EV Daily | Tesla Faces Challenges in China as BYD Sets Speed Record; Hyundai Expands US Operations

【Tesla】

The Tesla Model Y continues to be a leading electric vehicle globally, although its sales in China are declining, with a 6% drop year-to-date. Despite this, Tesla's Gigafactory in Shanghai continues to benefit from a free trade zone status. Competition is rising in China, with the YU7 poised to outsell the Model Y by year's end, although price cuts on Tesla’s new Model Y could shift dynamics.

Tesla declined a $60 million settlement in an Autopilot wrongful death case, resulting in a $243 million verdict, including $200 million in punitive damages. This reflects Tesla's reluctance to settle cases it deems unjust, although it has accepted settlements in other cases. Tesla plans to appeal.

Tesla's Cybertruck is launching in South Korea, marking its first market outside North America, although demand has dropped significantly after a high initial interest.

【BYD】

BYD’s Yangwang U9 Track Edition set a new global EV speed record at nearly 300 mph. The U9, launched in February, already features 1,300 hp, but the Track Edition model will exceed 3,000 hp. This marks a milestone for BYD, positioning it as a significant player in the electric supercar sector.

【Others】

Xiaomi's YU7 has been challenging Tesla's Model Y in China, with substantial pre-orders and strong initial deliveries. The YU7 is part of Xiaomi's strategy to penetrate the EV market, echoing the success of its SU7 against the Model 3.

Hyundai's IONIQ 5 and IONIQ 9 are leading in affordable EVs in the US, with competitive leases and access to Tesla Superchargers. The company's investment in US production targets increased market presence, while the upcoming IONIQ 2 or 3 is expected to debut at the Munich Motor Show.

Toyota is launching its 2026 C-HR electric SUV, a compact crossover with improved design and a potential range of 290 miles. It will be available with different powertrains, including electric and hybrid versions.

Alef is testing the world's first electric flying car, the Model A, which has received Special Airworthiness Certification from the FAA and secured agreements with airports, aiming to begin operations soon.

Hyundai is expanding its US operations with a $26 billion investment, boosting production, including the IONIQ 5 and 9 models, and creating 25,000 jobs.

E-bike maker Riese & Müller paused exports to the US due to unpredictable steel tariffs, highlighting trade challenges facing the e-bike industry. This move may foreshadow broader issues for other premium brands amid a shifting tariff landscape.