On April 3, 2022, BYD announced that it had ceased the production of fuel-powered vehicles from March 2022. It is exciting news, but also no surprise news. According to BYD's release of March sales results, 104,338 units of its entire series were sold in March. 53,664 units were pure electric models, and 50,674 were DMs, accounting for 100% of its new energy vehicles. In the past month, BYD quietly discontinued its fuel models. However, it did not cause any abnormalities in the market. Instead, it achieved a year-on-year sales surge of 160.9% under the unfavorable situation of the price increase of new energy vehicles.
In 2003, BYD was the second-largest cell phone battery manufacturer worldwide. Wang Chuanfu was keenly aware of the limited growth space of the cell phone battery industry and the great potential of the automobile market. Twenty years later, the electrification of cars has become the mainstream of the automotive industry, and BYD has become the first to stop the production of traditional fuel cars. Unlike 20 years ago, BYD has more courage and the market recognizes its courage.
It may be a sign for the new energy vehicle industry that fuel-powered vehicles may step down from the stage of history. The courage of BYD comes from its battery technology. However, new energy vehicles are faced with many challenges, for example, deficient infrastructure. Although it is still a long way for new energy vehicles to be widely popularized, what hints can the prototype creators get?
1. The future of the new energy vehicle market is bound to usher in a period of rapid growth
The development of new energy vehicles (NEVs) is strongly supported by governments worldwide. Meanwhile, some car makers have also opted to develop NEVs.
2. Almost certainly, research and development resources in the automotive sector will focus on new energy vehicles
China Electric Vehicle 100 Forum (2022) High-level Forum was held in Beijing on March 25, 2022. The deputy director of the National Development and Reform Commission, Lin Nianxiu, pointed out that it is essential to adhere to technological innovation and focus on improving the core competitiveness of the industry. Concerning electrification and intelligent development, it is important to strengthen common technologies research and development of new energy and intelligent vehicles, to accelerate the development of sodium-ion, cobalt-free, and solid-state batteries, fuel cells, and other new battery technologies, and to ensure that innovation is the key to improving the level of industrial development. There is no doubt that Chinese automotive companies will focus on the innovation of battery technologies.
Meanwhile, we know three main differences between energy vehicles and fuel-powered vehicles.
- The power structure is different. The power structure of new energy vehicles is mainly rechargeable power batteries, and that of conventional cars is engine + transmission.
- The space structure is different. New energy vehicles do not have complex engines, transmissions, and others, and the space design inside is generally larger.
- Different structural complexity. New energy vehicles are structurally simpler than fuel cars with fewer moving parts.
Therefore, the R&D work on engine parts will be reduced.
3. Rapid prototyping techniques of prototype creators need to keep up with the NEVs trend
Prototype creators who work with BYD know the following projects are about NEVs. What should other prototype creators do? If you have experience in the new energy vehicle industry, you may be a good BYD partner, especially if you are a plastic and metal prototype manufacturing company nearby BYD, which means that you have a geographical advantage.
While for others, the advice is to maintain good interaction with existing customers in the automotive industry, showing a sincere interest in their development and researching relevant technologies. In this way, chances are to complement new product developments and increase orders. Plastic and metal prototype manufacturing companies are very near and meaningful to the NEVs industry. They play an essential role in the R&D processes.
Being a plastic and metal prototype manufacturing company near BYD means a lot to X Rapid Technologies. We will still pay close attention to the industry and improve related technologies accordingly to play our part.
