Nation waives tariffs on BYD imports ahead of local production
Automotive Logistics, 31 Jan '25
Chinese electric vehicle (EV) manufacturer BYD aims to complete a US$ 1 billion plant in Indonesia by the end of 2025.
According to a leading global news agency, BY's commitment to the project is allowing it to temporarily export vehicles to Indonesia without paying duties.
The facility is under construction in Subang, West Java, with an annual production capacity of 150,000 vehicles. BYD currently exports the Seal, Atto, Dolphin, and M6 models to Indonesia from China.
Eagles Zhao, President of BYD Indonesia, stated that initial production from the plant would be directed towards the domestic market, with long-term plans to include exports.
As part of its strategy to expand EV sales in the ASEAN region, BYD has also established a plant in Rayong, Thailand, with an annual production capacity of 150,000 EVs and batteries.
BYD's global expansion efforts include a production facility in Uzbekistan, launched last year in collaboration with Uzavtosanoat, and an upcoming factory in Hungary, scheduled for completion in 2025.
A plant in Brazil, initially expected to open in March 2024, has faced delays after construction was suspended in December due to reports that workers were living in conditions comparable to forced labour.
In response, BYD has severed ties with the construction firm Jinjiang Construction Brazil.
To support exports from China to Europe, BYD launched its third roll-on/roll-off (ro-ro) vessel in January. The LNG-powered Hefei has a capacity of 5,000 vehicles and will be used to transport BYD's new energy vehicles to Europe, facilitating the company's international expansion.
In October 2023, BYD also signed a memorandum of understanding (MoU) with Hyundai Glovis to share vessel capacity for deep-sea shipments of finished vehicles between China and its export markets.