The Hyundai Motor Group $005380 was overtaken last year by the Chinese electric vehicle manufacturer BYD $1211 (+2.2%) in terms of sales on the electric vehicle market outside China.
According to SNE Research, a market research company specializing in the energy sector, BYD sold 627,000 electric vehicles on the global market outside China last year, an increase of 141.8% compared to the previous year.
BYD overtook the Hyundai Motor Group, which sold 609,000 units last year, to take third place in the manufacturers' sales figures.
Volkswagen $VOW (+2.26%) took first place with 1.266 million units sold and an increase of 60.0% compared to the previous year, while Tesla $TSLA (+2%) took second place with 1.01 million units sold and a decline of 10.7%.
This is the first time that Hyundai Motor Group has recorded lower annual sales of electric vehicles than BYD in the global market excluding China.
BYD's aggressive push to expand into overseas markets, capitalizing on its price competitiveness and proprietary battery technology, appears to have been reflected in last year's sales figures.
BYD has built and expanded local factories in Europe, including Hungary and Turkey, and in Southeast Asia, including Thailand, Indonesia and Cambodia, while adding commercial vehicles and compact cars to its portfolio to meet regional demand characteristics.
Despite a relatively stable growth rate last year, Hyundai Motor Group lost its third place to BYD, which recorded strong growth.
SNE Research analyzed that while the Ioniq 5 and EV3 drove performance, existing flagship models such as the Kia EV6, EV9 and Hyundai Kona Electric saw a decline in sales, failing to match the growth momentum of the past.
Hyundai Motor Group delivered around 166,000 units to the North American market last year, and concerns have been raised that price competitiveness could be affected if the United States raises tariffs on Korean-made cars back to 25%.
SNE Research analyzed: "Hyundai Motor Group has room to mitigate tariff risks in part by expanding local production, including at the Hyundai Motor Group Metaplant America plant in Georgia." However, the company added: "If tariffs on parts are extended, assembly volumes in the United States could also come under cost pressure, and product lineup, pricing strategy and the pace of supply chain localization are likely to become important variables."
Last year, a total of 7.662 million electric vehicles were registered worldwide outside China, an increase of 26.6% on the previous year. Given that the growth rate in 2024 was only 6.0% due to the electric vehicle gap, the market now appears to have entered a recovery phase.
The average annual growth rate from 2017 to 2025 is 37.7%. By region, Europe recorded sales of 4.257 million units, an increase of 34.9%, accounting for 55.6% of the non-China market. The North American market recorded 1.736 million units, down 5.0% year-on-year, as the clean vehicle tax credit based on the Inflation Reduction Act expired in September last year.
The Asian market excluding China recorded 1.233 million units with a growth rate of 58.5%. SNE Research analyzed: "Although growth continued in 2025, the driving force of the market has shifted from policy-driven expansion to a focus on profitability, supply chains and price competitiveness." He added: "Moderate growth momentum is also expected in 2026, but regional volatility is likely to increase depending on changes in tariffs, regulations and incentives."