Finance
China's BYD taps Italian parts makers to supply plants in Hungary, Turkey
Published by Global Banking & Finance Review®
Posted on February 10, 2025
2 min readLast updated: January 26, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on February 10, 2025
2 min readLast updated: January 26, 2026
BYD is engaging Italian auto parts makers for its new plants in Hungary and Turkey, aiming to strengthen its European market presence.
TURIN (Reuters) - China's BYD will meet Italian auto parts makers next week to discuss potential supplies for its two upcoming plants which will serve the European market, the EV maker's special adviser for Europe said on Monday.
The carmaker is building a site in Hungary, due to start operations in October and one in Turkey, expected to start production in March 2026.
Alfredo Altavilla - a former Fiat Chrysler executive - said the opening of two different plants over such a short span of time suggested BYD had a cautious approach to manufacturing operations, relying more on local parts suppliers.
He said Italian companies were the first to be invited in talks with the carmaker given their high skills and their supply contracts with premium brands, such as German ones.
"The other reason is that Italian suppliers are currently short of orders," due to the falling production of Stellantis, the country's sole major automaker, Altavilla said.
He added BYD had not yet decided whether to arrange similar meetings with parts makers from other European countries.
BYD's plants in Hungary and Turkey are expected to manufacture a total of 500,000 cars per year at full speed, translating into "a turnover of several billions of euros" for suppliers, Altavilla added.
The meeting will be held in Turin on February 20-21 with representatives from around 300 Italian businesses making all sorts of car components, BYD's global head for purchasing and an official for Italy's industry ministry.
(Reporting by Giulio Piovaccari, editing by Giulia Segreti and Louise Heavens)
BYD is building a manufacturing site in Hungary, set to start operations in October, and another in Turkey, expected to begin production in March 2026.
Italian companies were invited first due to their high skills and existing supply contracts with premium brands, as well as their current shortage of orders.
BYD's plants in Hungary and Turkey are expected to manufacture a total of 500,000 cars per year, which could generate several billion euros in turnover for suppliers.
The meeting with representatives from around 300 Italian businesses will be held in Turin on February 20-21.
BYD has not yet decided whether to arrange similar meetings with parts makers from other European countries.
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