Wall Street Analysts tear apart new BYD Seal; claim Tesla should be worried

recent reports have emerged in the United States that analysts have torn down a byd seal in fact this happened in Japan a few months ago analysts in Japan said Tesla should be wiring now analysts in the United States are saying the same thing they're saying the new bydcl is so good Tesla is in trouble is this true do I agree with these comments is it backed by a fact or is this hyperbole coming from the whole Tesla leads let's create Sensational journalism well let's let's have a look at some actual real facts here the seal is it a good car yes and no now we need to have a look at the journalists what they've actually said because tearing down the car is one thing but driving it is something different so let's have a look at both the tear down and what journalists are telling us about the new byd seal and the price because pricing matters if the seal costs as much as a Rolls-Royce no one would buy it but if it costs a lot less than a Tesla well that could be a very different story hello my friends welcome to the channel great to see you thank you for tuning in I'm Sam Evans you're watching the electric Viking and I want to say a big thank you to our patreon supporters and our YouTube members this year if you'd like to be a member you can get access to some of our videos in advance and if you'd like to be a patreon supporter that would really help support the channel thank you so much either way be ready seal it has a structural battery pack after Tesla revealed the idea the concept of a structural battery pack byd when you know what that's a great idea and they got to work they basically created the same thing within a very short period of time and they're now using their CTP they call it basically sell to pack structural battery pack that came up with a different name than what Tesla uses which makes sense now they're now using it on a number of different electric cars it's not only the seal that uses that structural battery pack so is it a good vehicle yes I mean it has bod's blade battery that's a good battery pack not expensive it's not the world beater like a lot of people claim people claim that it's a miraculous battery that can do miraculous things that's not true it's a very good battery but it's certainly for example I don't think it's quite as good as the new lithium-ion phosphate Battery Technology unveiled by catl and objectively speaking it's definitely not but it doesn't mean it's not excellent for the price price matters by DOD make a lot of money selling blade batteries to other companies who also think they're good so that says something in and of itself now Wall Street analysts from Swiss Investment Bank UBS recently got up close and personal with the byd seal to compare it to a Tesla Model 3. now they weren't comparing it to the current Tesla Model 3 I don't think anyway analysts at UBS tore down the seal and Wall Street analysts well they don't normally do this but apparently they got people experts to do this and they're saying that Tesla should be worried now I just want to say right here I do not agree with this in fact I believe this is nonsense now is the seal good yes should Tesla be worried No let me explain to you why not and I think it's very likely you're going to agree with me because I'm going to give you the opinions of people who probably have a bit more Merit to their thoughts than these analysts but anyway I'm curious to know what you think after I've explained to you the seal mid-size electric sedan made by Chinese EV giant byd which is of course backed by Warren Buffett's Berkshire Hathaway although they have sold a lot of stock lately is described by UBS as a great model 3 alternative for a fraction of the cost now first of all we have to debunk some of these phrases bit by bit is the seal a fraction of the cost actually no it's a beards seal costs more in Europe than it Tesla Model 3 not much it's only a couple of percent but technically it's more expensive now it's actually not really more expensive it's probably on par because you've got to say well if one of them has these features the other one has these things kind of even out between the two cars realistically the Tesla Model 3 and the bydcl are basically pretty close to being on par in price in Europe we don't know the price of the seal in other car markets but we do know the seal has been on sale for a long time in China and it's not selling very well so even if Chinese consumers believe this seal is good or whether they do or not we don't really know all we know is they're not buying it it's one of the worst selling new electric cars bod has basically launched to the Market within the last three years it's been a bit of a flop for the company that's statistically true at this point in time maybe be what you'll be thinking yeah it's not selling here in China so let's actually sell them everywhere else at really good prices at this point in time though the price of the seal is not it's not a cunning Tesla at all not even by a single Cent so I'm not really sure why these analysts from Wall Street have ignored that reality anyhow in a note to clients picked up by Business Insider the bank said