Chinese EV Maker BYD Drives Long-Term Global Growth In Collaboration with Amazon Web Services (AWS) for Mutual Success Overseas

BEIJING, Oct. 25, 2023 /PRNewswire/ — In Fortune China‘s list of ‘The 2023 Representative Chinese Companies in Overseas Market’, BYD, undeniably leading global sales in new energy vehicles, stands out as one of the most prominent players in the automobile and automobile technology track.

On September 4, 2023, at the Munich Motor Show in Germany, major players in the global automotive industry gathered. Among them, Chinese automaker BYD’s booth, bearing the slogan ‘Cool the Earth by One Degree‘, commanded attention amid a throng of visitors. At this motor show, global media and car consumers are eager to experience BYD’s latest announcement, the pure electric sports car ‘SEAL’, which is the first to adopt the ‘CTB (Cell to Body) battery-body integration’ technology that has been launched in Europe. The BYD SEAL has become the fifth BYD new energy passenger vehicle to be launched in Europe, following the BYD HAN, BYD TANG, BYD YUAN PLUS (named BYD ATTO 3 overseas), and BYD DOLPHIN.

The high level of attention in the European market is a reflection of BYD’s accelerated global expansion. Today, BYD’s new energy vehicles have spread across six continents, more than 70 countries and regions, and over 400 cities. According to data from the China Passenger Car Association(CPCA), BYD’s overseas sales in the first half of 2023 have reached 74,300 units, exceeding the full-year performance of 2022. BYD ATTO 3, which has repeatedly claimed the title of monthly sales champion among pure electric vehicles in Thailand, New Zealand, and Singapore, has even triggered early morning queues of customers in the Thai market.

With the market recognition, BYD is also actively expanding its supply chain layout. In 2023, BYD’s overseas car manufacturing capacity layout accelerates, with factories being built in Thailand and Brazil successively, providing strong support for current and future global market expansion.

‘Throughout our global expansion journey, we’ve integrated international perspectives and addressed overseas market demands from the beginning, ensuring that our products gain recognition in global markets upon launch. ‘ Mr. Luo Hao, Assistant General Manager of BYD’s Branding and Public Relations Department, emphasized the significance of a global thinking in a recent interview with Fortune China when discussing BYD’s achievements in global expansion.

In Fortune China‘s list of ‘The 2023 Representative Chinese Companies in Overseas Market’, BYD, undeniably leading global sales in new energy vehicles, stands out as one of the most prominent players in the automobile and automobile technology track. As a witness to China’s evolving automotive industry and the Chinese enterprise with the most remarkable rise in the 2023 Fortune Global 500 list, BYD has recently celebrated the production of its 5 millionth new energy vehicle. It joins numerous domestic manufacturers in sailing across borders, introducing the world to China’s captivating ‘new’ enchantment.

Expanding into global markets, especially in the passenger car industry, poses significant challenges. The processes of internationalization require Chinese automakers bolster their capabilities across multiple fronts, including technology, security, compliance, and more, to compete on a global scale. They must also harmonize with the unique demands of each market, delivering tailored, intelligent experiences and services for local consumers. To cope with these challenges, BYD has chosen AWS, the world’s most comprehensive and broadly adopted cloud offering with high standards of security and compliance, to support its global development strategy. At the same time, BYD has undertaken valuable initiatives in research and development, technological readiness, digitization, and intelligent solutions.

New Energy Ventures Abroad: Embracing ‘Technology’ and ‘Intelligence’

Localization is an inescapable challenge in global development.

For any consumer product, entering a new market with differences in language, culture, thinking, etc. is challenging, not to mention new energy vehicles that have complex structures, higher performance requirements, and human-machine interaction (HMI). BYD had already realized this before deciding to go global, and its solution is simple: leveraging its own new energy technology advantages and cooperating with overseas partners to enhance its expertise.

For BYD, born with the ‘new energy gene’, more than two decades of technological accumulation serve as the most effective entry point into new markets. From the ‘three electric’ (battery, motor, controller) components to vehicle parts and complete vehicle assembly, BYD exercises unparalleled control over the entire new energy vehicle industry chain. This level of control not only ensures product quality stability but also enhances competitiveness. Following the European debut of the BYD SEAL at the Munich Motor Show, UBS determined that approximately 75% of the components are produced by BYD, resulting in a cost reduction of approximately 25% compared to typical Western car manufacturers and around 15% lower than Tesla.

Mr. Luo Hao emphasized that BYD’s robust technological foundation and ongoing innovation are the core drivers of success in global market expansion. He stated, “We currently submit an average of 19 patents per working day and secure around 15 patent authorizations. We possess comprehensive mastery of the key technologies throughout the entire new energy industry chain, providing our products with a distinct and inherent advantage when competing in global markets.”

To offer tailored digital driving experiences for consumers in various countries, BYD collaborates closely with experienced global partners, creating a synergistic effect.

In the European market, BYD has incorporated Amazon Prime Music from Amazon into the intelligent connectivity system to meet the high demands of European customers for in-car music content and quality. This integration leverages resources of AWS, strong support from across One Amazon, offering high-quality music streaming services to European users. This allows European car owners to enjoy a brand-new in-car music experience and has garnered considerable praise from European consumers. ‘I personally believe that music transcends borders’, noted Mr. Luo Hao regarding the enhancement in the driving experience for European users brought by Amazon Prime Music. ‘It can provide an excellent cross-cultural digital experience. Surrounded by familiar and cherished music, this car truly becomes a part of car owner’s life, regardless of its origin.’

