Is the price war reaching Europe? BYD "Dolphin Surf" officially lands in the UK market, priced at only £18,650
BYD launched the small electric vehicle "Dolphin Surf" in the UK at £18,650 (approximately 180,000 yuan), with a price of less than £6,000 for the Chinese version. In the first four months of this year, the market share of Chinese brands in the UK and European markets rapidly increased from 2.9% to 4.8%, with the UK accounting for nearly 30% of Chinese models exported to Europe. In response to price cuts by car manufacturers, Western car companies have begun to adopt lithium iron phosphate batteries to reduce costs. However, analysts believe that Chinese brands still have attractiveness due to their technological advantages, such as BYD's plan to introduce ultra-fast charging technology to Europe within 12 months
BYD is launching its cheapest and smallest electric vehicle, the Dolphin Surf, in the UK market. This model, with a starting price of just £18,650, marks a move by the Chinese automaker to capture the European market with its price advantage.
According to the latest report from the Financial Times, BYD has introduced the Dolphin Surf in the UK, starting at £18,650 (approximately RMB 181,959). This model is the UK version of BYD's best-selling model, the Seagull, which sells for less than £6,000 (approximately RMB 58,539) in China, only one-third of the UK price.
"Compact cars are the next frontier for electrification in Europe," said BYD Executive Vice President Li Ke at a recent car launch event in Rome, noting that the electrification process for small cars is slower than that for larger SUVs.
Market data shows a rapid growth trend for Chinese brands. According to Schmidt Automotive Research, the market share of BYD and other Chinese brands in the UK and continental Europe has increased from 2.9% in the first quarter of 2024 to 4.8% in the first four months of 2025.
Data from the UK online car trading platform Auto Trader shows that from January to April this year, the inventory of Chinese electric vehicles increased tenfold year-on-year, with over 3,300 cars available for sale. This accounts for nearly 3% of the platform's new car inventory, compared to just 0.2% in the same period last year.
Has the price war in the automotive industry spread to Europe?
The price war in the automotive industry seems to have spread to Europe. Reports indicate that Renault and Volkswagen are leveraging Chinese engineering expertise and components to accelerate the development and reduce the costs of compact electric vehicles planned for launch next year. Automotive analyst Matthias Schmidt stated:
Once they enter the market, we will see prices decline.
Analysts point out that as Western automakers adopt cheaper lithium iron phosphate batteries to compete with Chinese rivals, and as Chinese automakers increase local production in Europe to avoid tariffs, there is still room for further price reductions for small electric vehicles.
Leapmotor's Senior Vice President Cao Lizhou told the media on Wednesday that the convergence of electric vehicle and fuel vehicle prices is a major trend in the European market. Ian Plummer, Commercial Director of Auto Trader, noted, "Increased market competition and the emergence of new models may bring more favorable price pressure to buyers in the short term and are expected to drive further innovation and market growth in the medium term."
Even as prices converge among various automakers, analysts believe consumers may still be attracted to the advanced technology and software of Chinese brands. For instance, BYD's Li Ke recently told Belgian media that the group plans to introduce ultra-fast charging technology to Europe within the next 12 months