that tearing down the seal strengthened its belief that Chinese car makers are here to stay and they will dominate the global electric car market according to UBS the seal Rivals the model 3 in many ways at a 10 to 20 percent lower selling price now it's a 10 to 20 lower selling price in China although the Tesla Model 3 outsells it significantly but it's not cheaper anywhere else not yet among the Bodacious advantages over the model 3 analysts mentioned the larger interior space rotational Central cockpit screen and 5G connectivity now I should say it is true the interior space is a little bit bigger I've looked at the all the videos look at the sizing a little bit bigger on the inside but the model 3's boot space is about 28 bigger much bigger boot in the model 3 I believe it's 400 liters versus 591 so huge difference in boot space yes the interior of the car is a little bit bigger for the seal because actually it's a bigger car it's around about a five percent bigger car packaging though probably isn't quite as good as a model 3. basically the size of the car should dictate there's more interior space than there actually is the bank said that when comparing power performance cost efficiency and energy density the body seals Electric System is in line with the competition despite being at the relatively lower end of the range especially compared to the leading solution provided by the Tesla Model 3. now we need to address that objectively this standard range version of the model 3 which uses what is estimated to be around a 56 kilowatt hour usable battery pack size basically the same size as the battery in the bywayd 803 well Tesla is getting 511 kilometers of WL 513 kilometers around there of wltp range from that battery byd actually has worse efficiency on the seal efficiency is about five about five to eight percent lower depending on the variant so Tesla's model 3 is actually significantly more efficient than the seal UBS also noted the bods sell to body Battery Technology enables more in vehicle leg room improved performance performance times are actually identical for the standard range models lower manufacturing costs and a low carb profile which favors aerodynamics the OCD of the seal is actually not quite as good as the Tesla Model 3 so when it comes to aerodynamics that's not true either as you can see um it's just bit by bit here debunking this report not not emotionally here just purely objectively but the big bombshell is about to come in a minute I'm going to reveal to you something that I think the analyst definitely didn't mention whether or not that they're aware of it they should have been the four carpet of the passenger cabin is directly above the battery cell stack and the top cover of the battery pack serves as the floor of the car body eliminating one more layer of aluminum or steel said the analysts this is a good way to build the car bod have done a really good job doing that the only thing is the weight of the model 3 is lower than the weight of the equivalent seal so that said this the ability seal actually comes with a bigger battery pack not a lot more rain not really any more range but I mean the battery pack is bigger so it's sort of unfair to compare the weight for weight but I don't think that you'll find the model 3 is uncompetitive on weight it weighs about 1760 kilos whereas the cheapest sealed is around 100 kilos heavier than that around to about 200 pounds the Ted end also revealed though that unlike Tesla bydf appears to be avoid investing on a in autonomous driving technology opting to equip the seal with a third-party level 2 Advanced Driver assistance system instead and here's where things start to get problematic byd have admitted that their Advanced Driver assistance systems whether that's just simple things like autonomous semi-autonomous driving whether that's just general safety systems is significantly inferior in fact Euro end cap said the same thing it gave well most bird vehicles have scored low 70s to high 60s on Safety assistance meaning in comparison to Tesla they are light years behind byd have even admitted that themselves journalists have said exactly the same thing numerous reviews from Europe and the UK have pointed out that the Safety Systems in the seal are need work to put it kindly in fact I had a conversation with a journalist in Sydney at fully charged who reviewed the bydc I'm not going to say who they were and said its safety systems were atrocious in comparison not me Don't Kill the Messenger I'm just telling you what I got told ultimately UBS analysts said the byd seal is cost competitive thanks to its vertical integration suitable specs and volume scale now before I go on I should mention ability are very well aware of this and they are working to invest on their safety systems there basically their adash systems they're called Advanced Driver assistance Safety Systems Technology they're definitely working on that they're very well aware that they need to improve that area and they are certainly investing money on it should Tesla really be worried UBS thinks chesla should be it says that biod aside other Chinese car makers have the capability to gain market share from foreign brands on its