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Farley Names BYD His EV Benchmark, Musk Pushes Back

The clash highlights a turn toward price and manufacturing efficiency set by China’s fast-scaling EV players.

Overview

  • Ford CEO Jim Farley said on a podcast that he evaluated a Xiaomi SU7 instead of a Tesla because Tesla lacked a fresh model and he views BYD as the leader on cost, supply chain, manufacturing, and in-car tech.
  • Elon Musk replied that Tesla awaits approval in China for its Full Self-Driving driver-assist and said production at the Shanghai plant is the main constraint, with FSD still only partly authorized for public-road testing there.
  • Tesla’s Shanghai factory has become central to its sales, with about 85,600 deliveries in March and roughly 213,000 in the first quarter, near 60% of the company’s global total.
  • Farley’s comments arrive as Ford pivots to lower-priced EVs and hybrids, a strategic shift the company estimated at about $19.5 billion after its Model e unit lost $4.8 billion in 2025.
  • Farley has warned that Chinese EVs entering the U.S. could damage domestic manufacturing yet says Ford values Chinese partners, a tension that could shape where sub-$30,000 electric models reach buyers first.