BYD Company Limited or BYD () is a Chinese multinational manufacturing conglomerate headquartered in Shenzhen, Guangdong, China. It is a vertically integrated company with several major subsidiaries, including BYD Auto which produces automobiles, BYD Electronics which produces electronic parts and assembly, and FinDreams, a brand name of multiple companies that produce automotive components and electric vehicle batteries.
BYD was founded by Wang Chuanfu in February 1995 as a battery manufacturing company. Its largest subsidiary, BYD Auto, was established in 2003 and has since become the world's largest manufacturer of plug-in electric vehicles. Since 2009, BYD's automotive business has accounted for over 50% of its revenue, surpassing 80% by 2023. The company also produces rechargeable batteries (including handset batteries, electric vehicle batteries, and energy storage systems), forklifts, solar panels, semiconductors, and rail transit systems. Through its subsidiary, FinDreams Battery, BYD was the world's second-largest electric vehicle battery producer in 2024, holding a 17% market share, behind CATL.
Since 2022, BYD has been China's largest private-sector employer, ranking behind several state-owned enterprises. As of September 2024, the company employs 900,608 people, including 104,003 in research and development (R&D). It also leads in patent filings, having submitted over 13,000 patents between 2003 and 2023. In 2024, the World Intellectual Property Organization (WIPO)’s Madrid Yearly Review ranked BYD's number of marks applications filled under the Madrid System as 10th in the world, with 73 trademarks applications submitted during 2024. BYD's stock is listed on the Hong Kong Stock Exchange (H shares) and the Shenzhen Stock Exchange (A shares). The company ranked 143rd on the Fortune Global 500 in 2024.
Name
"BYD" is the pinyin initials of the company's Chinese name Biyadi. The company was originally known as Yadi Electronics (亚迪电子), named after the Yadi Road in Dapeng New District, where the company was once based. According to Wang Chuanfu, when the company was registered, the character "Bi" (比) was added to the name to prevent duplication, and to provide the company with an alphabetical advantage in trade shows. As the name "BYD" had no particular meaning, BYD started adopting a backronymic slogan "Build Your Dreams" when it participated at the 2008 North American International Auto Show in the US.银柿财经 (Silver Persimmon Finance), "王传福：比亚迪“Build Your Dream”是这样来的 " (Wang Chuanfu: origins of BYD's "Build Your Dream"), 2 April 2022A Small Showing, but With Big Dreams NICK BUNKLEY Published: 12 January 2009
History
Early years On 18 November 1994, Wang Chuanfu gathered a team of 20 people and founded BYD in Buji Town, Longgang District, Shenzhen. The company was formally founded on 10 February 1995 as Shenzhen BYD Battery Company Limited with CN¥ 2.5 million of capital, with a focus on producing rechargeable nickel–cadmium (NiCd) batteries. Wang founded the company after noticing an opportunity presented by the shift in Japanese companies from NiCd to high-value nickel–metal hydride (NiMH) and lithium-ion (Li-ion) batteries while he was working as a vice supervisor at the Beijing Nonferrous Research Institute. He moved to Shenzhen with his cousin Lu Xiangyang and started the company in 1995 to capitalize on the opportunity.
BYD's business grew by implementing a redesigned manufacturing approach by incorporating more manual labour, in contrast of the capital-intensive and highly automated processes in Japan. This manufacturing process, along with in-house production of key machinery, contributed to a reduction in unit costs compared to Japanese competitors by around five or six times lower. The company also developed advancements in battery technology, including foamed nickel roller welding, which improved electrode performance.
BYD's cost-efficient production methods attracted major clients. In 1996, BYD secured an order from Sanyo, marking its entry into the global battery supply chain. By 1997, amid the Asian financial crisis, Philips, Panasonic, and Motorola became BYD's major clients.
In 1998, BYD's first branch outside China, BYD Europe B.V., was opened in the Netherlands. It also established a branch in the United States called BYD America Corporation in 1999. BYD opened its first industrial park in Kuichong, Shenzhen in 2000.
BYD started producing mobile phone components in the early 2000s. By July 2002, BYD became the world's leading NiCd battery manufacturer, surpassing Sanyo, accounting for 65% of global production.
In September 2002, Sanyo filed a patent infringement lawsuit against BYD, alleging that BYD infringed on its patents related to the constitution of the bare cell of Li-ion batteries and the structure of Li-ion battery packs.
In 2007, Taiwanese electronics manufacturer Foxconn sued BYD for unfair competition and misappropriating confidential data. Lawsuits were filed in Hong Kong and Shenzhen, alleging BYD obtained trade secrets from former Foxconn employees. Previously, BYD had faced unsuccessful patent infringement claims from Sony and Sanyo.
In December 2007, the BYD Electronics division is listed on the Hong Kong Stock Exchange after multiple delays due to legal disputes with Foxconn.
Entry to automotive industry
On 31 July 2002, the company underwent an initial public offering (IPO) on the Hong Kong Stock Exchange. The company announced its target to become the world's second-largest battery firm. Shortly after the IPO, BYD acquired a small automotive manufacturing company, Xi'an Qinchuan Automobile, from state-owned defense company Norinco in January 2003, which was met with disapproval from shareholders, as the plan was not disclosed in the prospectus. Qinchuan was acquired with the intention of developing battery-powered electric vehicles. BYD's first cars were conventional petrol vehicles such as the BYD F3, with production starting in April 2005. The model gained market share by offering a low price and was considered successful.
