This price is RMB30,000 lower than the current Tesla Model Y starting price in China.
Qinghua started a 20,000-kilometer long-distance journey across China in an Onvo L60 on August 15, shortly after the first production vehicle was completed.
He shared these details during a conversation with Nio founder, chairman, and CEO William Li while in the car, near the conclusion of the trip today, CnEV Post added.
Onvo opened its first 105 stores in China on September 1, and the total number of stores has now reached 120.
Price Action: NIO shares are trading higher by 6.87% to $5.37 at the last check on Thursday.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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Photo via Shutterstock

Emerging Markets

Movers

China's NIO Says 40% Of Its Store Managers Are Ex-Tesla

On Thursday, General Motors (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/gm#NYSE">GM</a>) and Hyundai Motor Company (OTC: <a class="ticker" href="https://www.benzinga.com/stock/hymtf#OTC">HYMTF</a>) announced that they signed a memorandum to&nbsp;explore joint product development, manufacturing, and clean energy technologies.&nbsp;Together, they will try to find ways to leverage their scale and complementary strengths to lower costs and bring a wider range of vehicles and technologies to customers faster.&nbsp;Yet, this agreement won&rsquo;t be limited ot EVs, as it will also explore hydrogen-powered and ICE vehicles, including both passenger and commercial vehicles. With combined expertise and innovative technologies, Hyundai and GM are hoping to enhance their competitiveness in key markets and vehicle segments.
<h3>GM And EVgo Partnership Also Gained A&nbsp;New Chapter</h3>
In addition, GM also disclosed in a separate note that it is expanding its partnership with&nbsp;EVgo Inc&nbsp;(NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/evgo#NASDAQ">EVGO</a>). As they continue to expand their charging network, EVgo and GM plan to install 400 fast charging stalls at key metropolitan locations across the US. GM and EVgo plan to install 2,850 DC fast charging stalls altogether, with funds redirected to enhance premium charging experiences at key sites.
Hyundai has an eye for emerging technologies. Back in 2022, Hyundai America Technical Center Inc entered into a formal agreement with a maker of clean energy-powered pickup accessories, Worksport Ltd (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/wksp#NASDAQ">WKSP</a>). Hyundai secured prototypes of a solar-powered tonneau cover SOLIS and a&nbsp;modified version of the COR portable energy storage system that Worksport made,&nbsp;modified for the bed geometry of the Hyundai Santa Cruz Pickup Truck. Worksport is expected to launch the alpha release of this groundbreaking duo this month. Earlier this month, Worksport also revealed it&nbsp;successfully lab&nbsp;tested the COR to extend the range of Tesla Inc (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/tsla#NASDAQ">TSLA</a>) EVs,&nbsp;namely its&nbsp;Model 3 and Cybertruck.&nbsp;
General Motors and Hyundai followed the footsteps of&nbsp;Nissan Motor Co. (OTC: <a class="ticker" href="https://www.benzinga.com/stock/nsany#OTC">NSANY</a>), Honda Motor Co. Ltd (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/hmc#NYSE">HMC</a>), and Mitsubishi Motors Corporation.&nbsp;Back in August, Nissan, Honda and Mitsubishi announced they signed a memorandum to work together on a framework for further intelligence and electrification of automobiles. Last month, Nissan and Honda&nbsp;also announced they signed a second memorandum of understanding based on an agreement signed in March. Together, Nissan and Honda joined forces in research, development, and investment in various technologies to promote the spread and evolution of EVs&nbsp;and software-defined vehicles (SDVs).
<h3>The Automotive Market Is Not The Best Place To Be At Right Now</h3>
Even Europe&rsquo;s largest carmaker, Volkswagen (OTC: <a class="ticker" href="https://www.benzinga.com/stock/vwagy#OTC">VWAGY</a>) is considering shutting down factories for the first time in decades. But despite an alarming situaton, Volkswagen is not abandoning its home, Germany. It&rsquo;s becoming tougher and tougher to compete and this is not only the case in Europe. Volkswagen already suffered a sharp market loss in China thanks to BYD (OTC: <a class="ticker" href="https://www.benzinga.com/stock/byddy#OTC">BYDDY</a>) and BYD is now going for Europe. BYD has been giving headaches to many automakers across the globe, beginning with the EV pioneer, Tesla Inc (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/tsla#NASDAQ">TSLA</a>) with whom it stands shoulder to shoulder on the EV front, with the two being the world&rsquo;s largest EV makers. Even with aggressive discounting, Tesla does not have the right formula to challenge&nbsp;BYD. From January to August, CPCA reported that BYD held 34.6% of the Chinese NEV market, leading the way, with Tesla taking third place with a market share of 6.5%. When it comes to the retail passenger car market in August alone, including both traditional internal combustion engine vehicles, BYD led with a market share of 19.9% while Tesla ranked 9th with a market share of 3.3%, being surpassed by joint&nbsp;ventures of Volkswagen and others.&nbsp;
<h3>A Future Built On Partnerships</h3>
As it continues to undergo its biggest transformation in a century, the automotive landscape is messy, to say the least. The electric revolution is underway but automakers are having a tough time to evolve. Only time will show who will make the cut in the new EV era and by the looks of it, no one is powerful enough to go at it alone.
DISCLAIMER: This content is for informational purposes only. It is not intended as investing advice.
This article is from an unpaid external contributor. It does not represent Benzinga's reporting and has not been edited for content or accuracy.

