- BYD’s sales continue to grow at a rapid rate in Europe
- Mercedes-Benz helped establish Denza, and now it is expanding
- The Denza Z9 GT could take on the likes of Porsche, BMW, and more
In the past four years, BYD has steadily increased sales outside of China, namely in Europe and parts of Southeast Asia. But in recent months, those figures have been ramping up at an impressive rate.
Now, the company says it is so confident in European buyers making the switch to electric that it is set to introduce its premium brand, Denza, into markets that are more typically dominated by Mercedes-Benz, Porsche, Audi, and BMW.
During a glitzy unveiling during Milan’s Design Week, BYD’s special adviser for Europe, Alfredo Altavilla, said that Denza would act as the “technological forerunner for the group,” according to Reuters.
This means that its range-topping all-electric Z9 GT sport wagon could well be heading to European shores, complete with 1,000hp on tap, five interior screens, dual refrigerators, and, in some variants, the ability to ‘crab walk’ (drive diagonally) and perform tank-turns on the spot.
BYD revealed this week that in the UK alone, it has sold more cars in the first quarter of 2025 than it did in all of 2024, rapidly becoming Britain’s fastest-growing car brand.
Similarly, its European sales are set to double this year.
Globally, the company sold over 4.2 million vehicles last year, becoming the first true contender to take on Tesla. It also eclipsed Musk’s sales in the last quarter of 2024 by some 100,000 units.
To rub salt in the wounds, it also unveiled its 1MW charging network, which can add 249 miles of range to its EVs in just five minutes – blowing Tesla’s V3 Superchargers out of the water.
Denza, which was once a 50:50 joint venture with Mercedes-Benz but is now wholly owned by BYD, accounted for just 3% of the group’s overall sales in China. However, as it targets a more profligate consumer, it has the potential to bring in a fresh revenue stream for the company.
According to Reuters, the marque hasn’t revealed its commercial strategy for Europe but says the first Denza model will be more expensive than the current range-topping BYD model, which is €72,000 euros (or $78,790/AU$130,596).
The line-up could also include the D9 minivan, several SUVs, and off-road vehicles.
The luxury market is a tough nut to crack
BYD’s recent success has chiefly been down to the fact that the Chinese company has been able to offer good quality EVs at a very competitive price, often sporting an increased range and more interior technology than many of its closest rivals.
Buyers in this market typically shop with a budget in mind rather than proving particularly brand loyal. It is a sentiment recently echoed by Dacia’s CEO, Denis Le Vot, who has noticed his value brand has been attracting buyers from more established brands in recent years.
The premium end of the market is very different, as those customers tend to want an established brand name for their hard-earned money.
Just look at South Korea’s Genesis, for example. The premium badge of the Hyundai Motor Group is popular in its domestic market (and the US) and even racked up one million global sales in 2023, but it sold just 1,210 cars in the UK in 2024 – a market share of just 0.06%.
Compare this to BMW, Audi, and Mercedes-Benz, all of whom enjoy a 5% or 6% share of the same market and sold more than 100,000 cars last year.
Of course, their model range is wider and covers a variety of price points. Even so, it’s not easy being a niche premium EV brand. French marque DS, a subsidiary of Citroen, also sold a similarly diminutive 1,152 cars in the UK in 2024.
While BYD is experiencing astronomical sales success outside of China, its premium brand, Denza, might have a slightly more difficult time finding an audience.
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