While Tesla is still finalizing its plans for India, Chinese electric car maker BYD is already speeding ahead. BYD, which stands for “Build Your Dreams,” is quietly becoming one of the strongest players in India’s electric vehicle (EV) market.
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Known for making feature-packed electric cars at competitive prices, BYD is building a strong customer base. Their new luxury SUV, the Sealion 7, has caught the attention of Indian buyers. Priced at ₹48.90 lakh, the car offers top features like fast acceleration, long driving range, and stylish design. Many buyers have switched from traditional petrol or diesel vehicles to BYD, impressed by the high-tech offerings and comfort.
What’s more, this is not BYD’s first car in India. Their earlier models like the Atto 3 and Seal also did well. Buyers trust the brand because of its performance, smooth driving experience, and rich features like large screens, strong safety systems, and long-lasting batteries.
BYD is not aiming to compete with the biggest local EV brands like Tata Motors or Mahindra. Instead, it is focusing on the entry-level luxury segment—cars priced between ₹25 lakh and ₹55 lakh. This strategy is working well. In just one year, BYD’s market share rose from 1.95% to 3.16%. It even overtook big names like Hyundai and Citroën. In 2025, it sold over 3,400 electric cars in India, almost doubling its sales from the previous year.
All this growth has come despite a big challenge India charges high import duties of up to 110% on BYD’s cars, which are either fully built in China or assembled from imported parts.
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More Features, Lower Price: BYD’s Winning Formula
Compared to rivals in the same price range, like the BMW iX1, Hyundai Ioniq 5, or Kia EV6, BYD’s Sealion 7 offers better performance at a lower price. It goes faster, drives longer, and has a stronger battery. For example, the Sealion 7 can go up to 567 km on a single charge—more than most of its competitors.
BYD also makes sure its cars feel premium inside. Their models come with smart features like advanced safety systems, interactive touchscreens, and spacious interiors. Customers say they don’t feel the need to buy more expensive European brands when BYD offers similar or better features at a lower price.
A major reason behind this success is BYD’s control over every part of its car-making process. The company builds its own batteries, chips, and even the technology inside the cars. This helps them keep costs low and add more features without raising prices.
The company’s battery technology, known as “blade battery,” is especially popular. It is known for being strong and safe. Even global companies like Tesla and Mahindra use BYD’s battery technology in some of their cars.
Globally, BYD has also crossed Tesla in electric vehicle sales at least once, showing it is a serious competitor in the EV space. The Chinese company’s average selling price is also lower than Tesla’s, which gives it a big advantage in cost-sensitive markets like India.
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Roadblocks Slow Progress Despite Strong Start
Even with its growing popularity, BYD faces many challenges in India. The biggest issue is its “China” tag. Due to tensions between India and China, the Indian government has become cautious about allowing Chinese investments. This has directly affected BYD. In 2023, the Indian government rejected BYD’s plan to build a ₹8,000 crore ($1 billion) car factory in partnership with a local firm.
Government rules now make it difficult for Chinese companies to invest freely in India. BYD is also being investigated for allegedly paying less import tax on parts. These issues create uncertainty for the company and may affect how quickly it can expand.
Customers are also facing delays when it comes to servicing or repairing their cars. Most spare parts are imported, either from China or BYD’s Chennai unit. This means that even small issues, like a faulty sensor, can take weeks to fix.
Despite being in India since 2007 for other businesses, BYD only began selling electric passenger cars in 2021. Its fast rise since then is impressive, but the challenges remain. Political tensions, slow approvals, and long repair times may make some buyers think twice.