EVGO

HYMTF

GM And Hyundai Join Forces To Boost Competitiveness And Improve Efficiency

Last week, the Biden administration <a href="https://www.benzinga.com/markets/asia/24/09/40856820/biden-hikes-tariffs-on-chinese-goods-alibaba-jd-com-stocks-drop">locked in a package of steep tariffs on Chinese goods</a>, including a 100% tax on electric vehicles made in China.&nbsp;
The new tariffs also cover Chinese solar panels, EV batteries, steel, aluminum and other key minerals as part of a larger effort to relocate manufacturing, boost U.S. jobs and incentivize sales for American carmakers.
The move also comes six weeks before the <a href="https://www.benzinga.com/topic/2024-election">November election</a>, where Michigan, home of the American car industry, continues to be a battleground state.&nbsp;
Detroit is still the home base for two of the Big Three automakers, General Motors Co (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GM#NYSE">GM</a>) and Ford Motor Co (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/F#NYSE">F</a>).
Protectionist policies are a direct response to calls for relief for U.S. carmakers. Earlier this year, Ford executives <a href="https://www.benzinga.com/markets/asia/24/03/37469245/beijing-vs-detroit-chinese-ev-innovation-speed-could-smash-tariff-barriers-and-invade-us-auto-sector">warned that a flood of Chinese EV would mean the demise</a> of the U.S. auto industry. The sentiment was echoed by Tesla Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) CEO Elon Musk.
As Chinese automakers like BYD Company (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BYDDY#OTC">BYDDY</a>) and Nio Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NIO#NYSE">NIO</a>) expand their market share across Europe, Asia, and the Middle East, protectionist policies are increasingly viewed as a response to rising competition, both by government officials and automotive executives.
But what if they aren't?
A Bloomberg <a href="https://www.bloomberg.com/news/articles/2024-09-16/how-can-us-beat-china-in-affordable-evs-copy-byd?srnd=homepage-americas&amp;sref=TBDibEcD">report</a> argues that letting Chinese companies in could be the lifeline that U.S. carmakers need in a time of stagnating growth.
Electric vehicles have surpassed 50% of all new car sales in China this summer. But for the U.S. that figure<a href="https://www.benzinga.com/news/24/08/40624770/us-ev-sales-in-2024-to-reach-only-9-amid-slower-growth-marking-a-significant-drop-from-12-estimate-r"> is less than 10% and has slowed down from previous years</a>.
EV sales in the U.S. are significantly outpaced globally, where electric vehicles now make up 35% of <a href="https://www.benzinga.com/news/events/24/09/40798189/with-ev-sales-up-35-can-the-us-power-grid-keep-up-one-expert-weighs-in">all car sales around the world</a>.
The U.S.'s inability to catch up with global trends is partially explained by protectionist state policies and partially by the peculiarities of its market, which is highly focused on large vehicles like SUVs and pick-up trucks.
Read also: <a href="https://www.benzinga.com//node/40831151">Global EV Sales Touch 9.8M In 2024 At August End, But US Market&#8217;s Fate Tied To Upcoming Elections, Says Rho Motion</a>
