KUALA LUMPUR, July 31 (Bernama) -- Bursa Malaysia ended higher on Friday as investors continued to accumulate blue-chip stocks in line with stronger performances across most regional markets. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 4.50 points to 1,724.90 from yesterday’s close of 1,720.40. The benchmark index opened 0.83 of a point higher at 1,721.23, and moved between 1,715.67 and 1,730.12 throughout the day. The broader market was positive with gainers outpacing losers 707 to 402, while 547 counters were unchanged, 1,085 untraded and 56 suspended. Turnover expanded to 3.03 billion units valued at RM3.56 billion from 2.49 billion units valued at RM2.25 billion on Thursday.
BYD, the world’s second-largest producer of electric vehicles (EVs) after Tesla, expressed strong opposition to the European Union’s planned tariffs on Chinese-made EVs, while outlining its strategy to produce nearly all the cars it sells in Europe locally. This move aligns BYD with other Chinese automakers accelerating their European manufacturing plans.
At the Paris car show, BYD Executive Vice President Stella Li revealed that the company will manufacture key components in Europe and assemble battery packs at its plants in Hungary and Turkey, importing only the battery cells from China. BYD faces an additional 17% tariff on top of an existing 10%, and is considering whether to pass these costs onto consumers or absorb them. The company does not expect to sell its vehicles in Europe for less than 30,000 euros (US$32,745).
Li criticized the EU’s tariff plans, stating, “Politicians should stay away from tariffs,” emphasizing that tariffs would increase manufacturing costs and disrupt the auto industry. Li also questioned the EU’s tariff calculations, calling them unfair.
Leapmotor International JV, controlled by Stellantis, also raised concerns about how the tariffs might influence which models are manufactured at Stellantis plants. CEO Tianshu Xin said it was too early to determine whether the company would pass the costs onto consumers but noted that Leapmotor could absorb some costs due to its in-house development capabilities.
BYD’s European expansion includes plans to produce almost all of its EVs in Hungary and increase sourcing from European vendors. The company aims to strengthen its supply chain in Europe, with other Chinese suppliers also setting up operations in the region. Exports remain central to BYD’s growth strategy, with assembly lines under construction in locations from Brazil to Uzbekistan.
Addressing BYD’s slow progress in Germany, Li acknowledged that the company had not initially built the right infrastructure but is now working to correct that by expanding its dealer network and service points. BYD recently purchased its German distributor, Hedin Electric Mobility, to take greater control of sales in the German market, where sales dropped in the first half of the year.
However, Li remains optimistic: “You will see the change very soon – you will see a lot of BYD cars on the street in Germany."
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