Editing BYD Auto (section)

=== 2006–2020: New energy vehicle efforts and sales stagnation ===
[[File:Picture of BYD's first electric car, BYD-001.png|thumb|Picture of BYD's first experimental electric vehicle, labeled the "BYD-001".]]
BYD began exploring hybrid and electric vehicles as early as 1997, before acquiring Xi'an Qinchuan Automobile. In that year, Wang Chuanfu, as part of his research into electric vehicles, purchased a BJ6490D, an electric car made by [[BAW|Beijing Second Auto Works]] that was built off an imported [[knock-down kit]] of the [[Holden Commodore (VN)|Holden Commodore VN]] station wagon. The BJ6490D was powered by [[golf cart]] batteries, with a range of about {{convert|100|km|mi|0|abbr=on}} and a top speed of {{convert|92|km/h|mph|0|abbr=on}}. Later, BYD acquired a second BJ6490D, which was subsequently converted into a hybrid vehicle.<ref>{{Cite web |last=Newton |first=Bruce |date=2020-05-26 |title=Was this VN Holden Commodore the first EV in China? |url=https://www.carsales.com.au/editorial/details/was-chinas-first-ev-a-vn-holden-commodore-124410/ |access-date=2024-08-26 |website=Carsales |language=en-AU}}</ref><ref>{{Cite web |last=Newton |first=Bruce |date=2020-05-27 |title=Holden Commodore was a Chinese EV! |url=https://evcentral.com.au/holden-commodore-was-a-chinese-ev/ |access-date=2024-08-26 |website=EV Central |language=en-US}}</ref>

At the 2004 [[Beijing Auto Show]], alongside its petrol-powered concept cars, BYD unveiled the BYD Flyer EF3, an electric sedan. Based on the BYD Flyer, the Flyer EF3 was initially intended for production in 2005, with a focus on serving as a taxi in Shenzhen. However, this plan did not materialise.<ref>{{Cite web |last=de Feijter |first=Tycho |date=2020-08-03 |title=China Concept Cars: The 2004 BYD Flyer Variants |url=https://chinacarhistory.com/2020/08/03/china-concept-cars-the-2004-byd-flyer-variants/ |access-date=2024-08-26 |website=ChinaCarHistory |language=en-US}}</ref> Two years later at the 2006 Beijing Auto Show, BYD showcased another electric car called the BYD F3e. Based on the BYD F3, the car had an [[all-electric range]] of more than {{convert|300|km|mi|0|abbr=on}}, and was planned to be produced within 3 years from 2007. In December 2010, a BYD Auto general manager confirmed that the company had cancelled plans for its production due to the lack of support in charging infrastructure.<ref name="Beissmann-2010">{{Cite news |last=Beissmann |first=Tim |date=2010-12-07 |title=BYD F3e EV production plans abandoned |url=https://www.drive.com.au/news/byd-f3e-ev-production-plans-abandoned/ |access-date=2023-11-15 |website=Drive}}</ref>

In 2006, BYD established the Electric Vehicle Research Institute, an internal entity dedicated for the R&D and trial production of parts for new energy vehicles and the whole vehicle, including battery electric vehicles and plug-in hybrid vehicles.<ref name=":0" />

