BYD Shares Navigate Speculation and Solid Growth Signals

Trading in BYD's Hong Kong-listed shares saw significant volatility today, driven initially by market rumors before being tempered by an official corporate denial. The session highlighted the ongoing tug-of-war between speculative sentiment and the company's concrete business developments.

Early in the trading day, BYD's stock price jumped more than 6% intraday. This sharp advance was triggered by widespread speculation on Chinese social media and financial news platforms. The reports suggested BYD was on the verge of launching a "flying car" project, internally codenamed "Yangwang Ufly." These posts drew connections to the company's existing megawatt fast-charging technology and its Xuanniao architecture, implying a potential entry into the competitive eVTOL (electric vertical take-off and landing) vehicle market, currently pursued by rivals like XPeng and GAC.

The rally was short-lived. At approximately 1:00 PM local time, Li Yunfei, General Manager of Branding and Public Relations for the BYD Group, issued a clear statement. He explicitly denied the company had "any corresponding plans or arrangements" for a flying car project. Li urged investors to maintain "a basic level of restraint and rational judgment" in a news environment often driven by speculative traffic. Following this clarification, the speculative premium evaporated from the share price, though trading volume remained elevated, indicating sustained investor interest.

Turkish Investment Confirmed on Schedule

Amid the rumor-driven noise, a substantive update on BYD's global expansion provided fundamental support. Officials from Turkey's Ministry of Industry and Technology confirmed that BYD's planned $1 billion investment in a manufacturing plant in Manisa is progressing according to schedule.

This confirmation directly countered prior media reports that suggested the project was stalled or had lost priority to BYD's expansion efforts in Hungary. Turkish authorities provided specific details:
* The process is "not stopped and continues as planned."
* The facility is designed for an annual production capacity of approximately 150,000 vehicles.
* It is expected to create around 5,000 jobs.
* The start of production is targeted for the end of 2026.

This development is strategically crucial for BYD. Establishing local production in Turkey is viewed as a key tactic to facilitate easier access to the European market, particularly in light of existing and potential EU tariffs on vehicles manufactured in China.

Should investors sell immediately? Or is it worth buying BYD?

Extending a Lead in the EV Race

The market's sensitivity to product rumors occurs against the backdrop of BYD's accelerating dominance in the global electric vehicle sector. Cumulative deliveries of new energy vehicles through November 2025 reached approximately 4.18 million units, representing year-over-year growth of 11.3%.

This performance contrasts with volume challenges faced by Tesla. According to analyst estimates, Tesla's total deliveries for the full year 2025 are expected to settle around 1.65 million vehicles, potentially marking a year-on-year decline. The widening gap underscores BYD's successful focus on broad mass markets, while Tesla contends with an aging model lineup and the phase-out of key subsidies in major markets like the United States.

Separately, BYD continues to advance its international retail presence. The company inaugurated a new showroom in Pohang, South Korea, today, marking another step in its strategy to capture market share across Asia and beyond.

Market Perspective and Technical Context

Investor attention now turns to the final delivery figures for the full year 2025, anticipated in early January. The confirmed timeline for the Turkey plant also removes a medium-term uncertainty factor for BYD's growth story in the EMEA region.

From a technical analysis standpoint, the share price managed to retain a portion of its daily gains despite the flying car project denial. This suggests underlying support from solid fundamentals, particularly the robust delivery metrics. However, the intraday peak, which was not sustained, now establishes a near-term resistance level. A key focus will be whether the strategic clarification refocuses market participants on BYD's core automotive and battery business, where it continues to outpace many competitors.