- BYD has made wide-ranging price cuts to its Dynasty and Ocean series models, offering discounts of 10 percent to 30 percent.
- Analysts believe this could lead to further price competition in China and spark more rivals to follow suit.
BYD (HKG: 1211, OTCMKTS: BYDDY) has began to offer wide-ranging price discounts on its Dynasty and Ocean lineup of models, which analysts say heightens the risk of a price war.
Customers who buy BYD-branded models before June 30 can get discounts of about 10 percent to 30 percent, according to the new energy-vehicle (NEV) maker's Weibo posts yesterday.
These discounts mainly cover BYD's affordable models priced under RMB 150,000 ($20,890), although the Xia MPV (multi-purpose vehicle), which costs more than RMB 200,000, is also included.
The Ocean range's Seagull has a limited-time starting price of RMB 55,800, down from the official guide price of RMB 69,800.
The Dynasty series Qin Plus DM-i is priced from RMB 63,800 for a limited time, down from the official guide price of RMB 79,800.
These discounts are for BYD's latest smart driving Edition models, not for older models as previously.
A poster shared by Lu Tian, head of BYD's Dynasty series, showed that the discounts for Dynasty models do not include government trade-in subsidies, while a poster shared by Zhang Zhuo, head of sales for BYD's Ocean series, showed that the subsidies for the Ocean series include government trade-in subsidies.
BYD price discounts available in China till Jun 30, 2025
| Lineup | Model | Discounted Price (RMB) | Official Guide Price | Change (RMB) | Change (%) |
|---|---|---|---|---|---|
| Ocean | Seagull | 55,800 | 69,800 | -14,000 | -20.06% |
| Ocean | Seal 05 DM-i | 59,800 | 79,800 | -20,000 | -25.06% |
| Ocean | Sealion 05 DM-i | 72,800 | 102,800 | -30,000 | -29.18% |
| Ocean | Seal 06 DM-i | 76,800 | 99,800 | -23,000 | -23.05% |
| Ocean | Dolphin | 77,800 | 99,800 | -22,000 | -22.04% |
| Ocean | Seal 06 GT | 109,800 | 136,800 | -27,000 | -19.74% |
| Ocean | Song Plus DM-i | 99,800 | 135,800 | -36,000 | -26.51% |
| Ocean | Song Plus EV | 117,800 | 149,800 | -32,000 | -21.36% |
| Ocean | Seal 07 DM-i | 102,800 | 155,800 | -53,000 | -34.02% |
| Ocean | Sealion 07 EV | 149,800 | 189,800 | -40,000 | -21.07% |
| Dynasty | Qin Plus DM-i | 63,800 | 79,800 | -16,000 | -20.05% |
| Dynasty | Qin L DM-i | 79,800 | 99,800 | -20,000 | -20.04% |
| Dynasty | Song Pro DM-i | 89,800 | 102,800 | -13,000 | -12.65% |
| Dynasty | Song L DM-i | 109,800 | 135,800 | -26,000 | -19.15% |
| Dynasty | Yuan Up | 84,800 | 99,800 | -15,000 | -15.03% |
| Dynasty | Yuan Plus | 103,800 | 115,800 | -12,000 | -10.36% |
| Dynasty | Han DM-i | 143,800 | 168,800 | -25,000 | -14.81% |
| Dynasty | Han EV | 154,800 | 179,800 | -25,000 | -13.90% |
| Dynasty | Tang DM-i | 154,800 | 179,800 | -25,000 | -13.90% |
| Dynasty | Xia | 217,800 | 249,800 | -32,000 | -12.81% |
| Dynasty | Qin Plus EV | 93,800 | 109,800 | -16,000 | -14.57% |
| Dynasty | Song L EV | 164,800 | 189,800 | -25,000 | -13.17% |
Deutsche Bank analyst Wang Bin's team attributed the price discounts to rapid growth in dealer inventories in a research note today.
In the first four months of 2025, BYD dealer inventories increased by about 150,000 units, equivalent to half a month's retail sales, according to the team.
"According to our dealer checks, BYD's dealer-level inventory is currently at 3-4 months, likely the maximum level that the dealers can bear," Deutsche Bank wrote.
As a result, BYD has decided to launch more promotions to reduce dealer inventory, the team said.
The increase in dealer inventories is largely due to BYD's ambitious sales targets, with the company aiming to sell 5.5 million vehicles in 2025, representing a 30 percent year-on-year increase, Deutsche Bank noted.
However, BYD's retail sales in the first four months were up just 15 percent year-on-year, the team said.
The team attributed the weak retail sales to a disappointing volume of new orders for its God's Eye autonomous driving campaign.
Deutsche Bank believes BYD's additional price discounting measures could lead to further price competition in the mass-market price range and trigger more competitors to follow suit.
For example, Dongfeng Motor just this week cut the starting price of its eπ 007 sedan from RMB 132,000 to RMB 120,000, a reduction of 9 percent, or about RMB 12,000, Deutsche Bank noted.
Update: Added content on state subsidies.
($1 = RMB 7.1806)
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