BYD India Denies Reports of Manufacturing Facility in Hyderabad

Chinese electric vehicle (EV) giant Build Your Dreams (BYD) has denied recent media reports claiming it is set to establish a large-scale manufacturing facility in Hyderabad. The company issued a statement refuting suggestions that it had finalised plans to build a plant in India, despite widespread speculation and claims of ongoing discussions with local authorities. 

The clarification comes after reports suggesting that BYD would invest as much as ₹85,000 crore (approximately $10 billion) to build a state-of-the-art EV manufacturing facility in Telangana. The reports cited unnamed sources, claimed the facility would span over 500 acres, have an annual production capacity of 600,000 vehicles by 2032, and include a 20 GWh battery production unit. Some accounts even suggested that the Telangana state government had earmarked 200 acres for the project and that BYD was partnering with Hyderabad-based Megha Engineering & Infrastructure Ltd. (MEIL) for the venture.

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However, BYD has now formally dismissed these claims, stating that while it continues to explore business opportunities in India, no final decision has been made regarding the location or scale of any manufacturing investment. "We are actively assessing India’s market conditions and regulatory frameworks before committing to any large-scale investment," a company spokesperson said. "At this time, there are no definitive plans for a manufacturing plant in Hyderabad or any other location in India."

The company currently operates a modest assembly operation in Tamil Nadu, where it produces electric buses for the Indian market. The facility, though functional, is not indicative of large-scale automotive manufacturing. This has led to persistent speculation over the past several years that BYD would eventually set up a dedicated EV plant in India, especially as demand for electric vehicles grows.

India’s EV market, still nascent, is expected to expand rapidly in the coming decade, supported by government incentives, rising fuel prices, and shifting consumer preferences. BYD has made steady inroads into the Indian passenger vehicle segment, selling models such as the Atto 3 and e6 electric MPV. The company is also reportedly working on a more affordable sub-₹20 lakh model to target the mass-market segment, though timelines for that launch remain unclear.

In 2024, BYD operated 27 dealerships across India and aimed to expand to 47 by the end of the year. This expansion strategy includes a push into tier-II cities while consolidating its presence in metro areas. The company has indicated that local production would eventually be necessary to remain competitive on pricing, particularly in the volume-driven market.