BYD's Formula S Undercuts Tesla in China as Overseas Assembly Lines Multiply
Published on 09/22/2026 at 06:41 | Editorial boerse-global.de
BYD has unveiled a new model family under its Fang-Cheng-Bao brand, pairing a sub-190,000-yuan sticker with charging claims that stretch the boundaries of what mainstream EVs currently deliver. The Formula S line arrives as the Chinese automaker simultaneously deepens its manufacturing footprint from Southeast Asia to South Asia and weighs a far more ambitious build-out across Europe.
The flagship sedan is rated for up to 900 kilometers of range on China's CLTC cycle, with a GT variant joining the lineup. A rear-wheel-drive entry version, quoted at 750 kilometers, carries a price of 189,900 yuan — 45,600 yuan below the 235,500-yuan starting point of Tesla's base Model 3 in China. The longest-range 900-kilometer trim lists at 209,900 yuan, while all-wheel-drive versions climb to 239,900 yuan.
Underpinning the push is the second generation of BYD's Blade battery, mated to rapid-charging hardware. The company says the pack can go from 10% to 70% in five minutes under ideal conditions, and reach 97% in nine minutes. To support the technology domestically, BYD intends to roll out charging stations rated at up to 1,500 kilowatts. No official confirmation has been given for a European launch of the Formula S models.
Price Cuts at Home, Export Muscle Abroad
The new nameplates come alongside fresh discounts on existing vehicles. The effective retail price of the Champion edition of the Han DM-i sedan in China has dropped to 105,800 yuan, against a regular list range of 165,800 to 289,800 yuan.
Production outside China is scaling up in parallel. The Rayong plant in Thailand, opened in July 2024, is emerging as a key hub: roughly 40% of the vehicles built there in the first half of 2026 were destined for export. More than ten countries are supplied from the site, among them Australia, India, Malaysia and parts of Europe. The facility currently runs at a monthly capacity of 5,000 to 6,000 vehicles on a single shift.
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Pakistan is the next frontier. Local partner Mega Motor Company announced that assembly of the SEALION 6 will begin there in the fourth quarter of 2026, a shift from pure imports to on-the-ground production. Building local manufacturing capacity is widely seen in the industry as a way to soften import restrictions and respond more nimbly to regional market conditions.
Four European Plants on the Drawing Board
Europe features prominently in the longer-term blueprint. BYD plans to establish four plants on the continent — three for vehicle assembly and one for EV batteries, according to Bloomberg. The plans were outlined on Thursday by Alfredo Altavilla, a former Fiat-Chrysler executive who advises BYD in Europe. The continent's expansion was already in focus among market participants the previous Friday.
The worldwide drive is rooted in mounting pressure at home, where a bruising price war has squeezed automaker margins for months and made more profitable overseas sales channels essential.
BYD had already raised its global sales targets sharply on September 8, aiming to sell more than 2.5 million vehicles outside China by 2027. Hitting volumes of that scale depends as much on trade policy as on industrial execution, with access to new key markets shaping whether the goals remain within reach.
Diplomacy could lend a hand. Chinese government officials are weighing whether to include BYD in a business delegation accompanying President Xi Jinping to a summit with Donald Trump in Washington on September 24, Bloomberg reported. Senior figures, including Xi's chief of staff Cai Qi, are reviewing a list of leading Chinese corporate names.
Investors Weigh the Cost of Expansion
Despite the operational momentum, shareholders are feeling the strain of the persistent price battle. The stock closed the previous session at EUR 9.09, up 0.6%, but is down 15% since the start of the year.
Western rivals are under growing pressure. Hyundai, pointing to price advantages of as much as 40% enjoyed by Chinese vehicles, is lobbying for the retention of protective tariffs, while European automakers find themselves increasingly on the back foot. The combination of fast-paced model development, falling prices and expanding foreign production looks set to keep margin pressure across the sector elevated in the months ahead.
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