Selling expensive SUVs and trucks has been a positive strategy for Detroit carmakers, but has also hampered their ability to electrify the market, as heavy vehicles are harder to turn electric than compact cars and sedans.
Last month, Ford <a href="https://www.benzinga.com/top-stories/24/08/40496864/ford-scraps-electric-suv-as-it-adjusts-to-lower-electric-vehicle-demand">scrapped an electric SUV and delayed the launch of its electric pick-up truck</a>, citing slow EV demand in the U.S.
<h3 class="wp-block-heading">Should The U.S. Open The Floodgates?</h3>
Detroit carmakers are increasingly exploring Chinese technology for their future EV models.
In a recent report, Ford CEO Jim Farley <a href="https://www.wsj.com/business/autos/ford-china-ev-competition-farley-ceo-50ded461">told</a> The Wall Street Journal that Chinese EV companies are significantly ahead of Detroit automakers, following his trip to the country.
Ford has reportedly been dissecting Chinese EVs in an effort to understand how they're managing to reach such low prices and still keep superb quality.
General Motors <a href="https://www.benzinga.com/markets/equities/24/09/40839765/gm-eyes-us-made-chinese-batteries-in-deal-with-japans-tdk-report">is in talks to acquire electric vehicle batteries</a> made utilizing technology from China's Contemporary Amperex Technology Co.
While opening the door to Chinese companies would destabilize the local market in the short term, it would also push Detroit carmakers to become more competitive.
China's automotive industry grew from being almost insignificant some decades ago, to becoming a global leader today. 
This growth was driven by a requirement for foreign automakers to partner with local manufacturers to access the Chinese market, a rule implemented after the country opened up to foreign companies in the 1980s.
According to TrendForce's February 2024 report, Chinese manufacturers account for three of the top five spots for global market share.
BYD has 17%,Guangzhou Automobile Group Co Ltd (OTC:<a class="ticker" href="https://www.benzinga.com/stock/GNZUF#OTC">GNZUF</a>) has 5.2% and Wuling Motors Holdings Ltd (OTC:<a class="ticker" href="https://www.benzinga.com/stock/WLMTF#OTC">WLMTF</a>) has 4.9%. Tesla is at the top of the list with 19% while Volkswagen (OTC:<a class="ticker" href="https://www.benzinga.com/stock/VWAPY#OTC">VWAPY</a>) is number five.
Pairing foreign companies with local manufacturers has allowed the Chinese industry to gain the knowledge and expertise needed to become a giant in just a few decades. A similar deal could feed Chinese knowhow into the U.S. car industry, while also allowing the country to speed up its shift to a decarbonized car industry.
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<li><a href="https://www.benzinga.com//node/40866380">Tesla China Shines, Lucid Gives Peek Into Model Y Rival, Ford Eyes &#8216;Electric&#8217; Restart In India And More: Biggest EV Stories Of The Week</a></li>
<li></li>
</ul>
Photo: Shutterstock

Asia

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50% Of New Car Sales In China Are Electric — But In The US, It's Only 10%: Are Protectionist Policies Widening The Gap?

