BYD, the Chinese automaker known for its electric vehicles, is actively assessing production opportunities across several European nations and preparing detailed feasibility studies. The aim is to determine whether the company should establish a dedicated manufacturing hub on the continent, according to Automotive News Europe. This strategic review signals a broader push by BYD to diversify its production footprint and strengthen its European market position through local manufacturing rather than importing completed vehicles.
In its current review, BYD is evaluating three European countries as potential hosts for a new automotive plant. France is explicitly mentioned in negotiations with the government, reflecting a keen interest in aligning with local policies and incentives. Germany and Spain are also being considered as viable alternatives, each offering distinct advantages in terms of logistics, supplier networks, and access to skilled labor. The company is weighing factors such as incentives, infrastructure, and industrial ecosystems as part of a holistic site-selection process.
Industry sources quoted in the coverage indicate a preference at BYD for building a greenfield facility rather than acquiring an existing, shuttered plant from another large automaker. The idea of constructing a new factory allows BYD to tailor the plant to its manufacturing standards, automation levels, and production lines for electric vehicles and related components, rather than retrofitting an older site. One example often cited in this context is the former Ford facility in Saarlouis, Germany, though BYD remains deliberate about options and timing in its European strategy.
The company plans to decide on a final site by the end of the year and aims to initiate production at the new factory in 2025. This timeline aligns with BYD’s broader plans to boost local manufacturing capacity for European markets, reduce lead times, and enhance its competitive position in the rapidly evolving electric-vehicle market across the continent. The move would complement BYD’s expanding footprint in Europe, where the company has already established significant sales and service networks to support its growing line of electrified models.
Earlier reporting suggested there was interest tied to the Russian market, with speculation around whether BYD’s Hongqi sub-brand would participate there. The current discussions underscore BYD’s strategic approach to balancing growth in mature European markets with considerations of emerging opportunities in neighboring regions. As BYD continues to evaluate site options and refines its production plans, observers will be watching closely how the company aligns its manufacturing ambitions with European regulatory environments, supply chains, and demand patterns.