Skip to main content

Elon Musk once mocked China's BYD. Now it's running circles around Tesla

·1 min

The most important carmaker currently is a Chinese-owned company that Warren Buffett supports and poses a challenge to Elon Musk. BYD, a carmaker previously ridiculed by Musk, surpassed Tesla at the end of last year as the leading seller of electric vehicles globally. BYD recently unveiled a new hybrid powertrain capable of traveling from New York to Miami without refueling, covering 1,300 miles in one go. This provides a significantly longer range compared to other hybrid carmakers whose ranges typically top out around 680 miles. BYD’s success is attributed to cheaper manufacturing costs, strong presence in the Chinese market, and competitively priced sedans. The United States’ lack of charging infrastructure has led to a decline in EV sales, pushing customers towards purchasing hybrids instead. Although both options rely on fossil fuels, hybrids offer better fuel efficiency and are cheaper in the long run. American carmakers currently have protection from Chinese competition due to tariffs and strict regulations, but this may change if consumers demand cheaper alternatives from overseas.