Why is BYD's production capacity insufficient?

[SanIsabela]

BYD's insufficient production capacity is due to issues with blade batteries, resulting in inadequate production capabilities. Introduction to BYD: BYD Company Limited was founded in 1995, starting with a team of just over 20 people. By 2003, it had grown into the world's second-largest rechargeable battery manufacturer and established BYD Auto in the same year. Starting as a battery manufacturer, BYD was essentially an 'outsider' when it came to making cars. However, leveraging its strong reputation for 'independent intellectual property rights' and the acquisition of Qinchuan Auto, BYD gained a first-mover advantage over other newcomers. Brand Introduction: BYD Auto adheres to a development path of independent R&D, production, and branding, committed to creating truly affordable and high-quality vehicles for the people. The product designs not only incorporate advanced international trends but also align with the aesthetic values of Chinese culture.

[DawsonLee]

I ordered a BYD Han last year and had to wait over three months to get the car. I think BYD's production capacity can't keep up mainly because the demand for electric vehicles is skyrocketing. Their sales nearly doubled last year, and everyone's rushing to buy their cars due to the great value for money. Supply chain bottlenecks are also an issue—the global chip shortage slowed production, while lithium prices for batteries surged with limited supply. Factory expansion is slow too, with new plants struggling to catch up with the surge in orders. Hiring and training staff also takes time, and sometimes even running production lines at full speed isn't enough. I'd suggest they invest more in automation, but overall, the EV boom is a good thing—just a bit painful waiting for the car. Things should improve next year.

[LaTessa]

From my working experience, BYD's production capacity is mainly strained due to overwhelming orders that have overloaded the production lines. I often see piles of work in the workshop, and the insufficient manpower requires overtime to keep up. Why? Firstly, the electric vehicle boom has doubled demand overnight, but training new employees isn't that quick. Secondly, there are serious raw material issues—lithium battery components are often out of stock, and imported chips are in short supply, causing equipment shutdowns. Factory equipment maintenance also takes up time. Expansion of new factory areas is underway, but approval and construction cycles are long. Under these circumstances, quality must still be guaranteed without sacrificing brand reputation. I think BYD should prioritize solving supply chain issues and collaborate more with local suppliers.

[DeIsabella]

As someone who focuses on technical details, I observe that the core bottleneck in BYD's production capacity lies in battery production constraints. Their vertically integrated model, where they self-produce blade batteries, is both an advantage and a weakness. Global lithium resource shortages lead to unstable raw material supply, affecting battery mass production. Although automated equipment is advanced, chip shortages degrade the efficiency of intelligent control systems. Additionally, delays in technological updates during production facility expansion and time-consuming debugging of new processes pose challenges. I believe optimizing supply chain resilience and enhancing localized procurement are key countermeasures, while increasing R&D investment can reduce external dependencies.