BYD planning on California plant


According to various reports from both inside and outside of China, BYD maybe planning on building a factory in the sunshine state of California. BYD are reportedly deep in talks with the Californian government with regards to setting up BYD’s North American headquarters in California, which is famed for its progressive stance on new energy vehicles. An announcement on the location of the headquarters is likely to be announced within the next few months, and news on a production facility is likely to follow on from that announcement.

Americans got a taste of the future late last year when the BYD E6 was on show at the North American Auto Show in Detroit, whilst Europeans got their first look at the E6 at Geneva earlier this month with Euro sales commencing in 2011.

BYD is planning on becoming the worlds largest car company by 2025, and has an incredibly aggressive stance towards overseas expansion which has seen it grow from a tiny company in 2004 to a massive producer in 2009.

ash 010 web avatar BYD planning on California plant

Ash

Ash came to China at 18 on a whim and never left. Some 10 years later he collected a degree and a family along the way and now focuses his time on watching the Chinese car industry develop. He has witnessed the market change from being minor backyard market in to the world's biggest and most important market for all car manufacturers. You can contact or connect with him via Linkedin by clicking the 'Website' link.

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27 Comments so far, please add your thoughts!

  1. avatar Physiks says:

    Everybody loves the People’s Republic of California :)

  2. avatar cryptonx says:

    I just hope they don’t become .. TOO VISIONARY TO BE TRUE :)

    Where is Briklin now ? :D

  3. avatar 2o6 says:

    They’d better introduce cars that aren’t clones, or else California will turn on them really quickly.

    • avatar I __ H a t e __ C h i n a says:

      @ 2o6

      > They’d better introduce cars that aren’t clones, or else California will turn on them really quickly.

      BYD won’t produce clone cars in this California plant.

      However, it doesn’t make any financial sense to do so. There is a good reason why all the Prius are made in Japan, and why US market Sonata Hybrid are made in Korea even though all other Sonata models are made in Alabama, USA.

      BYD must have an annual sale of at least 100K/year to support a plant of any kind in California, be it a full-blown $1 billion plant or a simple CKD assembly shop, and I just don’t see E6 or F6DM selling in 100K/year in the US.

      Unless BYD is trying to get into green card selling business, where BYD helps Chinese investors get a US green card in exchange for $1 million investment, there are already two Chinese auto companies in the US built on this business model of selling US green card.

      • avatar woxihuanpijiu says:

        Only 2?? pales in comparison to the thousand’s of other illegal immigrants in cali…. (taking the piss, but illegal immigration is an issue everywhere).

        Funnily enough I agree with your other comments. For BYD to set up in California they better know what they are doing….. saying that though, didn’t the cali govt help GM kill off the EV1 by not supporting it enough??? That was pre Terminator days though….

      • avatar Ed says:

        BYD does have sales of over 100k a year, and it’s green technology definately adds more to the plan.

        • avatar I __ H a t e __ C h i n a says:

          @ Ed

          > BYD does have sales of over 100k a year

          I am talking about in the US.

        • avatar Ed says:

          It doesn’t matter where, if it’s going to become a global brand, then anywhere on earth is fine. Just because they are setting up a plant in the U.S. doesn’t mean they have to have sales of over 100k.

        • avatar dragin says:

          “…over 100K a year.”

          What part of that yearly production is EV or HEV, is what’s important for the success of BYD. Yinwei its gas engine vehicle production is all borrowed.

        • avatar Im a blithering idiot says:

          @ Ed

          > It doesn’t matter where

          Yes it does, because US-assembled BYD cars must be sold in the US and possibly in Canada, can’t be shipped to anywhere else.

          If the factory doesn’t run at a 90% capacity, then it will lose money, lots of it.

          > then anywhere on earth is fine.

          You ask yourself why all the Japanese and Korean auto plants are located by seaside, complete with in-factory port where car carrier ships dock.

          > Just because they are setting up a plant in the U.S. doesn’t mean they have to have sales of over 100k.

          Overhead cost of running a factory in the US is very high, such as wage, insurance, and taxes(Federal, state, local, and property taxes amounts of hundreds of millions of dollars per year). If the production volume isn’t high enough, BYD stands to lose $$$$$$$ on the underutilized factory.

        • avatar Ed says:

          If Hyundai, and other manufacturers can build cars and sell them elsewhere, then why can’t BYD? BYD can, and sales anywhere on earth IS fine. BYD doesn’t have to sell the cars in N.A., although this does help with their plans of expanding into the U.S. market. BTW, BYD has more than enough money to open up a factory in the States.

