BYD's Honor Edition Propels Qin Plus to Top Sales Spot

TMTPOST--Since BYD introduced its Honor Edition models in February, the sales of Qin Plus has ranked first in Chinese market for four consecutive months. Meanwhile, the sales of six BYD's models have made it into the top ten in the auto sector from February to May, up from four models in the same period last year.

The recently launched Qin L and Dolphin 06 models, equipped with DM5.0 technology boasting a fuel consumption of 2.9L/100Km and priced in a range starting from 99,800 yuan, have been put under the limelight once again. BYD has refrained from disclosing order volumes for fear of unsettling the industry.

Upcoming BYD models featuring DM5.0 technology are scheduled for release, aligning with the company's 2024 sales target of 3.6 million vehicles. As of May, cumulative sales reached 1.2713 million units, achieving 35.31% of the yearly target.

BYD has also recorded a stellar stock performance, which has soared by 53.08% since bottoming out in early February, outperforming peers within its sector and industry. Despite this, BYD’s share price is expected to experience a continued surge.

DM5.0 is expected to accelerate the penetration rate of plug-in hybrids (PHEVs). Historically, pure electric vehicles (EVs) have dominated new energy vehicle sales, maintaining over 80% market share. With advancements like BYD's DM-i super hybrid technology introduced in 2021, which reduced fuel consumption to 3.8L/100Km, there has been a growing market acceptance of PHEVs as they offer the dual advantage of low fuel consumption and the option for electric-only driving.

In contrast, while the market penetration of EVs has risen substantially in recent years, there has been a decline in their market share from January to May 2024 compared to the previous year. In the first five months of 2024, the market penetration of PHEV has continued to rise. The ratio of pure EV to PHEV sales has decreased steadily, sliding to 1.62 in the first five months of 2024.

Calculating with DM5.0's reported fuel consumption of 2.9L/100Km, driving costs are approximately 23.2 yuan (US$ 3.17) per 100 kilometers. In comparison, pure electric vehicles consume about 14-18 kWh per 100 kilometers, with daytime public charging prices averaging 1.3-2 yuan per kWh (including service fees). Therefore, the driving cost of pure EVs averages about 26.4 yuan per 100 kilometers, even higher than DM5.0-equipped PHEVs.

The breakthrough of DM-i models in the first half of 2021 led to rapid growth in BYD's PHEV sales, achieving parity with pure EVs in the latter half of the year. This trend continued into 2022, with BYD's PHEVs accounting for over 60% of the domestic PHEV market share.

However, by 2023, growth in BYD's PHEV sales noticeably slowed, widening the gap with pure EV sales and reducing BYD's domestic PHEV market share to 41% by the end of 2023. The release of the Honor Edition models in 2024 boosted BYD's PHEV sales, which surpassed pure EV sales once again, and secured a 53.65% market share in the domestic PHEV market by April. With DM5.0-equipped PHEV models entering the market, PHEV sales are expected to outpace pure EVs once more, becoming the major booster for BYD's sales.