BYD’s senior management set to visit India as Modi-Xi reset ties

BYD is gearing up for a renewed push into India, according to people familiar with the matter, as warming diplomatic ties pave the way for the Chinese electric-vehicle giant to penetrate the world’s most populous country. After managing operations remotely for five years, easing bilateral travel restrictions will allow BYD’s India Managing Director Ketsu Zhang to travel to the South Asian nation in the next couple of months, the people said, asking for anonymity to discuss private plans. The Shenzhen-based carmaker has already begun securing visas for senior managers and engineers that will enable the company to restart training programs, service machinery and assess the state of its factory in southern India, they added. At the same time, the world’s largest EV seller is weighing a launch of its Atto 2 compact electric SUV in India early next year, which will be the carmaker’s cheapest offering in the country and a direct challenge to local mass-market makers like Mahindra & Mahindra and Tata Motors. A BYD representative did not respond to an e-mail seeking comments on their senior leadership’s plans for visiting India or introducing a new cheaper car. Diplomatic thaw opens doors India’s resumption of business visas for Chinese travelers provides BYD with an opportunity to expand its presence in the country, something that had seemed out of reach just a few months ago amid frosty Sino-Indian ties. The diplomatic thaw is now expected to give BYD its best shot at establishing itself in the Indian market since its proposal to set up a manufacturing base in the country was rejected in 2023. BYD plans to price the Atto 2 well under the 2-million-rupee ($22,690) threshold despite a 70% local levy imposed on imported cars, underscoring intensifying competition in the mass market segment. Vinfast Auto last week announced the rollout of its VF6, a compact SUV and its cheapest model in India, with a starting price of 1.6 million rupees. BYD already offers four models in India including the Atto 3, and is the fourth-largest electric carmaker in India by sales. The company is also planning to seek local regulatory approval for roadworthiness that would enable it to import more vehicles than the current quota of 2,500 cars a year, the people said. On his visit, Zhang is expected to meet with Indian federal government officials in New Delhi before inspecting BYD’s passenger vehicle plant, the people said, adding that a few engineers have already been cleared to travel in recent weeks and that vice-president level executives are expected to follow soon. Other BYD senior leaders will apply for visas in the next few weeks, one of the people said. Previous tensions blocked investment Although India-China ties have been frayed since a 2020 border clash, New Delhi’s need for key minerals and technology from Beijing as well as shared economic concerns about U.S. tariffs are providing incentive for both nations to work through their differences. India and China agreed last month to resume direct flights after more than a five-year hiatus. Chinese President Xi Jinping met with Indian Prime Minister Narendra Modi in August — their first meeting since U.S. President Donald Trump returned to the White House — and Xi told Modi that they should not let border disputes define their relationship. The “right choice” is to be friends, Xi said. After the leaders met, BYD told its dealerships in India over a call that it saw ties between the two countries improving, people familiar with the matter said. Zhang was also invited by the Indian Embassy in China to be part of India’s Independence Day celebrations on August 15, they said. Local manufacturing push BYD’s immediate focus will be to gauge market conditions, the status of its existing factory and the viability of expanding its share of India’s passenger vehicle business, one of the people said. Executives are also likely to explore proposals concerning battery pack assembly at a later stage and no new investment announcements are planned during the initial round of visits, one person said. The company is exploring talks with the Adani Group for a tie-up on lithium-ion battery manufacturing, Bloomberg News reported last month, as Indian conglomerates increasingly tap Chinese firms for technology-led partnerships. BYD’s expansion in India would come at a time when India is stepping up efforts to attract global automakers and EV supply chains — potentially bolstering New Delhi’s ambitions to become a hub for clean vehicle manufacturing. By Alisha Sachdev

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BYD’s senior management set to visit India as Modi-Xi reset ties