Chinese EV makers, led by BYD, are racing abroad while home sales falter. After a year of fierce price wars and subsidy cuts, the sector’s growth has slowed and lofty valuations have faded. BYD’s Dolphin and SAIC‑owned MG Motor’s MG4 now line European, Australian and Latin American driveways, reflecting a push into export markets. The shift underscores China’s reliance on foreign demand to sustain growth.

China’s EV exports jumped to 2.6 million units last year, with just under half built in one of 16 overseas plants. AlixPartners projects overseas output will reach roughly 3.4 million cars by 2030. Yet domestic profit per vehicle has slipped significantly, about a third since its late‑2023 peak, squeezing margins as manufacturers fund aggressive pricing.

In March, BYD unveiled a battery capable of reaching 70 percent charge in five minutes, a technology that could differentiate its lineup but adds cost amid thinning earnings. Sales grew half the pace of expenses, trimming a fifth from profit and prompting a dividend cut. The stock, once valued at 40 times forward earnings, now still trades at roughly half that, reflecting a stark re‑rating.