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China’s electric vehicle giant BYD is gearing up for a fresh push into India as diplomatic ties between the two countries show signs of easing.
What’s going on: BYD had been running its India ops remotely for five years, but relaxed travel rules now allow its India MD Ketsu Zhang and senior execs to visit soon. As per reports, the company has started securing visas for managers and engineers to restart training, service equipment, and assess its southern India plant.
BYD is preparing to launch the Atto 2, a compact electric SUV, early next year. It will be the company’s cheapest model in India, priced below ₹20 lakh despite a steep 70% import duty. That puts it in direct competition with Tata Motors and Mahindra’s mass-market EVs. Rival Vinfast recently announced its own compact SUV, the VF6, starting at ₹16 lakh, raising the heat in India’s EV market.
Zoom out: India recently resumed business visas for Chinese travellers, a key step that gives BYD its best shot at scaling up since its 2023 manufacturing proposal was blocked. Already the fourth-largest EV seller in India, BYD currently sells four models including the Atto 3. It’s also seeking approvals to import more than the 2,500-car annual quota.
Big theme: India and China are showing signs of easing tensions following last few years of tensions. Business visas for Chinese executives, which had been suspended, are being gradually restored, opening the door for companies like BYD to re-engage in India.
PM Modi’s recent two-day visit to China for the SCO Summit in Tianjin, his first since the 2020 Galwan clashes marked a significant thaw in bilateral tensions
