Chinese EV maker BYD is struggling in India due to strained China-India relations.

Since the 2020 border clash, BYD India’s MD Ketsu Zhang has been unable to secure a visa, forcing the company to manage operations remotely from Sri Lanka, Nepal, and Singapore.

India also rejected BYD’s US$1 billion proposal to build a plant with a local partner, citing national strategic interests.

As a result, BYD relies on its Chennai assembly plant with a limited annual capacity of 10,000–15,000 units. It also depends on imports that face high tariffs.

Despite these hurdles, BYD’s vehicle sales in the first half of 2025 are close to its total sales in 2024.

However, without significant local manufacturing, it cannot access reduced import tariffs.

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