The Chinese electric vehicle giant BYD is making bold moves in Australia. The company recently announced it will take direct control of its Australian operations starting July 2025. This marks a significant shift from its current partnership with local distributor EVDirect.
BYD Australia Pty Ltd will become both the importer and distributor for passenger vehicles. The transition represents the brand’s growing confidence in the Australian market after achieving remarkable sales success.
The End of EVDirect Partnership
EVDirect has served as BYD’s Australian distributor since the brand launched locally in 2022. However, this partnership will officially end in July 2025, one year ahead of the originally planned schedule. The accelerated timeline reflects BYD’s aggressive expansion strategy and strong performance in the Australian market.
Despite losing its distributor role, EVDirect won’t disappear entirely from the BYD ecosystem. The company will retain a 20% stake in the new retail joint venture called EV Dealer Group (EVDG). This arrangement allows EVDirect to maintain some involvement while BYD assumes greater control over operations.
Eagers Automotive Takes Center Stage
Eagers Automotive Limited emerges as the major winner in this restructuring. The company now holds an 80% stake in the EV Dealer Group, making it BYD’s primary retail partner in Australia. This partnership comes with a five-year dealer agreement, plus an option for another five-year extension.
David Smitherman, appointed as CEO of EVDG, expressed optimism about the arrangement. The joint venture plans to expand its retail network significantly and introduce new showroom formats to enhance customer experience.
Why Direct Distribution Matters
BYD’s move toward factory-backed distribution aligns with its global strategy of maintaining direct market control. This approach offers several advantages for both the company and Australian consumers. Shorter wait times for vehicles become possible through improved supply chain management.
The direct model also promises better stock availability thanks to BYD’s established right-hand-drive supply chain. Customers can expect strengthened after-sales support through Eagers Automotive’s extensive network across Australia.
Remarkable Sales Growth Story
BYD’s Australian journey started in November 2022 with just one model. The brand has since delivered more than 50,000 new-energy vehicles and expanded its range to six different models. This represents one of the most successful new car brand launches in Australian automotive history.
The numbers tell an impressive story of rapid market penetration. BYD sold approximately 12,500 vehicles in Australia during 2023. However, 2024 showed even more dramatic growth with sales more than doubling compared to the previous year.
Breaking Into Top 10 Rankings
April 2025 VFACTS figures showed BYD reaching 10th place among Australia’s best-selling car brands. The company achieved this milestone with sales up 127.4% year-on-year. This growth was driven by successful launches of new models like the Sealion 6 and Sealion 7 medium SUVs.
The BYD Shark 6 plug-in hybrid ute made an immediate impact upon its Australian debut. In February 2025, the Shark 6 landed directly in 6th place on the monthly sales charts with over 2,000 units sold. This remarkable achievement demonstrated BYD’s ability to compete in Australia’s crucial ute segment.
Ambitious Future Targets
BYD’s Australian distributors announced plans to double sales in 2024, then double them again in 2025. If these projections prove accurate, the company could reach nearly 50,000 annual sales by 2025. This would put BYD in direct competition with Tesla, which sold 46,116 EVs in Australia during 2023.
The brand aims to reach 100,000 cumulative sales by early 2026. Given their current trajectory and expanding model lineup, this target appears increasingly achievable.
Model Lineup Expansion Strategy
BYD entered Australia with just the Atto 3 compact SUV. Since then, the brand has systematically expanded across multiple vehicle segments. The Dolphin hatchback provided an affordable entry point, while the Seal sedan targeted the premium electric vehicle market.
The Sealion 6 plug-in hybrid SUV proved particularly successful in attracting Australian buyers. This model combines electric efficiency with petrol backup, addressing range anxiety concerns that still affect some potential EV buyers.
The Game-Changing Shark 6
BYD’s Shark 6 ute represents perhaps the most significant addition to the Australian lineup. This plug-in hybrid vehicle offers combined power output of 321kW from dual electric motors. The impressive performance includes zero-to-hundred acceleration in just 5.7 seconds.
For Australian tradies and recreational vehicle users, the Shark 6 provides 835kg payload capacity and 2500kg towing capacity. While the towing figure sits below some traditional utes, the Shark 6’s efficiency and performance offer compelling alternatives.
Upcoming Models and Future Plans
BYD continues evaluating additional models for the Australian market. The company has confirmed plans to introduce the “Essentials” range, which includes the Dolphin Essential. This model breaks new ground as Australia’s first EV under $30,000 at $29,990 before on-road costs.
More premium options are also in development. The Sealion 7 is expected to arrive soon, offering customers another SUV choice in the growing electric vehicle segment.
Global Success Fueling Australian Growth
BYD’s worldwide performance provides the foundation for its Australian expansion. The company sold 4.27 million vehicles globally in 2024, representing a massive 41.3% increase from the previous year. This makes BYD one of the world’s fastest-growing automotive manufacturers.
The global success story includes strong performance in multiple markets. BYD’s plug-in hybrid sales reached 2.48 million units in 2024, up an astounding 72.8% from 2023. Battery electric vehicle sales also grew by 12% to 1.76 million units.
