On 18 July, BYD announced major expansion plans for its dealership network in Vietnam, signalling its intent to expand within the country and region. 

Thirteen new dealerships are to open their doors this week, which is slated to rise to more than 100 within the next two years.

In addition to opening dealerships in Vietnam, BYD also has existing plans to build a domestic EV manufacturing facility, although it is understood that these plans have slowed more recently. Perhaps the world’s leading EV maker has shifted its strategy slightly, pivoting towards imports and exposure in the short term to enter the market more aggressively. This would then open the door wider to begin EV production domestically in the future once a stronger foothold has been established.

Increasing its presence is an integral part of BYD’s strategy globally to raise customer awareness of the brand. As Chinese EV makers battle for market share, presence and consumer exposure can go a long way to increasing sales against rivals. This approach has also been seen in Europe, with BYD being a major sponsor in the Euro 2024 football tournament in Germany this year. Having increased brand awareness and easy access to experiencing the vehicles first-hand is evidently a strong strategy for BYD in Vietnam.

Southeast Asia is seen as a critical market for many Chinese EV makers, as they look to take share from the legacy Japanese and South Korean automakers that have historically dominated vehicle sales. OEMs such as Toyota still see large ICE and EV sales volumes, but for BEVs/PHEVs, Chinese EV makers are making significant gains. Low production costs and the proximity to production in China keeps prices attractive to consumers as they look to switch from ICE to BEV/PHEV.