Reuters: BYD to move main European production from Hungary to Turkey
Photo: EPA

China's largest electric vehicle manufacturer Build Your Dreams (BYD) will postpone mass production at its a new plant in Hungary by 2026, but will launch earlier than planned plant in Turkey. About it with reference to the sources writes Reuters.

Moving the main production from Hungary to Turkey, where labor costs are lower, will be a setback for the European Union, the agency notes. The EU had hoped that duties on electric vehicles manufactured in China, will attract Chinese investment and high-paying jobs in the bloc.

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According to sources, BYD's €4 billion ($4.64 billion) plant in Szeged, southern Hungary, will begin mass production in 2026, but will produce only a few tens of thousands of cars for the entire year. This is significantly less than the planned initial production capacity of 150,000 cars (maximum capacity of 300,000 cars).

Production in Szeged should increase in 2027, but will still be lower than previously planned, sources said.

Meanwhile, the Chinese automaker's $1 billion plant in Turkey will produce more cars next year than the Hungarian one. Production at the Manisa plant is expected to start at the end of 2026, with an annual capacity of 150,000 vehicles.

According to the agency's sources, the production volume at the plant in Turkey in 2027 will significantly exceed 150,000 cars, and in 2028 BYD will again increase production at the Turkish plant.