BYD Han and Tang were initially launched at relatively high prices. However, BYD has recently announced a significant price reduction in some countries. Is this a pricing strategy shift due to lack of success? Not quite.
For years, BYD has been selling thousands of relatively bland vehicles, often drawing inspiration from Toyota. This changed dramatically with the hiring of Wolfgang Egger in 2017. The release of the BYD Tang in 2018 and then the Han in 2020 solidified the new directions and brought a certain legitimacy to the manufacturer. The increase in sales of electrified vehicles coincided well with the launch of this new range.
Both Han and Tang were the first models launched by BYD in Europe. This was a way for the manufacturer to establish its image by entering the market at the high end. The prices reflect this, with both models priced at over €70,000. The sales volumes were not record-breaking, and that was not the intention.
However, BYD has announced a significant price reduction in some markets for these two models. In the Netherlands, they are now offered starting at €55,990, which is a €14,000 decrease…
Some may argue that BYD is selling its cars at a discount because they are not selling well, customers do not want them, but that’s not the case. The BYD Han and Tang are now being sold as the “Final Edition”. This is because both models are actually nearing the end of their lifecycle. Following the Seal, Song L, or Sea Lion, BYD is preparing to launch a new generation of its high-end range by 2025. The new Tang could debut by the end of the year at the Guangzhou Auto Show, and the new Han next year at the Shanghai Auto Show.
This price reduction does not seem to affect France yet, where registrations of Han and Tang are particularly low.