The company produced its first plug-in hybrid vehicle, the BYD F3 DM in 2008, followed by its first production battery electric vehicle, the BYD e6 in 2009.
For eleven years, from 2009 to 2020, BYD's automobile business stagnated, with annual sales hovering between 400,000 and 500,000 vehicles, while other local manufacturers experienced growth. From 2020, BYD's sales have grown significantly, driven in part by the rapid increase in new energy vehicle sales in China. Since 2021, it started exporting passenger cars to key markets such as Europe, Latin America, Southeast Asia and Australia.
Berkshire Hathaway investment In September 2008, MidAmerican Energy Holdings, a subsidiary of Warren Buffett's Berkshire Hathaway Inc, invested about US$230 million for a 9.89%Car Designer Sees China's Wheels Electric-powered BYD Press Release, 12 May 2009 share of BYD at HK$8 per share. Buffett credited this investment to Charlie Munger, Berkshire's vice chairman who saw the potential in the company. Since 2022, Berkshire had gradually reduced its shareholding in BYD after its share price increased significantly. , Berkshire held a 6.9% stake in BYD. By September 2025, Berkshire had completely exited its investment in BYD.
In 2009, BYD purchased a Chinese solar panel manufacturer to enter the solar panel industry. It began building a 100-megawatt solar power plant in Shangluo, Shaanxi, at a cost of CN¥ 500 million.
By 2009, the company secured its position as the second-largest producer of NiMH batteries and the third-largest in Li-ion batteries. In 2012, BYD had captured more than half the world's mobile phone battery market and was the largest Chinese manufacturer (and in the top four globally) of all types of rechargeable batteries.
In June 2011, BYD was listed on the Shenzhen Stock Exchange at CN¥ 18 a share. It raised CN¥ 1.42 billion yuan (US$219 million) in the initial public offering, which was below expectations, amid weak investor sentiment and concerns over its performance.
In 2016, BYD unveiled a working monorail prototype marketed as "Skyrail" () and announced they will enter the global rail transit market. The first public Skyrail line opened as a long loop line in Yinchuan's flower expo in 2018.
Between 2017 and 2019, due to several factors such as the slowdown of BYD Auto's sales, BYD saw its net profit has falling sharply for three consecutive years, especially in 2019 when it dropped to CN¥ 1.6 billion. Wang Chuanfu described it as the "darkest moment", since at that time the company had only one goal, which was to survive. However, Wang insisted on investing CN¥ 8.4 billion in research and development. In 2020, BYD received the equivalent of €2.1 billion in Chinese state subsidies.
Recent performance In 2020, BYD established four automotive component manufacturers spun off from BYD divisions under the FinDreams brand, with the intention of supplying parts to other automotive companies. That same year, it introduced the Blade battery, a lithium iron phosphate (LFP) battery for electric vehicles. While many battery manufacturers were shifting away from LFP due to concerns over energy density, BYD promoted the Blade as a safer alternative with competitive energy performance and energy density. The battery was first used in the BYD Han, a battery electric sedan released in 2020, and later adopted in subsequent models.
From 2020, BYD experienced a substantial surge in vehicle production and sales volume, partly attributed to the increasing popularity of new energy vehicles in China. It also initiated exports of electric vehicles to overseas markets from 2021, mainly to Europe, Southeast Asia, Oceania, and Latin America. In March 2022, BYD ended the production of pure internal combustion engine vehicles to focus on plug-in electric vehicles. In 2023, it introduced two new brands: Yangwang and Fangchengbao.
In November 2024, BYD hosted an event in Shenzhen to commemorate its 30th anniversary and the production of its 10 millionth new energy vehicle.
In the second quarter of 2025, BYD's quarterly profit fell for the first time in more than three years, with net profit totalling 6.4 billion yuan ($894.74 million), down 29.9% from the same period in 2024, as vehicle sales declined in its home market. Reuters reported that the Chinese government's campaign against price wars contributed to the slowdown in BYD's sales. In September 2025, Berkshire Hathaway sold its entire stake in BYD after a 17-year investment that generated a 3,890% return, having begun gradually reducing its position in 2022.
In the first quarter of 2026, BYD reported a net profit attributable to shareholders of 4.09 billion yuan ($594 million), a decline of 55.4% year-on-year, while revenue fell 11.8% to 150.23 billion yuan. Total vehicle sales for the quarter were down 30% year-on-year. Several factors contributed to the decline, including the partial withdrawal of national purchase tax exemptions for new energy vehicles at the start of 2026, as well as intensified domestic price competition. Overseas sales partly offset the domestic weakness, with deliveries reaching 321,165 units in the first quarter of 2026, an increase of 55.8% year-on-year, accounting for approximately 46% of total BYD vehicle sales for the period. BYD subsequently raised its full-year 2026 overseas sales target to 1.5 million units.
Subsidiaries and businesses BYD Auto