BYD is preparing one of the largest internal reforms in the company's history. According to Chinese media, the manufacturer intends to abandon its rigidly centralized car development scheme and grant its brands significantly more independence.
Under the new structure, the current BYD Automotive Engineering Research Institute will be divided into five separate development centers. The Dynasty, Ocean, Denza, Fang Cheng Bao, and Yangwang brands will each receive their own engineering divisions.
However, the central engineering organization will not disappear. Its role will change: the division will focus on core technologies, including Blade Battery, electric platforms, and vehicle electronic architecture. The development of specific models, chassis tuning, and product line formation will transfer directly to the brands.
In essence, BYD is trying to bring engineering solutions closer to real customer demand. Previously, the product strategy was primarily formed within a single development center, while the divisions responsible for sales and model promotion had limited influence on technical decisions.
The changes will affect not only engineers. The company will also implement separate financial reporting for each brand. Dynasty, Ocean, Denza, and Fang Cheng Bao will be responsible for their own profitability, while the premium Yangwang will temporarily retain a special status and will not be subject to strict financial performance requirements.
One of the reasons for the reform is the overlap of model ranges within the concern. In recent years, BYD has created several brands operating in similar price segments. As a result, cars from the Ocean and Dynasty lines often competed with each other for the same customers.
Significantly, the reorganization coincided with a deterioration in sales dynamics. In the first five months of 2026, BYD's vehicle sales decreased by approximately 20%, totaling 1.405 million units. Against this backdrop, the company is increasingly shifting its focus from simply increasing volumes to improving business efficiency and profitability.