US designates BYD as a Chinese military company

The US Department of War has designated China’s new energy vehicle maker BYD (Build Your Dreams) as a Chinese military company.

“BYD is a military-civil fusion contributor to the Chinese defense industrial base because it is affiliated with MIIT and because it resides in or is affiliated with a military-civil fusion enterprise zone,” according to a statement released by Pentagon.

In 2023, India had rejected BYD's $1 billion investment proposal of setting up a manufacturing plant under Press Note 3, which required companies belonging to countries that share land border with India to seek a prior government approval to make foreign direct investment.

Despite the FDI rejection, BYD has become India’s sixth largest electric car producer. In the passenger EV segment, it sells models like the BYD e6, BYD SEALION 7, BYD eMAX 7, BYD ATTO 3 and BYD SEAL. As on today, BYD India has reached 14,000 customers. BYD India has a network of 48 showrooms across 40 cities.

BYD entered the Indian market in 2007, initially focusing on electric buses and commercial mobility solutions through its partnership with Megha Engineering & Infrastructure Ltd (MEIL). BYD has a technology partnership with MEIL’s Olectra Greentech for which it supplies batteries and key EV components.

A key differentiator in BYD's India journey has been its in-house innovation around the Blade Battery, an advanced lithium iron phosphate (LFP) battery designed for superior safety, longevity, and thermal stability, addressing key consumer concerns around EV adoption. Passenger vehicle companies such as Mahindra & Mahindra (M&M) and Maruti Suzuki India Ltd use BYD’s blade batteries for their EVs.

On Tuesday, BYD India showcased its Dual Mode Intelligent technology in India. This soon-to-launch technology offers a combined range of more than 1200 km.

BYD India has two factories in Tamil Nadu, covering more than 140,000 square metres, with an investment exceeding $200 million.