A fire broke out early Tuesday morning at a multi-level garage on BYD’s Pingshan campus in Shenzhen, where test and decommissioned vehicles are stored. Emergency response teams arrived at the scene at 2:48 am local time, and firefighters fully extinguished the blaze. BYD reported that there were no injuries or casualties.
In the aftermath of the incident, BYD’s shares in Hong Kong edged down by about 0.9%. The company emphasized that operations at its other facilities were not affected, and it is working closely with local authorities to determine the cause of the fire.
The garage fire comes as BYD navigates a period of sales adjustment in a highly competitive new-energy vehicle market. The automaker’s March deliveries rebounded to 300,222 units, representing a 57.9% increase from February. However, this figure still reflects a 20.5% decline compared with March 2025, marking the seventh consecutive month of year-over-year sales decreases.
Intense price competition among Chinese new-energy vehicle manufacturers has led to frequent promotions and price reductions, squeezing profit margins across the industry. Last month, BYD disclosed a 19% year-over-year drop in full-year net profit for 2025, attributing the decline in part to the aggressive pricing environment.
Despite domestic challenges, BYD’s overseas business has shown robust growth. The company reported that its international deliveries for March surged 65.1% year-over-year. To capitalize on this momentum, BYD has raised its 2026 export target to 1.5 million vehicles, up from the previous goal of 1.3 million. Management has indicated that the overseas market will play a larger role in driving future sales and profitability.
BYD continues to invest in research and development across its battery and vehicle operations, aiming to strengthen its competitive position both at home and abroad. The company is also exploring new technologies and partnerships to enhance product offerings and operational resilience amid fluctuating market conditions.
Source: CNEV Post
