November 18 marks the 30th anniversary of the establishment of BYD and the roll-out of its 10 millionth new energy vehicle (NEV). BYD thus becomes the first automaker globally to achieve this milestone, representing a significant breakthrough for the company and a new milestone in the development history of China's automotive industry.

Last month, BYD sold over 500,000 vehicles in a single month for the first time, setting a new sales record for both Chinese and global automakers in NEV monthly sales. From January to October this year, BYD's passenger vehicle sales reached 3.237 million units, surpassing last year's total sales of 3.02 million units. This not only consolidates BYD's dominant position in the domestic market but also propels it to the forefront of the global NEV market.

In 30 years, BYD has risen from a small workshop with a 20-person startup team to the pinnacle of the industry. Its rise serves as a model for other Chinese automakers and brings confidence and hope to the development and take-off of China's automotive industry. So, how did BYD manage to achieve all this?

01 From 30,000 to 300,000 monthly sales in just four years

In 1994, Wang Chuanfu abandoned his "iron rice bowl" job and led a team of over 20 people to found BYD. Over the past three to four decades, many private automakers have emerged in China, and there is no shortage of visionary and daring automotive professionals. However, what sets Wang Chuanfu apart is his bold move in the 1990s to install batteries in cars, making BYD one of the earliest automakers globally to research and develop NEVs. In 2003, despite skepticism from investors, Wang Chuanfu insisted on acquiring Xi'an Qinchuan Automobile, officially entering the automotive industry.

BYD's journey in automaking has not been smooth, with numerous challenges along the way. Due to inexperience, BYD's first model, the "316," which cost hundreds of millions and countless efforts, failed. In response, Wang Chuanfu decisively discontinued the "316" and, along with BYD engineers, disassembled and studied dozens of best-selling cars to build new cars from scratch, leading to the birth of the best-selling "F3."

Despite models like the F3 and F0, BYD still faced a downturn. In 2009, BYD began to struggle in the market, entering a period of silence that lasted a decade, with monthly sales hovering around 30,000 units. In 2019, BYD's non-GAAP net profit was only over 200 million yuan, while R&D investment that year was over 8 billion yuan. Many investors and partners lost hope and left BYD. However, Wang Chuanfu believed that "R&D investment is not burning money but saving it," persisting in his NEV dream and continuous technological development.

In 2020, with the launch of the "Blade Battery," BYD finally achieved a breakthrough, starting its comeback: 730,000 units sold in 2021, a year-on-year increase of 75.4%; 1.869 million units in 2022, a surge of 152.5% year-on-year; and 3.024 million units in 2023, a year-on-year growth of 61.86%.

Building on its large volume of 3 million units, BYD has not stopped progressing. By October 2024, cumulative sales from January to October reached 3.237 million units, continuing a significant year-on-year growth of 36.5%. From an average monthly sales of 36,000 units in 2020 to 320,000 units in 2024, BYD achieved a complete comeback in just four years, soaring to new heights.

02 Years of hibernation, now a legend, with technology as its greatest confidence

BYD took 15 years to achieve its first 5 million units but only 15 months for the second 5 million, setting a new "acceleration" record for Chinese automakers and reaffirming the correctness of BYD's adherence to the NEV path and technological innovation.

As the world's NEV sales champion, BYD formulates strategies with a technological perspective, adhering to the development philosophy of "technology as king, innovation as foundation." This is BYD's greatest confidence and the foundation of its success. BYD's achievements in adhering to NEVs and technological innovation are the result of years of hibernation and accumulation:

The Blade Battery launched in 2020 is the culmination of an 18-year commitment to the lithium iron phosphate route; the DM-i Super Hybrid launched in 2021 builds on a 17-year dedication to plug-in hybrid technology; the e-Platform 3.0 launched in 2021 is the fruit of an 11-year focus on electric vehicle platformization; and the YiSiFang technology launched in 2023 realizes BYD's 19-year-old vision of a four-motor system.

To date, BYD's cumulative R&D investment exceeds 160 billion yuan, with the first three quarters of this year alone seeing investments of 33.32 billion yuan. With nearly 110,000 R&D personnel, BYD has the largest R&D team among automakers globally. The phrase "accumulate thick and deliver thin, proceed steadily and see far" perfectly describes BYD.

Since July 2024, BYD has consistently ranked among the top three globally in monthly sales, being the only automaker maintaining high growth rates amidst high sales volumes. Simultaneously, BYD's global reputation and influence continue to expand, with its NEV products now available in over 400 cities across 96 countries and regions, and its globalization efforts accelerating.

With the roll-out of the 10 millionth NEV, BYD not only sets a new world record but also writes a new chapter in the development of China's automotive industry, contributing to the transformation and upgrading of the global automotive industry.

03 Premiumization and internationalization will be new challenges for BYD

At the 30th-anniversary celebration and the launch of the 10 millionth NEV on November 18, BYD released "The Soul of Engineers: BYD at 30 (1994-2024)." The book, written by renowned media personality and humanities-finance observer Qin Shuo, provides an external perspective on BYD through nearly 100 in-depth interviews with senior executives and employee representatives, amassing 200 hours of audio recordings and approximately 1.5 million words of content.

On the occasion of its 30th anniversary, Wang Chuanfu also announced a 3 billion yuan charity fund focused on education, establishing scholarships at universities nationwide and donating dissected NEVs to vocational schools, museums, and science centers as educational exhibits to spark students' interest in automotive technology and industrial manufacturing, fostering the development of more outstanding engineers.

BYD's sales target for 2024 is "to maintain over 20% growth based on 2023's 3.02 million units," amounting to 3.62 million units. Ten months into the year, BYD has already achieved sales of 3.237 million units, with a target completion rate close to 90%. The set target of 3.62 million units seems overly conservative, and based on the current pace, annual sales in 2024 are estimated to be around 4-4.5 million units.

Rumors suggest that BYD's production and sales target for 2025 may rise to 6 million units. If true, this poses a significant challenge for BYD, with premiumization and internationalization emerging as key breakthrough points.

BYD's premiumization journey involves not only the upward development of its main brand but also its three premium sub-brands: Yangwang, Denza, and Fangchengbao, which will shoulder the responsibility of pushing BYD forward. Especially Denza and Fangchengbao, with more affordable pricing, will take on the task of increasing sales volumes. Enhancing their brand recognition, market acceptance, and influence will be BYD's next challenge.

In terms of internationalization, BYD exported 31,000 units in October, setting a new record. Although BYD's overseas reputation has significantly improved compared to previous years, to achieve the 6 million-unit production and sales target, export volumes need to increase rapidly.

A notable detail is that BYD invited many overseas media outlets to its 30th-anniversary and 10 millionth NEV roll-out ceremony, demonstrating its emphasis on overseas market expansion. It should be noted that with the incoming Trump administration next year, the US may impose tariffs on Chinese goods, potentially pressuring the export market.

For BYD, the 30th anniversary is not an endpoint but a new starting point. As a world champion, BYD can be proud of its current achievements but must continue to advance in a rapidly changing market to maintain its position and influence, or it risks being overtaken by "upcoming waves." Whether BYD can continuously break through, keep moving forward, and lead China's automotive industry to a higher and broader stage is worth anticipating.