BYD's Largest Recall Ever

"BYD has several advantages over Tesla. Among them is that the political activities of CEO Elon Musk have hurt Tesla sales in the United States and Europe. Most months this year, Tesla's sales have fallen sharply in most EU nations. In the third quarter of the year, Tesla's U.S. market share fell to under 45% of new EVs sold. That figure was closer to 80% a decade ago. And the disappearance of the $7,500 tax credit will likely weigh on the U.S. EV market."

"Another huge advantage over Tesla is that BYD's home is based in China, which is the world's largest EV market by far. BYD has started to diversify its sales base as it moves into Southeast Asia, South America, and Europe. There is a great deal of anxiety among U.S. manufacturers that the only reason BYD has not overwhelmed the U.S. EV market is that high tariffs have prevented it."

BYD recalled 115,000 vehicles because of design and battery problems, affecting Tang series and Yuan Pro models, according to regulator documents. The recall is the largest in BYD's history. BYD sold more EVs worldwide than Tesla for the past four quarters and is expected to maintain its lead. BYD benefits from being based in China, the world's largest EV market, and is diversifying into Southeast Asia, South America, and Europe. Tesla faces weaker sales in the U.S. and EU amid political controversies and the loss of a $7,500 tax credit. Early investor Warren Buffett realized large gains after a long-term stake in BYD.

Read at 24/7 Wall St.