BYD Restructures EV Research and Development Centre

BYD is reportedly set to overhaul the structure of its electric vehicle research and development centre by implementing a more decentralised scheme to address a sales slowdown over the past few months. According to Car News China on Saturday, the Chinese automotive manufacturer plans to split its Automotive Engineering Research Institute, which has been the centre of vehicle development, into five separate research centres based on brand. Under the new structure, the central engineering division will focus solely on developing core technologies such as the Blade battery, electric vehicle platforms, and electronic architecture. Meanwhile, product development, vehicle design, and chassis tuning will be handed over to each individual brand. The five brands that will have independent research centres include Dynasty, Ocean, Denza, Fang Cheng Bao, and Yangwang. A number of engineers from the central engineering division will also be transferred to the development teams of each brand. In addition to overhauling the organisational structure, BYD will also implement an independent profit-and-loss reporting system for each brand. Dynasty, Ocean, Denza, and Fang Cheng Bao are required to achieve their respective profit targets, while the premium vehicle brand Yangwang is temporarily exempted from this policy. Each brand will also be charged internal fees when using shared group technology and assets. This policy is intended to improve cost efficiency while clarifying business responsibilities across each brand line. The restructuring also aims to reduce product overlap that has occurred across various product segments. With a vehicle portfolio spanning a price range from 100,000 yuan (approximately Rp260 million) to over 1 million yuan (approximately Rp2.6 billion), the use of shared platforms is seen as triggering internal competition, particularly between the Ocean and Dynasty lines. This strategic change comes as BYD seeks to strengthen its penetration in the premium segment through the launch of several new models, including the Great Tang family SUV and the Seal 08 electric sedan. The move also coincides with a roughly 20 percent decline in BYD’s sales in the first five months of 2026, during which the company recorded sales of approximately 1.405 million vehicle units.