BYD, the Chinese automaker backed by Warren Buffett, outpaced Tesla in Q4 2023, becoming the world's largest electric car company. BYD sold a record 525,409 battery electric vehicles (BEVs), surpassing Tesla's 484,507 deliveries. While Tesla led in 2023 with 1.8 million electric cars sold, BYD's 1.57 million marked a 73% increase from 2022, narrowing the gap.

China's rapid EV industry growth, supported by the government, is evident in BYD's success. China targets 20% new energy vehicle (NEV) sales by 2025 and NEVs becoming the "mainstream" by 2035. Analysts predict China could achieve its 50% NEV penetration target by 2025 or 2026, showcasing its global dominance due to a massive market, cost-effective labor, and government support.

Despite success, the industry faced challenges, including a price war impacting profit margins. To counter domestic market slowdowns, Chinese automakers like BYD expand globally. BYD aims to double European dealerships in 2023, targeting 250,000 overseas sales. Its recent announcement of an EV factory in Hungary signals further global expansion.