In 2008, Wang Chuanfu set a goal for the company to become the leader in the Chinese automotive market by 2015, and to become the largest car manufacturer globally by 2025.<ref name=":0">{{Cite web |date=2008-12-18 |title=王传福："两个第一"的目标不是凭空捏造-搜狐汽车 |trans-title=Wang Chuanfu: The goals of "two firsts" are not fabricated out of thin air |url=https://auto.sohu.com/20081218/n261286939.shtml |access-date=2024-04-24 |website=Auto Sohu}}</ref> Wang stated that electric vehicles would serve as BYD's "stepping stone" to skip the development of internal combustion engine vehicles and facilitate the company's entry into international markets, including Europe and North America.<ref>{{Cite web |date=2008-10-20 |title=王传福：比亚迪将直接跨越到电动汽车-搜狐汽车 |trans-title=Wang Chuanfu: BYD will leap directly to electric vehicles |url=https://auto.sohu.com/20081020/n260123623.shtml |access-date=2024-04-24 |website=Auto Sohu}}</ref>
[[File:2008 BYD F3DM.png|thumb|The 2008 [[BYD F3DM]] at the BYD Museum. It is the first modern, mass-produced [[plug-in hybrid]] vehicle globally.]]
In March 2008, the [[plug-in hybrid|plug-in hybrid electric]] version of the BYD F3, the [[BYD F3DM|F3DM]], was introduced as the world's first [[production model]] plug-in hybrid car at the [[Geneva Motor Show]] in Switzerland.<ref>{{Cite web |last=Fallah |first=Alborz |date=2008-03-04 |title=BYD stand 2008 Geneva Motor Show |url=https://www.drive.com.au/news/byd-stand-2008-geneva-motor-show/ |access-date=2024-04-05 |website=Drive |language=en-AU}}</ref><ref name="Anderson-2012">{{Cite book|last=Anderson|first=G. E.|url=https://books.google.com/books?id=OnlQzQV5qdEC&q=byd+f3&pg=PA153|title=Designated Drivers: How China Plans to Dominate the Global Auto Industry|date=2012-06-19|publisher=John Wiley & Sons|isbn=978-1-118-32885-9|language=en}}</ref> Initially, the F3DM was offered in China as a [[fleet vehicle]] for governments, banks and other institutions, until [[Retail|retail sales]] started in March 2010 when the Chinese government started granting subsidies for new energy vehicles.<ref>{{cite web |author=Scott Doggett |date=23 March 2010 |title=BYD Auto to Offer F3DM Plug-in Hybrid to Chinese Individuals Starting Next Week |url=http://blogs.edmunds.com/greencaradvisor/2010/03/byd-auto-to-offer-f3dm-plug-in-hybrid-to-chinese-individuals-starting-next-week.html |url-status=dead |archive-url=https://web.archive.org/web/20100330091520/http://blogs.edmunds.com/greencaradvisor/2010/03/byd-auto-to-offer-f3dm-plug-in-hybrid-to-chinese-individuals-starting-next-week.html |archive-date=30 March 2010 |publisher=AutoObserver}}</ref> The vehicle had low sales, with only 100 units sold by 2011.<ref name=":7" />

In January 2009, BYD introduced its first production battery electric vehicle, the e6 at the 2009 [[North American International Auto Show]] in [[Detroit]].<ref>{{Cite web |last=Filipponio |first=Frank |date=2009-01-12 |title=Detroit 2009: BYD e6 - world's first production dual-mode plug-in hybrid crossover |url=https://www.autoblog.com/2009/01/12/detroit-2009-byd-e6-is-worlds-first-production-dual-mode-plug/ |access-date=2024-04-01 |website=Autoblog |language=en}}</ref> It is powered by a battery pack codenamed "Fe", which provides a claimed electric range of {{convert|400|km|mi|0|abbr=on}}.<ref>{{Cite web |last=Popa |first=Bogdan |date=2009-01-13 |title=2009 BYD e6, World's First Production Pure Electric Vehicle |url=https://www.autoevolution.com/news/2009-byd-e6-world-s-first-production-dual-mode-plug-in-hybrid-3220.html |access-date=2024-04-01 |website=autoevolution |language=en}}</ref> While plans to sell the vehicle to the general public in the US were shelved, the company sold the e6 in the US as a [[fleet vehicle]] in a limited number.<ref>{{Cite web |date=2009-08-22 |title=BYD Plans Limited Introduction of e6 EV in US Next Year |url=https://www.greencarcongress.com/2009/08/byde6-20090822.html |access-date=2024-04-01 |website=Green Car Congress}}</ref><ref>{{Cite web |last=Ingram |first=Antony |date=2013-05-08 |title=BYD e6 Chinese Electric Car Won't Be Sold To Consumers In U.S. |url=https://www.greencarreports.com/news/1084033_byd-e6-chinese-electric-car-wont-be-sold-to-consumers-in-u-s |access-date=2024-04-01 |website=Green Car Reports |language=en}}</ref><ref name="feb2016">{{cite news |last=King |first=Danny |date=2016-02-27 |title=BYD plug in sales grow globally, but US future remains cloudy |url=http://www.autoblog.com/2016/02/27/byd-plug-in-sales-grow-globally-us-future-uncertain/ |access-date=2024-04-01 |work=[[Autoblog.com]]}}</ref>