China has reportedly advised its automakers to ensure that advanced electric vehicle (EV) technology stays within the country even as they put up factories in foreign countries. 
What Happened: China is recommending that Chinese automakers export knock-down kits that can be assembled at their foreign plant, <a href="https://www.bloomberg.com/news/articles/2024-09-12/china-asks-its-carmakers-to-keep-key-ev-technology-at-home">reported</a> Bloomberg, citing people familiar with the matter. This would ensure that key parts of the vehicle will continue to be produced in China.
China&#8217;s Ministry of Commerce also instructed automakers not to make any auto-related investment in its neighboring country India in a meeting in July, the report said. 
Why It Matters: Chinese automakers, including EV giant BYD Co. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BYDDY#OTC">BYDDY</a>), are looking to expand manufacturing to foreign countries in a bid to <a href="https://www.benzinga.com/news/24/09/40810974/us-ally-urges-eu-to-reconsider-tariffs-on-chinese-evs-we-dont-need-another-war">avoid heavy tariffs imposed </a>on vehicles made in China by the U.S., Canada, and Europe. Chinese carmaker Chery is eyeing a factory in Spain and BYD is planning a factory in Hungary.
Chinese automakers are also looking at <a href="https://www.benzinga.com/news/24/09/40786587/byd-geely-and-other-chinese-ev-makers-make-a-strong-showing-at-frankfurt-trade-fair-amid-restriction">foreign markets</a> to increase sales given the heightened competition and price war in their home country which is weighing heavily upon their profit margins. Their EVs have an advantage in foreign markets over domestic players owing to their lower price point. 
Check out more of Benzinga&#8217;s Future Of Mobility coverage by&nbsp;<a href="https://www.benzinga.com/topic/mobility" target="_blank" rel="noreferrer noopener">following this link</a>.
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Photo courtesy: BYD

Media

China Wants Automakers To Safeguard Their EV Technology And Keep It Within The Country As Companies Look To Expand Factories To Avoid Heavy Tariffs: Report

At a trade fair in Frankfurt, almost 900 Chinese auto suppliers and several electric vehicle makers are reportedly<a target="_blank" href="https://www.benzinga.com/news/24/09/40813283/stellantis-invests-over-406m-in-michigan-facilities-for-multi-energy-strategy" rel="noreferrer noopener"> displaying their offerings</a>.
The country&#8217;s automotive sector is striving to enhance its global presence and counteract declining domestic profits despite looming trade barriers, reported Reuters.
Chinese automakers such as BYD Co., Ltd. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BYDDY#OTC">BYDDY</a>), Geely Automobile Holdings Ltd. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/GELYF#OTC">GELYF</a>), Hongqi, and GAC International are set to showcase their vehicles at the Automechanika fair, which traditionally emphasizes suppliers but is now featuring cars as a highlight.
Also Read: <a target="_blank" href="https://www.benzinga.com/news/24/09/40810974/us-ally-urges-eu-to-reconsider-tariffs-on-chinese-evs-we-dont-need-another-war" rel="noreferrer noopener">US Ally Urges EU To &#8216;Reconsider&#8217; Tariffs On Chinese EVs: &#8216;We Don&#8217;t Need Another War&#8217;</a>
&#8220;Even if some in Europe turn against us, we will never turn against the European market,&#8221; said Victor Yang, senior vice-president at Geely, the only carmaker to host a press conference at the fair.
According to the report, Geely, which reportedly sold approximately 200,000 cars in Europe during the first half of this year, will encounter tariffs of up to 19.3% on its China-made EVs under the European Commission&#8217;s current plans—a move the company has previously called &#8220;disappointing.&#8221;
China&#8217;s auto sector is making significant investments in expanding overseas despite Europe and North America imposing trade barriers to curb the influx of China-made EVs, which they claim benefit from unfair subsidies.
The &#8220;EV Expo,&#8221; opening in collaboration with the China Council for the Promotion of International Trade, adds a focus on electric vehicles to an event traditionally centered on suppliers, Reuters added.
Image via Shutterstock
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Chinese EV Manufacturers BYD And Geely Storm Frankfurt Fair As EU Tariffs Threaten To Crimp Their Global EV Push: Report

