Chinese electric vehicle manufacturer BYD has confirmed that it will produce the electric version of its Atto 2 at its new factory in Hungary, with production scheduled to commence in the second half of the year. This development follows the initiation of trial operations at the site earlier this year, indicating BYD's commitment to expanding its manufacturing capabilities in Europe. The factory, located in Szeged, is expected to produce four different models, with a projected annual production capacity of 300,000 vehicles.

Currently, the BYD Atto 2, which was introduced to Europe in April, is being imported from China and is subject to substantial tariffs of nearly 30%. This situation illustrates the challenges foreign manufacturers face in entering the European market, particularly for electric vehicles. As the factory gears up for production, the Atto 2 is set to become more accessible to European consumers, thus potentially increasing BYD's market presence.

Additionally, it is worth noting that while the electric version of the Atto 2 will be manufactured in Hungary, the plug-in hybrid variant will still be imported from China. This dual approach allows BYD to leverage local production advantages while maintaining a supply chain for hybrid models. The strategic move to produce locally in Hungary highlights BYD's adaptability and foresight in responding to European EV market demands, contributing to the broader shift towards sustainable transportation in the region.