In May 2009, [[Volkswagen AG]] considered forming a partnership with BYD in the area of hybrids and electric vehicles, having signed a [[memorandum of understanding]].<ref>{{Cite web |date=2009-05-26 |title=Volkswagen Signs MoU with BYD Auto to Explore Hybrid, Electric Vehicle Development |url=https://www.spglobal.com/marketintelligence/en/mi/country-industry-forecasting.html?id=106595494 |access-date=2024-10-15 |website=S&P Global}}</ref> Volkswagen withdrew from the partnership after conducting [[due diligence]].<ref name=":7" /> 
[[File:Byd e6 crossover1.jpg|thumb|The [[BYD e6]], showcased at the 2010 [[North American International Auto Show]] in [[Detroit]], US]]
In July 2009, BYD acquired Hunan [[Midea Group|Midea]] Coach Company, a bus manufacturer based in [[Hunan]], allowing it to manufacture buses and coaches and enter the commercial vehicle market. The plant in [[Changsha, Hunan]], reportedly received a CN¥ 3 billion investment for development.<ref>{{Cite web |date=2015-03-06 |title=BYD aims to strengthen presence in Europe through contracts with transport authorities |url=https://www.spglobal.com/marketintelligence/en/mi/country-industry-forecasting.html?id=1065998857 |access-date=2025-04-02 |website=S&P Global}}</ref> BYD started producing [[Electric bus|battery electric buses]] as part of a pilot scheme initiated by the Chinese government.<ref name="O-2022" /> It signed a deal to supply 1,000 [[BYD K9]] electric buses to the [[Hunan]] Government in China. The buses have a range of {{convert|305|km|mi|0|abbr=on}} per charge with a top speed of {{convert|70|km/h|mph|0|abbr=on}}, a charging time of six hours and 50% fast charging in 30 minutes.<ref name="Beissmann-2010" />

In 2010, BYD Auto Industry Co., Ltd. and Daimler AG, now known as [[Mercedes-Benz Group AG]], formed a 50-50 [[joint venture]] named Shenzhen BYD Daimler New Technology with a brand named [[Denza]] to focus on research and development of new energy vehicles. The brand showcased a concept car called the Denza EV at [[Auto China]] in April 2012.<ref>{{Cite news |date=2012-04-23 |title=Daimler/BYD joint venture introduces DENZA EV concept at Auto China 2012; BYD introduces new dual-mode Qin |url=https://www.greencarcongress.com/2012/04/denza-20120423.html |access-date=2023-12-12 |website=Green Car Congress}}</ref> Denza was later restructured in 2021, when BYD took control of the brand by taking a 90% stake in the venture.<ref name="O-2022">{{Cite web |last=O |first=Meemi |date=2022-07-27 |title=Introducing BYD (Part 1) |url=https://www.investorinsights.asia/post/introducing-byd-part-1 |access-date=2023-11-11 |website=Investor Insights |language=en}}</ref> Mercedes-Benz withdrew entirely from the joint venture in September 2024.<ref name=":03">{{Cite web |date=2024-09-16 |title=【图】腾势汽车正式告别合资公司，奔驰低调退出_汽车之家 |trans-title=BYD Denza officially bids farewell to the joint venture, and Mercedes-Benz quietly withdraws |url=https://www.autohome.com.cn/news/202409/1300536.html#pvareaid=102624 |access-date=2024-09-16 |website=Autohome}}</ref>

In August 2013, BYD launched the Dynasty Series product line with the introduction of the [[BYD Qin]], a plug-in hybrid electric vehicle variant of the petrol-engine [[BYD Surui]]. The Qin was designed to replace the [[BYD F3DM]], an earlier plug-in hybrid model. The Qin quickly became the best-selling plug-in electric vehicle of early 2014.<ref>{{cite news |date=2014-03-20 |title=BYD's QIN is announced "China's Q1-2014 Best-Selling Electric Vehicle" and the Quarter is not even over |url=https://www.businesswire.com/news/home/20140320006293/en/BYD%E2%80%99s-QIN-is-announced-%E2%80%9CChina%E2%80%99s-Q1-2014-Best-Selling-Electric-Vehicle%E2%80%9D-and-the-Quarter-is-not-even-over |accessdate=2022-04-17 |publisher=[[Business Wire]]}}</ref><ref>{{cite news |author=Danny King |date=2012-04-19 |title=BYD's Qin sedan will replace poor-selling F3DM |url=http://green.autoblog.com/2012/04/19/byds-qin-sedan-will-replace-poor-selling-f3dm/ |access-date=2012-04-21 |publisher=Autoblog Green}}
</ref><ref>{{cite news |date=2012-04-22 |title=Daimler/BYD joint venture introduces DENZA EV concept at Auto China 2012; BYD introduces new dual-mode Qin |url=http://www.greencarcongress.com/2012/04/denza-20120423.html |access-date=2012-04-25 |publisher=Green Car Congress}}
</ref>

