BYD faces Renault pushback as it plans second European production site

Chinese electric‑vehicle maker BYD’s attempt to gain control of Renault’s European factories was rebuffed by the French group, which said any takeover that would affect its core market is off‑limits. The news sent BYD’s shares down about 3% to €9.25 and contributed to a cumulative 16% loss since the start of the year.

At the same time BYD is close to deciding on acquiring an existing automobile plant in either Spain or France to serve as its second European production base after the Hungary facility scheduled for the fourth quarter. Alfredo Altavilla, BYD’s Europe adviser, told a Reuters conference that scouting teams are on the ground and a decision will be made within days. The move is driven by upcoming EU “Made in Europe” rules and tariffs on Chinese‑built EVs that the bloc plans to impose by the end of 2024. Altavilla warned that the current stance of German plants and Volkswagen’s cost‑cutting plan signal a “wake‑up call” for the industry.