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BYD Puts Mexico Plant Plans on Hold Amid U.S. Trade Uncertainty

Jul 02, 2025, 11:40 p.m. ET

AsianFin -- The world’s largest electric vehicle maker, BYD, is pausing plans to build a major manufacturing facility in Mexico, citing growing uncertainty around U.S. trade policy.

In an interview with Bloomberg on Wednesday, Stella Li, executive vice president of BYD, said the company remains committed to expanding its footprint in the Americas but is holding off on firm timelines.

“Geopolitical issues have a big impact on the automotive industry,” Li said. “Now everybody is rethinking their strategy in other countries. We want to wait for more clarity before making our decision.”

The comments confirm BYD’s cautious stance first reported by Bloomberg in September, when sources said the company would delay any major plant announcements in Mexico until after the U.S. presidential election.

In March, Mexico’s newly elected president Claudia Sheinbaum noted that BYD had yet to submit a formal investment proposal.

Despite its rapid global growth, BYD faces rising scrutiny in key Western markets. The U.S. recently launched a probe into Chinese EVs over data security concerns and imposed fresh tariffs, prompting Chinese automakers to tread carefully with North American expansion plans.

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