BYD has signed a new memorandum of understanding with ExxonMobil to expand joint research and development in hybrid electric vehicle (HEV) technology. The companies will collaborate on advanced powertrain designs, develop shared technical standards for hybrid systems and strengthen global supply-chain integration for critical materials such as lithium and nickel. This agreement builds on a decade-long partnership, during which ExxonMobil supplied high-performance lubricants for BYD’s hybrid models and supported laboratory testing at BYD’s Shenzhen and Shanghai facilities. Investors can expect accelerated prototype validation, with the first joint HEV modules slated for road trials in the second half of 2026.

In December, BYD sold 27,678 electric vehicles in Europe, marking a 229.7% increase from 8,395 units a year earlier. Year-to-date sales reached 187,657 units, up 268.6% from 50,912 in 2024, leading BYD to overtake its rivals as the world’s largest EV maker. This surge contributed to battery electric and hybrid models capturing 51.9% of the European market in 2025, according to ACEA data. Despite a domestic dip—420,398 units sold in December, an 18.34% drop year-over-year—BYD’s aggressive pricing and expanded dealer network across Germany, France and Norway have solidified its position abroad, suggesting sustained revenue growth and margin improvement in overseas markets.