India, as an important automotive market, has always had a high level of attention and demand for the electric bus industry. However, in cooperation with BYD, India has hit a wall many times. The first is that more than 10 years ago, India and BYD planned to build a joint venture factory, but BYD only built an assembly plant, which failed to meet India's expectations. Then, in the negotiations for the purchase of 1,000 electric buses from BYD for 2 billion yuan, BYD did not agree to India's 10% advance payment, leading to an impasse in the negotiations.
For India, there is a clear advantage in purchasing BYD's electric buses. Not only is it more competitive, but the technology is also more in line with India's diversified development needs. However, to the great surprise of Indian Prime Minister Narendra Modi, BYD does not seem to be very interested in the 2 billion yuan order.
While India has been pushing for a replacement plan for local electric buses, BYD announced that the first batch of 20 electric buses has been officially delivered to Mexico's transportation department. This means that BYD is no longer focusing on the Indian market and is moving to other markets. For India, this is undoubtedly a blow.
On the one hand, India wants to make greater progress in the field of electric buses, but other countries are taking the lead, making it difficult for India to catch up. On the other hand, India is not reluctant to buy BYD's electric buses, and they also regard the 2 billion yuan order as very important, and have been communicating and negotiating with BYD, hoping to pay part of the payment to obtain the electric buses first. However, BYD's actions seem to have deprived India of such an opportunity.
For BYD, while orders from Mexico may bring better profits and development opportunities, its performance in the Indian market is questionable. India** began to doubt BYD's integrity and accused BYD of hurting their self-esteem. While this accusation is only on the Indian side, it also indicates that BYD will face more challenges in the Indian market.
In the current context of many auto companies turning their attention to India, if BYD loses to India in the overseas market, it may affect its speed of catching up with the field of electric vehicles.
For BYD, whether to accept the 2 billion yuan order is a key decision. If India can show good faith and agree to pay 80% upfront, BYD may be willing to take over the order. However, based on India's usual way of doing things, it's hard to imagine that they would be willing to pay for that. It seems that even if BYD can get the 2 billion yuan order, it may eventually face the situation of not being able to receive the funds, and even waste so many electric buses in vain.
In general, BYD's choice to move to other markets is a big blow to the Indian market. But at the same time, India also needs to show greater sincerity and cooperation in the process of procuring electric buses in order to win BYD's favor. In this game, both sides need to make trade-offs and decisions to ultimately reach a win-win outcome.
Here, I would like to ask you a question: Do you think BYD should accept the order of 2 billion yuan?Feel free to leave a message, like and share your views!Let's discuss this topic together.