BYD eyes two more car factories in Europe, puts France on shortlist

Chinese automaker BYD is considering building two additional car factories in Europe as part of its continued expansion on the continent, with France among the countries under consideration for a new production site.

According to reports on the company's plans, BYD's interest in France is partly driven by the country's relatively competitive energy costs, a factor that can significantly affect the economics of large-scale vehicle manufacturing.

The move would mark a further step in BYD's broader strategy to establish manufacturing capacity directly within Europe, reducing its reliance on vehicle exports from China and potentially easing some of the trade tensions that have arisen over Chinese electric vehicle imports into the European market.

European Union officials have in recent years scrutinized Chinese automakers' export practices, including through tariffs targeting Chinese-made electric vehicles, a dynamic that has pushed several Chinese manufacturers to explore local production as an alternative strategy.

BYD already operates or has announced manufacturing plans in other European countries, and the potential addition of two more factories would further expand its production footprint on the continent.

No final decision on the location or locations of the new factories has been announced, and the company has not provided a specific timeline for when such facilities might begin construction or operation.

The French government has in recent years sought to attract foreign investment in its automotive and energy-intensive industries, framing competitive energy pricing as part of its pitch to manufacturers considering new production sites in the country.