To achieve high performance and low latency for the digital driving system, and to provide users with a smoother experience, BYD has chosen to cooperate with AWS. Among the 102 availability zones in 32 launched regions, multiple zones that are situated near local users and best suited to meet the requirements of Internet of Vehicles have been thoughtfully selected for the deployment of global Internet of Vehicles services.

Reaping the Rewards of 28 Years of Dedication, the World Shares a Common Destiny

Another aspect that appeals to international consumers is BYD’s commitment to green and sustainable principles from inception to completion.

Internally, BYD sees ‘Cool the Earth by One Degree‘ not only as a slogan but also as a representation of BYD Group’s enduring ambition to promote new energy as a worldwide alternative to traditional fuels and to cultivate a more conducive living environment for all of humanity.

After 28 years of dedicated efforts, BYD has adopted a practice-oriented approach to tackle social and urban development challenges. Besides reducing carbon emissions with new energy vehicles and easing urban traffic congestion through rail transit solutions, BYD is also addressing global energy acquisition and storage challenges via its work in photovoltaic and energy storage. These actions embody BYD’s guiding philosophy.

For BYD today, a journey from independent innovation to a comprehensive adoption of open innovation has taken place. This transition enables the company to provide holistic green and sustainable development solutions for cities worldwide. As a manufacturer, BYD incorporates green thinking into every aspect of its operations, from using solar streetlights in industrial parks to selecting suppliers.

Speaking of BYD’s ‘green achievements,’ Mr. Luo Hao expressed his pride: ‘To date, BYD has contributed to a global reduction in carbon dioxide emissions exceeding 40.43 million tons.’

Breaking the Gridlock Through the Synergy of ‘On the Ground’ and ‘in the Cloud’

Besides products and deployments, intelligent connectivity is a key feature for new energy vehicles. A cloud-based digital strategy is a pivotal breakthrough in their global expansion. Regarding this, Mr. Luo Hao asserts that ‘any enterprise aspiring to venture abroad and attain internationalization must equip its business with digital wings; otherwise, it won’t smoothly soar into new markets.’

The first barrier to be crossed with the wings is called ‘security and compliance’.

With digital security concerns gaining global attention, over 130 countries have implemented laws and regulations concerning data protection and privacy. Compliance and security of data in the realm of Internet of Vehicles have become pivotal factors for a successful entry into international markets. BYD has always prioritized stability, safety, and compliance in its global strategy.

Taking infrastructure as an example, AWS assists BYD in building a global, secure, and compliant technical framework during its overseas expansion process, enabling BYD to greatly improve efficiency and security while mitigating risks in expanding overseas markets.

AWS is recognized for its industry-leading security compliance and practices. As an example in the European market, AWS adheres to Trusted Information Security Assessment Exchange (TISAX). TISAX is a standardized approach jointly established by the German Association of the Automotive Industry (VDA) and the European Network Exchange (ENX) Association. It provides a consistent and standardized method for the European automotive industry to establish information security management systems. AWS has successfully completed TISAX assessments and achieved Information with Very High Protection Needs (AL3) label for the control domains Information Handling and Data Protection. Furthermore, these security and compliance standards can be inherited by users, AWS automotive customers can run their applications in the AWS Cloud certified Regions such as Europe in confidence.

Meanwhile, enterprises frequently undergo a series of processes to meet specific requirements of strict standards such as General Data Protection Regulation (GDPR) in Europe and international Code of Practice for Protecting Personal Data in the Cloud (ISO 27018). AWS supports global compliance controls and has obtained 98 security standards and compliance certifications, including GDPR and PCI-DSS, ensuring the security and compliance of infrastructure and services. At the same time, leveraging the rich experience and best practices in the field of security and compliance for global customers, AWS provides support for automakers’ overseas expansion in the field of security and compliance. It offers over 300 security, compliance, and governance services and features to help automakers comply with GDPR or relevant regulatory requirements.

Moreover, AWS offers comprehensive system security enhancements, supporting BYD secure data, applications, and infrastructure. This helps mitigate diverse security threats and risks, ensuring system stability and timely issue resolution.

‘I believe that BYD’s emphasis on stability, safety, and compliance aligns with AWS’s ‘concept of Security is Job Zero’, Mr. Luo Hao explained when discussing the reasons for choosing AWS as a partner. In his view, the collaboration between the two companies is a perfect match: ‘The AWS team is highly responsible and prioritizes customer service. Their support in software is just as responsive as our after-sales service in hardware, demonstrating that our two companies share a responsible attitude.’

BYD on AWS, 1+1>2

The collaboration between BYD and AWS, two Fortune Global 500 companies, in the global market is a win-win partnership and a mutual achievement. AWS’s secure and compliant services have eased BYD’s expansion into diverse markets. The technology applications from AWS have also strengthened BYD’s global operations and improved the customer experience. In return, the deep collaboration with BYD has allowed AWS to gain valuable experience in serving new energy vehicle companies and driving technological innovation.

The technological and service support offered by AWS during BYD’s global expansion process is also observable in numerous other Chinese companies venturing into international markets. AWS ranks top in worldwide and Asia Pacific ‘IDC Marketscape IaaS Provider’ and takes 80% market share of Chinese enterprises going global.

The connection between Chinese enterprises expanding globally and AWS can be summed up similarly to BYD’s partnership with AWS, as described by Mr. Luo Hao’s words: ‘We’ve discovered valuable solutions and guidance in each other. ‘

Source : Chinese EV Maker BYD Drives Long-Term Global Growth In Collaboration with Amazon Web Services (AWS) for Mutual Success Overseas

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