  4. avatar santos palisander says:

    The state is desperate for jobs at the moment. Maybe BYD could get a very favorably deal by taking over the former GM/Toyota
    factory in Fremont. As a very large facility, this could also serve as BYD’s headquarters for NA. It would be a win for all parties concerned.

  5. avatar tomson says:

    Do the BYD(Build Your Dreamcrap) actually thinks people will even go need their craps? I hope they waste all their money.

  6. avatar Robert says:

    I am waiting to buy a BYD car.

    BYD is building in Cali because Nissan Leaf all electric is launching in Cali too.

    Americans want electric cars. I know I do.

    • avatar Head Honcho says:

      Everyone wants electric cars but most don’t want any inconvenience that one will add to their life. As the technology is today you can really only safely use it as a in-town comuter car. No real trips and cold weather always causes problems for them. And as slow as they are developing it is going to be 10 years or more for full electrics to get any kind of grip in the US. Everything here is moving much to slow to allow electics to really have a chance with all consumers. Anyone basing their production and sales on mainly electics in the US is going to be pretty disappointed.

      BYD will produce gas cars or they won’t survive in the US and even with their gas cars there is a very possible chance they won’t survive. Sounds like it could just be a huge moneypit for them. They haven’t shown any signs of knowing what will sell in the US with any of their current production. It is hard to believe they are just instantly going to come out with good cars for sales in the US.

      • avatar Ed says:

        “cold weather always causes trouble for them”
        Depends on what kind of batteries you’re talking about, BYD
        ‘s batteries are fine in cold weather.
        “As the technology is today you can really only safely use it as a in-town car.”
        Actually, the speeds and range claimed by BYD is more than enough to handle highways and road trips. They are not proven yet, though BYD has done testing, but there is no reason to count them out.
        People in the United States do want electric vehicles, it’s just that there aren’t any good models on the market, and BYD could very possibly change the situation.

        • avatar Head Honcho says:

          Ed the BYD car isn’t even out yet and it is all claims as you even posted.

          You are almost posting what I just said. There are no models out that meet most peoples needs. The BYD car is not going to change the situation. That is something that is just impossible because at this point they can’t make a car up to the same standards as cars being sold in America. There aren’t even any Chinese cars where you are. When are you going to buy a Chinese car?

          Here is the real question. Why would BYD set a car factory up in California now? It will cost more to make their cars than in China. The difference in taxes on an imported one couldn’t be higher than the difference it will cost to make one in California and operate another factory far from home. It really doesn’t make too much sense. It can only help them get away from the Made in China image a little.

        • avatar Ed says:

          How the f*** would you know? It’s not even out yet, and my statements were based on BYD’s own tests, which are at least more reliable than your hot air. BYD doesn’t have to reaveal it’s plans to you, there are reasons, but you don’t have to know their purpose.

        • avatar Head Honcho says:

          What is up with your swearing? You have a really hard time with people not agreeing with you. How do you even survive in daily life? You must be one of those guys that everyone laughs at after you leave the room.

        • avatar woxihuanpijiu says:

          Without independent confirmation BYD’s own tests are as useful as used toilet paper. Even their own press releases over the past 2 years have changed a little as to the final performance specifications (less than initially quoted but still respectable).

          Ed, are you able to give us a link to the official BYD tests you are talking about as it would be an interesting read for some that are genuinely interested?

          Back to the original topic… Is it possible that the “yet to be announced officially” BYD factory in Cali will produce the “yet to be proven” battery tech for other manufacturers as well as automobiles? If the batteries are as good as they say they are then there are other market opportunities outside the automobile one.

          I ask because we are all assuming they are going to start making the E6 or other yet to be announced models there. BYD is a battery manufacturer as well.

        • avatar Ed says:

          What’s up with your stupidity? Why are you guessing based on nothing? Has BYD lied to you before?! They are not GM, or Toyota.

        • avatar Woxihuanpijiu says:

          Again, do YOU (Ed) have a link to official BYD battery data or plans for a proposed new factories use??

          What do GM and Toyota have to do with BYD opening a factory in Cali?

        • avatar Head Honcho says:

          Ed has nothing. He knows nothing about BYD and just gets on here to call names. He probably has never even seen one in person.

  7. avatar No Factory says:

    BYD MUST not build factories in the US. No hassles with the labor, union, culture and language issues. Not to mention the unfriendly relationship between the two countries.

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