In a bold move to counter domestic profitability challenges and global trade barriers, nearly 900 Chinese auto suppliers and several EV manufacturers are showcasing their products at a Frankfurt trade fair.
What Happened: Chinese automakers like BYD (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BYDDY#OTC">BYDDY</a>) (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BYDDF#OTC">BYDDF</a>), Geely (OTC:<a class="ticker" href="https://www.benzinga.com/stock/GELYF#OTC">GELYF</a>), Hongqi, and GAC International are set to present their vehicles at the Automechanika fair. This marks a new trend for the event, which has traditionally been a platform for suppliers.
Despite the emergence of trade barriers in Europe and North America, aimed at limiting the influx of China-made EVs, China&#8217;s auto sector continues to invest heavily in overseas expansion. The &#8220;EV Expo&#8221;, which opens on Tuesday, was established in partnership with the China Council for the Promotion of International Trade.
See Also: <a href="https://www.benzinga.com/news/24/09/40758526/boeing-starliner-returns-to-earth-without-sunita-williams-and-butch-wilmore-lands-in-new-mexico-afte?itm_source=parsely-api" target="_blank" rel="noreferrer noopener">Boeing Starliner Returns To Earth Without Sunita Williams And Butch Wilmore, Lands In New Mexico After 6-Hour Flight</a>
Automechanika&#8217;s director, Olaf Musshoff, expressed at a press conference, &#8220;We want EVs made by Chinese carmakers which are currently to some extent unknown to gain trust in the industry.&#8221;
Moody&#8217;s data shows that the auto sector&#8217;s share of China&#8217;s total outbound investments rose from 16% in 2018 to 22% in 2023, and car exports have hit record highs this year. The significant presence of Chinese suppliers at the fair, almost double the number of German suppliers, highlights their expanding role in the global supply chain. Chinese automakers are increasingly planning local production in Europe and other regions to circumvent trade tariffs limiting imports.
Why It Matters: The Chinese auto industry&#8217;s move to expand globally comes in the wake of European Commission&#8217;s <a href="https://www.benzinga.com/news/24/07/39635158/eu-imposes-provisional-duties-of-as-much-as-37-6-on-chinese-ev-imports">additional tariffs of up to 37.6% </a>on EV imports from China in July. The tariffs were a response to concerns that state-subsidized, cheaper EVs from China could push domestic players out of the market. The EU&#8217;s steps are similar to the ones taken by the U.S. and Canada to restrict access of Chinese EVs into these markets.
In response to these tariffs, Chinese EV manufacturers began <a href="https://www.benzinga.com/news/24/07/39662998/chinese-ev-makers-pivot-to-africa-amid-eu-and-us-tariff-hurdles">exploring Africa as a potential market</a>. However, China also <a href="https://www.benzinga.com/news/24/08/40484760/china-hits-back-at-eus-unfair-ev-tariffs-that-gave-relief-to-chinese-made-tesla-will-take-all-necess">voiced strong opposition </a>to these tariffs in August, labeling them as "unfair" and assuring its commitment to safeguard its EV industry against such actions.
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<li><a href="https://www.benzinga.com/news/24/09/40758753/in-2020-elon-musk-predicted-that-100-cars-produced-by-2040-will-be-electric-and-fully-autonomous-now?itm_source=parsely-api" target="_blank" rel="noreferrer noopener">In 2020 Elon Musk Predicted That 100% Cars Produced By 2040 Will Be Electric And Fully Autonomous. Now He</a></li>
</ul>
Photo via Shutterstock
This story was generated using <a href="https://www.benzinga.com/author/benzinga-neuro">Benzinga Neuro</a> and edited by <a href="https://www.benzinga.com/topic/Pooja-Rajkumari" target="_blank" rel="noreferrer noopener">Pooja Rajkumari</a>

BYD, Geely And Other Chinese EV Makers Make A Strong Showing At Frankfurt Trade Fair Amid Restrictions From EU, US, Canada

