Plant planned in Hungary

Austrian automotive suppliers want to invest in BYD cars

The Chinese car brand BYD has risen to become the world's largest e-car manufacturer and has also made a dream start in Austria.(Bild: BYD)

BYD from China could become the next cult brand in the vehicle industry after Tesla. It is already number one in the world for e-cars, mainly thanks to its home market. BYD is now also active in Austria and is building a plant in Hungary. Suppliers from Austria are hoping for many orders.

As part of the "BYD Supplier Conference Vienna", top managers from the Chinese manufacturer met with almost three dozen Austrian automotive suppliers. Specifically, they discussed potential partnerships for the first BYD passenger car plant in Europe, which is currently being built in Hungary and is due to start production at the end of 2025.

Prominent names such as Amag, AT&S and Magna as potential BYD partners
Domestic companies that are seeking supplier contracts from BYD include names such as Amag, AT&S, AVL List, Engel Austria, Fronius, the iSi Group and Magna.

Hansjörg Mayr, board member of the domestic BYD importer Denzel: "I am confident that Austria has a good chance as an industrial location if the companies work together."(Bild: Klimpt Sabine / Wolfgang Denzel Auto AG)

Hansjörg Mayr, board member of the domestic BYD importer Denzel, was pleased about the "opportunity to bring Austrian companies together with a global player. BYD has been focusing on battery technology since 1995. And we in Austria have such good, high-quality companies, especially in the automotive industry. I am confident that Austria has a good chance as an industrial location if the companies work together."

The capacity for the plant in Hungary will be geared towards 150,000 to 300,000 cars per year. Where the journey will ultimately lead is shown by the example of China. Mayr: "BYD is the market leader in e-mobility there; every fourth electric car in China comes from a BYD factory. A whole series of factories are currently being built around the world, and there is also a plan for a factory in Turkey, for example."

Between 150,000 and 300,000 electric cars are to roll off the production line at the plant in Hungary every year. (Symbolic image of a Chinese factory)(Bild: BYD)

The BYD models are currently still being offered in Austria at their original prices because they are stock vehicles. However, prices could rise in the fall because the tariffs imposed by the EU - BYD is affected by a rate of 17.4 percent - would take effect.

However, Denzel CEO Gregor Strassl is still hoping for an agreement between the EU and China by the fall: "Denzel stands for free trade." This would bring advantages: "Consumers would have a wider choice and lower prices."

Denzel CEO Gregor Strassl hopes that the EU and China will reach an agreement on the tariffs imposed by the EU.(Bild: Klimpt Sabine / Wolfgang Denzel Auto AG)

BYD advertises e-cars that cost a similar amount to comparable combustion engines
In fact, BYD advertises that it offers e-cars at prices comparable to cars with combustion engines (see price list). For example, the ATTO 3 SUV is in the same class as the VW Tiguan. According to BYD, the SEAL as a mid-size sedan is in the same class as the BMW 3 Series.

(Bild: BYD)

BYD advertises that the e-cars cost a similar amount to comparable combustion cars from other manufacturers. The prices in the list do not include the e-mobility bonus of 5400 euros.(Bild: BYD)

Brian Yang, Assistant Managing Director of BYD Europe, makes it clear: "BYD has come to Europe to stay because: BYD wants to become a locally rooted European brand and work with European partners from the automotive supply industry. We are investing several billion euros in Hungary. The Austrian automotive supply industry is extremely professional and is one of the most innovative in the world in many areas. This is exactly the kind of partner we are looking for."

Austro companies could supply a lot, from steel to cables to semiconductors
The range that domestic companies can cover extends "from steel for the chassis and bodywork to cables, connectors, airbags and semiconductors". According to Yang, BYD will enter into further negotiations with many companies in the coming weeks, "as we recognize great potential in Austrian partners".

Brian Yang, Assistant Managing Director of BYD Europe (center): "BYD has come to Europe to stay."(Bild: © Philipp Lipiarski / www.lipiarski.com)

Florian Danmayr, Manager of the Automotive Cluster Upper Austria: "Our 280 companies generate a turnover of almost 20 billion euros and are of enormous importance to the economy. With an export share of over 80 percent, we are dependent on international cooperation and have to put out feelers to the outside world."

His industry colleague Manfred Kainz, partner of the Styrian car cluster AC Styria, echoes this sentiment: "Many years ago, we already had a supplier day in Styria, back then with Steyr Daimler Puch, which later became Magna. And the result was a success story. I see the same opportunity here now."

(Bild: Krone KREATIV/stock.adobe)

BYD quickly became the third strongest e-car brand in Austria
Launched as a brand just over a year and a half ago, BYD was already able to sell 1024 cars last year, which no other brand has managed to do in such a short space of time. This year, sales in the first half of the year have already increased to 1834 newly registered cars - making BYD the third-strongest e-car brand in Austria after Tesla and BMW (see chart).

The best-selling BYD car in Austria so far is the ATTO 3, as it has been available since the market launch. The SEAL and the "SEAL U" are currently selling best.