China EV war: BYD prices a fifth car below 100,000 yuan threshold as it takes offensive in market-share battle
- Updated e2 compact SUV will start at 89,800 yuan (US$12,507), 12.6 per cent less than the previous price
- BYD has been slashing prices for nearly all of its cars, with rivals including Xpeng, Zeekr and SAIC-GM-Wuling following suit
The compact sport-utility vehicle, with a range of 405 kilometres, becomes the fifth BYD model available for less than the psychologically important threshold price – viewed as affordable even for low-income wage earners in the mainland China market.
“BYD appears to be extremely aggressive in driving a transition from petrol cars to EVs in the country’s automotive industry,” said Eric Han, a senior manager at Suolei, an advisory firm in Shanghai. “The cheap models will also draw middle-income consumers who have become price sensitive amid a bearish economic outlook.”
Among the five models, only the budget Seagull hatchback previously sold for less than 100,000 yuan. BYD marked the entry-level edition of the car down by 4,000 yuan to 69,800 yuan last Wednesday. Price cuts over the past three weeks pushed the basic editions of the other four models – the e2, Qin Plus DM-i plug-in hybrid, Dolphin and Chaser 05 – below 100,000 yuan.
Since February 18, BYD has been slashing prices for nearly all of its cars to stay ahead of the competition as EV sales in the world’s largest market showed signs of slowing.