Tesla Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) continues to strengthen its position in the U.S. electric vehicle market, with <a href="https://www.benzinga.com/electric-vehicles">notable improvements in August. </a>
According to JPMorgan&#8217;s August electric vehicle sales update, Tesla saw a 23% month-over-month increase in sales, driven by rising EV incentives and robust demand. 
Still, the Austin, Texas-based company saw a slight dip in <a href="https://www.benzinga.com/markets/equities/24/08/40428947/teslas-eroding-market-share-lucids-rawlinson-claims-bragging-rights-rivians-production-woes-and-">market share to 44%</a>.
The average EV incentive climbed to an all-time high of $8,300, further bolstering Tesla&#8217;s sales performance. Its dominance, however, is currently being challenged by rising competitors such as General Motors Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GM#NYSE">GM</a>), which saw its market share increase to 10%. 
With inventory levels stable and below previous peaks, Tesla is well-positioned to maintain its leadership in the American market, JPMorgan says. 
<h2 class="wp-block-heading">Tesla&#8217;s German Market Struggles</h2>
While Tesla thrives in the U.S., its performance in Germany paints a different picture. The German EV market has faced challenges, with Tesla's market share dropping by 2.7% month-over-month. 
Despite a recent rebound in overall EU-5 EV/PHEV penetration to 19.6%, Germany's market remains sluggish compared to previous highs. The German government's recent tax incentives might offer some relief, but Tesla's struggles highlight the broader difficulties faced by EV manufacturers in Europe.
To this end, Tesla has announced plans to roll out its full self-driving driver assistance software in Europe and China in the first quarter of 2025.
In contrast, China's electric vehicle market is experiencing unprecedented growth.
August saw new energy vehicle (NEV) retail sales surpass 1 million units for the first time, with a 41.8% year-over-year increase. China's NEV penetration reached a record 53.1%, fueled by strong government incentives and a wave of new, affordable BEV models.
Tesla's market share in China remains strong, but it faces intensified competition from domestic manufacturers. Chinese brands like BYD Co Ltd (OTCPK:BYDDF) (OTCPK:BYDDY), Leap Motor and XPeng Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XPEV#NYSE">XPEV</a>) are making significant gains, contributing to a dynamic and rapidly evolving market landscape. BYD and XPeng have reported significant gains in monthly deliveries, capturing 60% of the country's NEV market share.
Read Also: <a href="https://www.benzinga.com/markets/asia/24/09/40719138/nio-feels-buying-pressure-ahead-of-q2-earnings-can-the-ev-stock-shake-off-60-decline">Nio Feels Buying Pressure Ahead Of Q2 Earnings: Can The EV Stock Shake Off 60% Decline?</a>
<h2 class="wp-block-heading">Navigating A Complex EV Landscape</h2>
Tesla's solid U.S. performance contrasts sharply with its struggles in Germany and the rapidly changing dynamics in China. 
As the global EV market evolves, Tesla must navigate these regional challenges while capitalizing on its strengths to maintain its leadership position.
Read Next: 
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<li><a href="https://www.benzinga.com//node/40730038">Tesla Bear Slams FSD China Release Timeline As &#8216;Meaningless Announcement,&#8217; Calls It Overused &#8216;Pump&#8217; Tactic Amid Share Price Decline</a></li>
</ul>
Image: Shutterstock

Long Ideas

Tesla's US Lead Solidifies But Slips In Germany; China's Surge Shakes Up EV Landscape

BYD September NEV sales set another record high

Chinese EV market September overview: BYD, Li Auto, and Xpeng report the highest deliveries

Tesla: China Stimulus Already Priced In

The Great Generational Leadership Rotation

Toyota Stays With Hybrids And Hydrogen

Stocks of Li Auto ($LI), XPeng ($XPEV), and BYD ($BYDDY) rallied 11.5%, 5.5%, and 5%, respectively, on Tuesday after the Chinese electric vehicle (...

Li Auto and Other Chinese EV Stocks Rally on Solid Deliveries in September

Ford Is Taking The China Threat Seriously

Buy BYD Stock With Automaker Poised To Benefit From Innovation, Macro Stimulus

Tesla: High Hopes Could Meet Harsh Reality Next

The decision could counteract stimulus measures announced by the Chinese government in September.

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