China's BYD reports quarterly sales drop for first time in five years

According to a new Reuters report citing documents from the Chinese company, BYD's car sales in the third quarter of 2025 fell by 2.1% compared to the same period in 2024.

Although the drop is small, it is the first quarterly decline for BYD since the second quarter of 2020, when the world experienced widespread disruptions due to the Covid-19 pandemic.

In the third quarter of 2025, the company sold 1.106 million cars. If we take September alone, the decline is more noticeable: 5.88% less than in September last year. This is the first monthly decline in sales since February 2024.

In response, BYD cut production by another 8.46% last month, continuing its trend of underutilization of its capacity. The company also lowered its annual sales forecast by 16% to 4.6 million vehicles.

However, BYD's expansion in Europe should partially offset slowing demand in other markets. By the end of the year, the company plans to open an electric vehicle factory in Hungary, which will allow it to compete better in the EU by avoiding higher tariffs on Chinese electric cars.

Recall that in September 2025, BYD first led the new car market in Ukraine. The company's most popular models were BYD Song Plus and BYD Leopard 3.