In September 2025, China’s electric vehicle and hybrid manufacturer BYD reported UK sales of 11,271 units—an 880 % increase over the same month last year—elevating the UK to BYD’s largest market outside its home country. This performance comes even as BYD remains ineligible for the UK’s new £650 million electric vehicle subsidy scheme.

The surge was powered in large part by the plug-in hybrid variant of the Seal U sport utility vehicle, which accounted for a substantial share of the volume. The company’s UK share of new-car registrations in September rose to 3.6 %, placing it a close second behind Tesla in pure EV rankings and among the top brands overall in the UK market.

Industry data underscores that last month saw the UK’s strongest new-car sales performance since 2020, with registrations up 13.7 % year-on-year to 312,887 units and electrified vehicles (battery EVs and plug-in hybrids) making up more than half of all sales.

Analysts note that BYD’s rapid ascent benefits from the absence of import tariffs on Chinese EVs in the UK—a contrast to policies in the European Union and the United States, which impose protective levies on Chinese-made vehicles. BYD’s competitive pricing and aggressive retail expansion also contribute: the company recently opened its one-hundredth UK retail outlet.

However, BYD’s exclusion from the UK subsidy scheme remains a sticking point. The grant, capped at £3,750 per car and limited to models meeting specific emissions and manufacturing criteria, excludes many Chinese models based on rules concerning emissions in their supply chain. BYD has publicly criticized the exclusion, warning it may distort long-term market competition.

Meanwhile, BYD reported a 5.5 % year-on-year drop in its overall global sales for September—its first monthly decline in 19 months—primarily due to weakening domestic demand in China. The company has adjusted its 2025 sales target downward from 5.5 million to 4.6 million units and is increasingly relying on export markets to sustain growth.

Despite the global slowdown, BYD’s success in the UK signals a significant rebalancing. The European market is now central to its international strategy, and industry observers suggest that continued momentum in the UK may reshape competitive dynamics across Europe’s EV sector.