International Expansion Beyond Australia
BYD operates manufacturing facilities in multiple countries including Thailand, Hungary, Turkey, and Brazil. The company’s chairman announced plans to double overseas sales to 800,000 units in 2025. This global expansion strategy supports BYD’s ability to serve markets like Australia with local assembly when needed.
The brand’s international presence now spans from Europe to Southeast Asia. In the UK, BYD achieved 658% sales growth in 2024, demonstrating its ability to succeed in developed Western markets.
Competition with Tesla and Traditional Brands
BYD came close to overtaking Tesla in global battery electric vehicle sales during 2024. While Tesla sold 1.79 million BEVs, BYD achieved 1.76 million units. However, when including plug-in hybrids, BYD’s total electrified vehicle sales exceeded Tesla’s.
The company is also challenging traditional automotive giants. BYD is expected to surpass both Ford and Honda in global sales when those companies report their 2024 figures.
Technology and Manufacturing Advantages
BYD operates as a vertically integrated company with over 70% of vehicle components supplied internally. This approach includes producing batteries, electric motors, electronic controls, and even manufacturing equipment. Such integration provides significant cost advantages and quality control.
The company’s blade battery technology has become a key differentiator in the electric vehicle market. These lithium iron phosphate batteries offer improved safety and longevity compared to conventional lithium-ion alternatives.
Research and Development Focus
BYD invests heavily in innovation with substantial research and development capabilities. The company received 2,337 new patents in China and 297 overseas patents in 2021 alone. This brings their total to 19,837 Chinese patents and 3,411 international patents.
The technological advancement extends beyond vehicles to energy storage solutions. BYD’s battery division supplies major companies including Tesla, Toyota, and NIO, making it the world’s second-largest battery producer after CATL.
Australian Market Dynamics and Opportunities
The Australian EV market continues expanding rapidly, creating opportunities for brands like BYD. Plug-in hybrid vehicle sales surged 346.1% in February 2025, while traditional petrol and diesel sales declined significantly. This shift favors BYD’s diverse electrified vehicle portfolio.
Government policies supporting electric vehicle adoption provide additional tailwinds. Various Australian states offer incentives for EV purchases, while the federal government has eliminated luxury car tax on eligible electric vehicles.
Infrastructure Development Supporting Growth
Australia’s charging infrastructure continues improving, addressing one of the key barriers to EV adoption. The expanding network of fast-charging stations makes long-distance travel more practical for electric vehicle owners.
BYD’s plug-in hybrid strategy proves particularly relevant during this infrastructure development phase. Models like the Sealion 6 and Shark 6 offer electric driving for daily use while maintaining petrol backup for longer journeys.
Competitive Positioning Against Established Brands
BYD’s pricing strategy positions the brand competitively against both traditional and electric vehicle manufacturers. The upcoming Dolphin Essential’s sub-$30,000 price point makes electric vehicle ownership accessible to more Australian consumers.
Traditional automotive brands like Toyota, Ford, and Holden face increasing pressure from BYD’s expanding lineup. The success of the Shark 6 ute demonstrates BYD’s ability to compete effectively in Australia’s most important vehicle segments.
Challenges and Future Considerations
BYD faces several challenges in the Australian market despite its recent success. Service network expansion remains crucial for supporting growing sales volumes. The partnership with Eagers Automotive helps address this need through established dealer infrastructure.
Brand perception and quality concerns represent ongoing challenges for Chinese automotive manufacturers in Western markets. BYD must continue demonstrating long-term reliability and customer service excellence to build lasting market share.
Supply Chain and Logistics Management
Managing right-hand-drive production for the Australian market requires careful coordination. BYD’s global manufacturing network provides flexibility, but maintaining consistent supply during rapid growth periods demands careful planning.
Parts availability and service support become increasingly important as BYD’s Australian fleet grows. The direct distribution model should improve these aspects through better inventory management and closer factory coordination.
Short FAQs
When will BYD take direct control of Australian operations?
July 2025, one year ahead of the originally planned schedule.
What happens to EVDirect after the transition?
EVDirect will retain a 20% stake in the new retail joint venture with Eagers Automotive.
Which BYD models are currently available in Australia?
Atto 3, Dolphin, Seal, Sealion 6, Sealion 7, and Shark 6 are available or recently launched.
How many BYD vehicles have been sold in Australia?
More than 50,000 new-energy vehicles since launching in 2022.
What is BYD’s sales target for 2025 in Australia?
The company aims for approximately 50,000 annual sales by 2025.
Why is BYD switching to direct distribution?
To align with global strategy, improve supply chain control, and reduce customer wait times.
What makes the BYD Shark 6 special?
It’s a plug-in hybrid ute with 321kW combined power and 5.7-second acceleration.
How does BYD compare to Tesla in Australia?
Tesla sold 46,116 EVs in 2023, while BYD is rapidly growing toward similar volumes.
What is BYD’s most affordable model in Australia?
The upcoming Dolphin Essential at $29,990 before on-road costs.
Will more BYD models come to Australia?
Yes, the company continues evaluating additional models for local introduction.