Tesla vs. BYD 2023: TSLA stock prices crash due to big news, BYD sales continue to rise rapidly

Tesla (TSLA) and BYD (BYDDF) are the world's largest electric vehicle manufacturers, and are becoming direct competitors in China and many parts of the world.

A lot of attention has been drawn to EV start-ups such as Nio (NIO), Li Auto (LI), Xpeng (XPEV), Rivian (RIVN), and Lucid (LCID). Efforts by traditional automobile giants such as General Motors (GM), Ford Motor (F), and Volkswagen (VWAGY) have also been reported. However, Tesla and BYD stand out.

In 2022, the car sales volume of BYD, a major Chinese EV battery company, surpassed that of Tesla. Tesla is still number one in all-battery electric vehicles (BEVs), but the difference is narrowing.

On 9/1, Tesla announced price revisions for the Model 3 in China. However, Tesla also lowered the price of the Model S and X in China and the US, and also lowered the price of fully autonomous driving systems.

In 2023, Tesla lowered prices many times as demand could not keep up with strong production capacity and competition intensified.

Tesla's second-quarter results showed a significant increase in sales compared to the same period last year due to continuous price cuts and easy comparisons, resulting in an increase in profit. However, EPS for the third quarter and full year is expected to decline.

BYD announced a significant increase in profit for the second quarter in late August, and monthly sales volume once again recorded a record high in August. BYD is aiming to achieve its sales target of 3 million units in 2023.

In addition to improving the Model 3, Tesla has begun manufacturing Cybertruck, but the actual release date, price, specs, etc. are unknown. Musk has foretold the next generation model, but says little more than that.

BYD has a lineup of EVs from 11,000 dollars to 160,000 dollars, and continues to increase the lineup. New cars and refreshed models are a daily occurrence for BYD.

Meanwhile, BYD is currently supplying batteries to Tesla, and these two rivals are also enemies.

Tesla's stock price surged this year after going through the worst period in 2022. Stock prices were sold after the second quarter financial results, and now they are hitting an important resistance line. BYD was doing well in 2023, but now it is recovering from serious losses.