structural and continuous basis analyst said it's not unlikely Chinese will find success in the US in the near future after making significant progress in Europe now is what they quoted and it's very strange that they said this without recognizing the structural tax differences China's car makers currently have systematic EV costs advantages versus U.S European incumbents while offering wider product lineups than Tesla and covering more segments especially Mass Market UBS analysts concluded in Europe Chinese eBay's um well they're about to flood the market but they're not selling Volkswagen group CEO he's correct it's very clear to see why that one of the reasons they're not selling aside from the brand is they're overpriced based on China I mean these analysts are providing you these fanciful numbers which are great but I often say on this channel guys there's a seven thousand dollar EV in China I'd love to have this but they're not sold anywhere else and if they are they double the price that's the case for Chinese EVS in Europe pretty much not everywhere but it's in particular in Europe Chinese EVS in Australia pretty well priced New Zealand slightly not quite as good but pretty well priced Israel Thailand Thailand very well priced Europe no not at all so are they going to flood the market and potentially sell a lot they could but they would have to reduce their prices significantly because in Europe there is a stigma around Chinese EVS that's why they're not selling look at the chart sales numbers the only Chinese manufacturer doing well in Europe is not byd in fact bod have had vehicles for sale there now for about a year and a half and they're selling a pittance it is mg people believe mg is a British car company and therefore they're willing to buy the mg4 which is by the way quite a good car however the stigma around Chinese Brands still exists in Europe that will be a significant hurdle the UBS analyst didn't point out they also didn't point out the fact that Chinese EVS are not even cheap in Europe yet will they be I think they will at some point not yet though because they're using traditional dealer networks that sell their cars they're putting big markups on top of what PMD is probably selling it to them too and that is a big problem now is the seal technically a better car than the model 3 well no that's an objective reality there is not a single journalist in the world who claims otherwise uh so is the seal a good car yes definitely should you consider it well it depends on what country you're in what the price is we don't we don't know yet what the build steel price will be in Australia New Zealand but at this point in time I don't believe the seal is any kind of threat in any way to the Tesla Model 3 or any Tesla vehicle in Europe simply put it's not affordable enough it's the same price or slightly more expensive and byd is an unknown brand in China in Europe therefore I don't believe this report from CBS or UBS analyst has a lot of Merit to it the other challenge here is reviews in Europe reviews in the UK of the seal they haven't exactly been kind in fact they've been quite scathing Top Gear recently reviewed the seal and gave it six out of ten one of the worst scores I've seen at give any car in the last three years it was particularly scathing it was fairly short it seemed as though they didn't really have any significant interest in talking about a car because they felt like what they were going to say was going to be negative now do I agree with that I don't I mean I can't even say I've driven the thing I drove a byd car I own one the 803 it was a pretty good cut for the money it was a good car now is it comparable to say a Tesla Model 3 in terms of the software the driving experience in my opinion absolutely not now do you get good value for money yeah but model 3 and the seal they're really different products the software system in Tesla's EBS gets an average score on and cap of 94. that is worlds away from bod Safety Systems the perception in China of Tesla is very different to the perception of byd byd is sort of perceived more like Toyota like a modern version of Toyota in China Tesla is still actually perceived as being a more premium car now is it well that depends on the opinion of the person you ask but that's the perception in China I don't see that changing anytime soon and by the way the Chinese car market is 28 million cars a year there's plenty of room for Tesla and byd to disrupt the actual players who are going to fail over the next five years 10 years the car companies like Mazda Subaru Nissan Toyota themselves basically the entire Japanese automotive industry that isn't that still really isn't all that interested in selling electric cars they're the ones that are low hanging fruit they'll be the ones that Tesla and bearded will disrupt rather than byd disrupting Tesla I think that's kind of the wrong way to look at it it's Tesla and byd going after everyone else they're the ones who should be concerned about the byd seal thanks for watching

Channel: The Electric Viking

Views: 90,920

Keywords: electricvehicles, evs, #electriccars, electricfuture

Id: LWblJNgrGaI

Length: 16min 7sec (967 seconds)

Published: Thu Sep 14 2023