BYD launches cheapest electric car in UK aiming to rival Tesla

Chinese carmaker BYD has officially unveiled its most affordable model, the Dolphin Surf, in the UK. Priced at £18,650, it stands among the lowest-priced new vehicles available in Britain. This introduction forms a critical part of BYD’s strategy to surpass Tesla as the world’s largest electric vehicle (EV) manufacturer. Tesla remains the dominant supplier of EVs globally but has faced declining sales in some markets, such as Europe, where BYD registered more pure electric cars than Tesla for the first time this April.

The Dolphin Surf’s competitive pricing is designed to challenge Tesla by attracting budget-conscious buyers. With an official range of up to 137 miles, the vehicle features advanced technologies typically associated with more premium models. These include a rotating touchscreen, intelligent cruise control, and automatic emergency braking. BYD is capitalising on its capacity to make such technologies accessible across its vehicle range by optimising production costs and maintaining an edge over industry competitors.

BYD has gained a significant foothold in the European market, despite facing a 17.4% tariff imposed by the EU due to alleged state subsidies. The UK, which does not impose such tariffs on Chinese EV imports, has become a key market for BYD and other Chinese automakers like Xpeng and Leapmotor. In March alone, the UK accounted for 30% of all Chinese electric vehicle sales in Europe, highlighting the growing competition faced by European automakers in their home market.

While European manufacturers such as Renault, Citroën, and Dacia offer smaller, more affordable electric cars, the Dolphin Surf’s pricing positions it as a direct rival to models like the Citroën ë-C3 (£18,305) and Renault 5 (£22,995). However, the vehicle also incorporates BYD’s cost-effective Blade battery, which uses lithium iron phosphate (LFP) technology rather than more expensive nickel-manganese-cobalt (NMC) alternatives. LFP batteries have grown increasingly popular in China due to their affordability, with over 80% of all electric cars sold there last year utilising the technology.

Despite strong competition, BYD has demonstrated significant growth in Europe, aligning its production strategies and investments to tap into this expanding market. As EV adoption rises, the battle between Tesla and BYD represents a broader shift within the global automotive sector, with Chinese firms establishing themselves as dominant players in the industry.

Tesla continues to lead the market in global EV sales but has been impacted by Elon Musk’s controversial political affiliations and decisions, which may have contributed to a decrease in European registrations. Analysts suggest BYD has significant potential to further reduce costs, leveraging its expertise to offer electric vehicles that are appealing to a broader consumer base while undercutting its competitors.