BYD May Take Over Stellantis & Other Legacy Auto Factories in Europe

Chinese electric vehicle giant BYD is reportedly in discussions with Stellantis and other European automakers about acquiring underutilised factories across Europe. BYD’s vice president, Stella Li, confirmed talks with multiple companies during an automotive conference in London, emphasising the company’s interest in leveraging spare manufacturing capacity to meet growing demand for its electric vehicles. This move signals BYD’s intent to expand its European footprint by producing EVs locally, potentially circumventing the EU’s significant tariffs on Chinese-made electric cars. BYD’s rapid growth in the global EV market underpins this expansion strategy. The company has overtaken Tesla in fully electric vehicle sales in 2025 and currently produces twice as many plug-in vehicles as Geely, with combined sales of BYD and Tesla accounting for roughly 30% of global battery electric vehicle sales. Despite a slight downturn earlier this year, BYD anticipates substantial sales growth moving forward. The firm is already constructing factories in Hungary and Turkey, set to open in 2026 and 2027, and sees considerable potential for further growth within the European market. Stellantis, which owns a wide range of automotive brands including Fiat, Peugeot, Jeep, and Opel, has several struggling divisions and excess manufacturing capacity, making it a prime candidate for such factory takeovers. However, BYD has made it clear that it prefers to operate independently rather than entering joint ventures, focusing on outright acquisition or leasing of production facilities. Other European manufacturers like Renault and Nissan may also be approached as BYD seeks to secure additional production sites. The prospect of a Chinese automaker establishing significant manufacturing operations in Europe echoes the historical precedent set by Japanese carmakers in the 1980s and 1990s, who expanded their global presence by building local factories. Given BYD’s advanced EV technology and production capabilities, this development could accelerate the transition to electric mobility in Europe while reshaping the continent’s automotive industry landscape. The potential job creation and economic implications of such moves remain subjects of debate, but BYD’s expansion appears poised to influence the future of European car manufacturing.