Sales top 10,000 in a year as aggressive pricing drives rapid gains
Riding the wave of rising oil prices and aggressive pricing strategies, China’s largest electric vehicle maker BYD is making bold inroads into South Korea, a market traditionally dominated by Hyundai Motor and German luxury marques.
Just 15 months after entering the market in January 2025, BYD has emerged as one of the fastest-growing imported car brands.
BYD sold 1,664 vehicles here in March, ranking fourth among imported brands behind Tesla, BMW and Mercedes-Benz, according to data compiled by the Korea Automobile Importers & Distributors Association. It is the highest ever ranking by a Chinese carmaker in Korea.
The carmaker’s total sales have now crossed the 10,000-unit milestone.
BYD’s swift rise has largely driven by its aggressive pricing. The Atto 3, the brand’s flagship compact crossover, is priced at approximately 33 million won for its top trim before subsidies, roughly 7 million cheaper than comparable domestic offerings, Hyundai’s Kona Electric and Kia’s EV3.
The Dolphin, a subcompact hatchback launched in February, comes with an even striking price tag of 24.5 million won. When factoring in government EV subsidies, the cost falls into the low 20 million won range.
Despite its lower price, the Dolphin comes with advanced features, such as advanced driver assistance Systems, large touchscreen displays, ventilated seats and heated seats, even on its lower trims.
“BYD has firmly established itself in Korea with the launch of the Dolphin,” said Kim Pil-soo, an automotive engineer professor at Daelim University. “By introducing a highly competitive model, the company is likely to further increase its market share.”
The company’s growth has accelerated further this year. In this first quarter alone, BYD sold 3,968 vehicles, accounting for nearly 65 percent of its entire sales volume of over 6,000 from last year.
The Sealion 7 led the charge during the January-March period, with 2,084 units sold, followed by the Atto 3 with 784 and the Dolphin compact SUV with 684 units after its February launch.
“Verification of battery safety and the expansion of a nationwide service network have helped address early concerns,” a BYD Korea official said. “Consumers are positively evaluating not only the price competitiveness, but also their overall product quality.”
Behind the company’s rapid growth is its agressive showroom expansion. BYD now operates 32 showrooms nationwide, trailing only BMW, Mercedes-Benz and Volvo among imported brands, and tying Audi for fourth. It plans to expand its number of dealerships to 35 by the end of the year.
BYD appears to be deliberate about where it opens its showrooms, targeting emerging affluent neighborhoods and districts popular with younger consumers, in an effort to raise brand visibility among buyers who are more open to new technology and less attached to traditional brands.
The recent rise in oil prices may also be working in BYD’s favor.
Industry officials said demand for EV had increased as global crude prices climbed following tensions in the Middle East. In Korea’s imported car market, electric vehicle accounted for 47.8 percent of all new registrations in March, overtaking hybrids for the first time, according to KAIDA.
“Amid higher oil prices and cautious consumer spending, more consumers are seeking affordable electric vehicles, and that has contributed to our strong performance,” the BYD official said.
Kim echoed the stance, adding with rising oil prices, affordable Chinese EVs are becoming more attractive. “The global EV slowdown has not disappeared, but in South Korea, the combination of higher EV subsidies and expensive oil prices is helping EV gain momentum again,” he said.
BYD’s growing success is also paving the way for other Chinese EV brands to enter the South Korean market. Zeekr, premium EV brand uner China’s Geely Automobile Holdings — which also owns Volvo and Polestar — is entering the country with the launch of its 7X SUV in the first half.
Another EV brand Xpeng is preparing to make debut this year, following stting up a local unit last June.
sahn@heraldcorp.com
