Huge Surge… No grants?
BYD, once a relatively unknown name outside of China, is now making serious waves in the UK, and has been for over two years now! In September 2025, the UK suddenly became BYD’s largest international market, with more than 11,000 cars sold in a single month. That’s a bold number and it’s especially striking given that many BYD models were excluded from the UK’s new EV Grant. So why is BYD booming here anyway and what does it mean for the rest of the industry?
BYD’s Rise in the UK
- In September 2025, BYD sold 11,271 cars in the UK - up nearly 880% year on year.
- That surge pushed BYD’s UK market share to 3.6%, putting it in second place behind Tesla for EV sales in the UK.
- Across the first nine months of 2025, BYD has reportedly delivered 35,600 vehicles in the UK.
- It’s not just about the fully electric models, BYD’s hybrid cars are also performing very strongly.
How This Happens - Even Without the Grant
Here’s the key: BYD is doing all of this despite being shut out of the new grant scheme. Why? Because:
- The UK grant excludes many Chinese made cars due to the ‘sustainability criteria’ tied to manufacturing emissions.
- Despite that, BYD’s value proposition is extremely compelling. It’s pricing is aggressive, undercutting a lot of established rivals and making it an attractive option for cost conscious buyers.
- BYD’s model mix helps, they offer both fully electric and plug in hybrid options, broadening their appeal in the UK.
- Their leadership team is pushing the brand hard, the company is executing on a global ambition’s playbook, scaling fast, building capacity and adapting to different markets.
What BYD’s Surge Reveals about the EV Market
Policy vs Market Power - The UK’s grant is a powerful policy tool, but BYD’s success shows that scale and cost competitiveness can trump subsidy protection. Even without the grant, they’re winning and that’s a big red flag for automakers relying solely on subsidies to maintain market share.
Structural Vulnerabilities - Some analysts argue that the UK’s EV strategy is too reliant on incentives and doesn’t sufficiently consider industrial strength. BYD’s rise underscores a risk - if domestic or EU manufacturers don’t compete on cost and scale, they may struggle long term.
Changing Consumer Behaviour - BYD isn’t just a niche brand now. It’s rapid growth suggests a shift in consumer mindset, buyers are less brand loyal and more focused on value, practicality and affordability in EVs.
Supply Chain Implications - BYD’s global scale, research and development and manufacturing capabilities mean that they’re not just selling cars, they are building a serious strategic presence. That could reshape how EV supply chains operate, potentially forcing more localisation, investment, or partnerships.
What this means for European and UK Original Equipment Manufacturer (OEMs)
Long established manufacturers (especially in Europe) might find themselves under real pressure. BYD’s model shows that if you don’t keep costs down and scale up, you’re vulnerable, even in a grant subsidised market. Some OEMs will need to rethink their production and investment strategy. Instead of just chasing EV quotas, they might need to double down on efficiency, local manufacturing, or new business models.
For UK focused players, BYD’s growth could be a wake up call. The protected world of incentives isn’t enough, real competitive advantage comes from building compelling products that deliver on price and performance, not just on subsidies.
Conclusion
BYD’s UK surge isn’t just a success story, it’s a statement. Despite being excluded from the EV grant, it’s proving that value and scale matter more than policy alone. For the UK automotive industry, that’s a big deal. It signals that the EV transition isn’t just about incentives, it’s about building competitive, efficient and globally relevant manufacturers.
Visit Swansway’s BYD dealerships and book a test drive today to see what all the fuss is about!
