As the global automotive landscape shifts towards electric vehicles (EVs), Chinese company BYD is positioning itself to take the lead. At a recent shareholder meeting in Shenzhen, CEO Wang Chuanfu announced ambitious plans for BYD to become the largest automaker in the world within the next five years, leveraging its growing international presence.
BYD’s growth strategy hinges on expanding its footprint beyond China, where it faces intense competition. Leading this charge is Stella Li, the company’s executive VP and a pivotal figure in its international strategy. Over her three-decade tenure, Li has been instrumental in transforming BYD from a mobile phone battery manufacturer to a leading EV producer.
Li’s approach to international growth involves extensive travel—spending 70% of her time abroad—to meet with governmental and business leaders, recruit local talent, and tailor market-specific strategies. Her efforts are exemplified by grand showcases, such as the launch of BYD’s luxury vehicle at the Paris Opera House, which has earned her initiatives the nickname “The Stella Show.”
BYD’s move away from internal-combustion engines in 2022 marked a significant shift, focusing on EVs and plug-in hybrids. By 2024, its global sales hit 4.27 million units, placing it fourth in the global market. In 2025, BYD achieved a milestone by selling 4.6 million new-energy vehicles, becoming the top EV seller worldwide, surpassing Tesla in pure-electric sales, as noted by Wired.
International markets have become crucial for BYD, with overseas sales doubling in 2025 to over 1 million vehicles. The company is focusing on regions like Europe, Southeast Asia, and Latin America, where it can leverage higher pricing to counteract domestic price wars. In May, BYD reported overseas sales of more than 160,000 units, an 80% increase from the prior year, and aims for 1.5 million international sales in 2026.
Despite these gains, BYD navigates significant challenges, including fierce price competition in China and regulatory and labor issues abroad. The U.S. market remains elusive due to tariffs and political barriers, while Europe presents hurdles like EU subsidy investigations and labor rights allegations at its Hungary plant.
BYD’s International Strategy
Li’s tenure at BYD has seen the company establish a strong international presence. Starting with BYD Europe in 1998, she spearheaded expansions into the U.S. and Japan. Her early days involved building credibility with skeptical Western partners, a role that has evolved as the company’s influence has grown.
Li’s pioneering spirit was evident during a pivotal moment in 2000 when she addressed a Paris battery conference, positioning China as a future leader in the mobile phone and battery markets. This speech marked a turning point, attracting major clients like Nokia and Motorola, and paving the way for BYD’s international expansion.
Overseas Challenges
BYD’s expansion is not without difficulties. The company faces scrutiny from European regulators and labor rights groups, particularly concerning its Hungarian operations. Alleged violations include excessive work hours and poor labor conditions, which BYD has addressed by emphasizing its commitment to compliance with local laws.
Beyond Europe, BYD confronts challenges in Brazil, where it and its contractors face accusations of labor exploitation. These issues come at a time when BYD is seeking to alleviate domestic pressures by reinforcing its global market presence. The competitive Chinese EV market, characterized by aggressive pricing strategies, poses additional hurdles.
In the face of these challenges, BYD is investing in new technologies such as ultrafast charging systems and infrastructure, aiming to broaden its appeal beyond EVs to traditional gasoline vehicles. The company plans substantial investments in European charging infrastructure to support this goal.
While U.S. market entry remains blocked, BYD is exploring alternatives, such as expanding in Mexico, potentially providing indirect access to North America. However, geopolitical tensions, including the Pentagon’s designation of BYD as aiding China’s military, complicate these efforts.
Future Prospects and AI Developments
BYD is also looking to the future with ambitions in artificial intelligence and robotics. The company’s efforts in developing advanced driver assistance systems and household robots echo strategies pursued by competitors like Tesla. Despite the challenges of integrating sophisticated AI with hardware, BYD believes its vertical integration gives it an edge in this emerging field.
Stella Li, reflecting on the company’s potential in robotics, stated, “It’s not the brain … It’s the body,” underscoring the technical challenges that remain. As BYD continues to innovate, it remains poised to redefine its role in the global automotive and technology landscapes.
Original Story at fortune.com