The largest Chinese electric vehicle manufacturer, BYD, ended 2025 with sales of 4,550,036 passenger cars, a 7.1% increase compared to 2024. However, December showed a decrease - 414,784 vehicles, 18.6% less than the previous year, and 12.7% less than in November. This is the fourth consecutive month that sales have fallen year-on-year, causing analysts to revise their expectations for 2026.
The electric vehicle segment as a whole showed positive dynamics: BYD sold 2,254,714 electric vehicles, which is 27.9% more than in 2024. The plug-in hybrid (PHEV) figure was lower - 2,288,709 units, which is 7.9% less than the previous year, and in December the drop was 25.7% compared to last year. These figures reflect a dual dynamic: the growth of pure electric vehicles and the gradual decline in the popularity of PHEVs.
In the domestic market, BYD is facing difficulties. Sales of the brand in China decreased by 35% in November, and the overall decline for the year will exceed 10%. One of the reasons analysts cite is the revision of the state subsidy policy and growing competition from other Chinese electric vehicle manufacturers, such as Geely and Leapmotor, which offer more affordable models.
An important factor in BYD's success has been its expansion into foreign markets. In 2025, car sales outside of China exceeded 1 million units for the first time - 1,046,083 cars, which is 150.7% more than in 2024. These results make international markets a key driver of the company's growth and reduce its dependence on domestic demand.
The electric vehicle division already accounts for almost half of the company's sales - 49.6%, while PHEVs account for 50.4%. Compared to 2024, this is significant progress: then electric vehicles accounted for only 41.5% of total sales. This shift demonstrates BYD's strategic focus on pure electric vehicles, which is in line with the global trend towards decarbonization and the demand for environmentally friendly transport solutions.
Despite the successes achieved, BYD has adjusted its annual forecast. Initially, the company planned to sell 5.5 million cars, and in some analytical scenarios, growth was expected to reach 6.5 million. In September, the target was reduced to 4.6 million units, which BYD achieved. Nevertheless, pressure in the domestic market and high competition in 2026 create risks of underperforming new ambitious plans.
Thus, 2025 showed that BYD is able to maintain leadership and increase international sales, but 2026 will be a serious test. The company's success will largely depend on its ability to strengthen its position abroad and adapt to new conditions in the Chinese market, where competition and regulation are becoming increasingly stringent.