In November 2016, the company hired [[Wolfgang Egger]] as BYD Auto's head of design. Egger, who built his career at [[Alfa Romeo]], [[Audi]], and [[SEAT]], created his first design for BYD, the Dynasty concept, a concept electric SUV that was displayed at the 2017 [[Shanghai Auto Show]] and previewed the design of the [[BYD Tang#Second generation (2018)|second-generation BYD Tang]].<ref>{{Cite web |last=Ansari |first=Usman |date=2017-05-20 |title=Audi Design Head Joins BYD of China |url=https://carspiritpk.com/audi-design-head-joins-byd-china/ |access-date=2023-11-14 |website=CarSpiritPK |language=en-US}}</ref><ref>{{Cite web |last=Sieren |first=Frank |date=2021-04-22 |title='As a designer, you have more room to maneuver in a Chinese company' • China.Table |url=https://table.media/china/en/feature/as-a-designer-you-have-more-room-to-maneuver-in-a-chinese-company/ |access-date=2023-11-14 |website=China.Table |language=en-US}}</ref><ref>{{Cite web |last=Maillard |first=Chris |date=2016-11-07 |title=Who's Where: Wolfgang Egger hired by BYD |url=https://www.cardesignnews.com/whos-where/whos-where-wolfgang-egger-hired-by-byd/30914.article |access-date=2023-11-14 |website=Car Design News |language=en}}</ref>

Before 2020, BYD heavily relied on [[government subsidies]] to generate profit from its plug-in hybrid and battery electric vehicles. In 2016, the company received approximately [[United States dollar|US$]]1 billion in [[Government incentives for plug-in electric vehicles|new energy vehicle subsidies]], surpassing its net profit for that year, and accounted for over 20% of BYD's US$5 billion in revenue from new energy vehicle sales that year.<ref>{{Cite web |last=Huang |first=Echo |date=2019-03-26 |title=Beijing gave its biggest electric-vehicle maker $1 billion in help toward a single year of sales |url=https://qz.com/1579568/how-much-financial-help-does-china-give-ev-maker-byd |access-date=2023-12-23 |website=Quartz |language=en}}</ref> Rhodium Group estimates that BYD received approximately US$4.3 billion in state support between 2015 and 2020.<ref>{{Cite web |last=Cheng |first=Evelyn |last2=Kharpal |first2=Arjun |date=2024-01-04 |title=Musk once laughed off BYD as a threat. Now the Chinese giant has taken Tesla's EV crown — here's how |url=https://www.cnbc.com/2024/01/05/how-byd-grew-from-a-phone-battery-maker-to-ev-giant-taking-on-tesla.html |access-date=2025-04-02 |website=CNBC |language=en}}</ref>

Between 2017 and 2019, BYD faced challenges due to a reduction in government subsidies.<ref>{{Cite web |last=Kawase |first=Kenji |date=2019-04-24 |title=For some Chinese companies, generous state subsidies make up for losses |url=https://asia.nikkei.com/Spotlight/Cover-Story/For-some-Chinese-companies-generous-state-subsidies-make-up-for-losses |access-date=2024-02-06 |website=Nikkei Asian Review}}</ref><ref>{{Cite journal |last=Haley |first=Usha C. V. Haley and George T. |date=25 April 2013 |title=How Chinese Subsidies Changed the World |url=https://hbr.org/2013/04/how-chinese-subsidies-changed |journal=Harvard Business Review |via=hbr.org}}</ref><ref>{{Cite web |last=Huang |first=Echo |date=2018-08-29 |title=The worst is not yet over for BYD |url=https://qz.com/1368687/the-worst-is-not-yet-over-for-byds-earnings/ |access-date=2024-02-06 |website=Quartz}}</ref><ref>{{Cite web |last=Huang |first=Echo |date=2019-08-07 |title=Beijing's subsidy cut is starting to hurt China's largest electric car company |url=https://qz.com/1683042/beijings-subsidy-cut-is-starting-to-its-largest-evE-maker-byd/ |access-date=2024-02-06 |website=Quartz}}</ref> This led to a significant slowdown in sales and a sharp decline in net profit over three consecutive years. In 2019, the company's net profit dropped to only CN¥1.6 billion. During this period, Wang Chuanfu stated that the company's primary goal was merely "to survive".<ref>{{Cite web |date=2023-09-08 |title=回顾创业艰辛几度哽咽，比亚迪王传福："真的差点就走不下去了" |trans-title=Looking back on the hardships of starting a business, he choked up several times. BYD Wang Chuanfu said: "I almost couldn't go on." |url=https://m.yicai.com/news/101831534.html |access-date=2023-12-13 |website=m.yicai.com}}</ref>