BYD India to miss 2023 sales target by over 70 percent; Atto 3 SUV to get one more variant soon.
Chinese EV brand BYD (Build Your Dreams) has hit multiple roadblocks in India. Our sister publication Autocar Professional learns that the maker of the e6 and Atto 3 is likely to miss India targets by over 70 to 80 percent in 2023.
- BYD sold around 2,000 units in India in 2022
- Currently has the e6 MPV and Atto 3 EV SUV in its India portfolio
- Atto 3 line-up will get a new variant soon
Localised BYD Atto 3 and Seal launch delayed
Not only BYD has witnessed product delays, but it has also faced challenges on securing homologation certificates for its sought-after SUV, the Atto 3. Resultantly, the localised version of the SUV and imported Seal high-performance electric sedan, which were scheduled to launch this year, have both been moved to 2024, say people in the know.
The government’s Directorate of Revenue Intelligence earlier in the year fined BYD to the tune of $9 million, as per a Reuters report, for underpaying taxes – an episode that may have also posed a significant headwind to the company’s expansion plans.
The Reuters report stated that BYD had not met the necessary conditions to benefit from the lower tax rates, making the automaker liable to pay either 70 percent or 100 percent based on the car’s value. The penalty has been paid and the company will now look to achieve the numbers in 2024 similar to the numbers it had planned in 2023.
“The focus on India has not waned in any which way, it has, in fact gotten even more active. The plans are aggressive for 2024 and the company is confident of doing significantly better next year once the homologation is done,” said a person close to the developments.
Apart from meeting the ecosystem frequently during 2023, the company is close to securing a homologation certificate for Atto 3 in November. By 2024, BYD will have two different versions of SUV – the current version and the new one that will come with an advanced motor. There will also be the e6 and the new Seal.
While the brand has not been able to accelerate its India story, it continues to be the leader in the Rs 30 lakh-50 lakh segment ahead of Hyundai and Kia thanks to the good response to its models. “Demand is not an issue at all, it is about getting the supplies in place to build volumes in the country. India is seen as a critical international base for BYD’s emerging markets plan,” said a source.
BYD had plans of ramping up assembly at its facility on the outskirts of Chennai, which has a capacity to produce about 20,000 vehicles per annum. Beyond that, the company has been in discussion with alliance partner Megha Engineering and Infrastructures Ltd (MEIL) for local manufacturing – a proposal on the same has been presented to the government already.
The company had sold close to 2,000 units in 2022, this year too, with sales of 2500 units, it will post 20-25 percent growth.
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