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Yunnan Investment Group and BYD to open new energy vehicle plants in Southwest China

Yunnan Investment Holdings Group and BYD intend to open new energy vehicle manufacturing plants in Yunnan Province, expanding BYD’s EV and new-energy businesses into southwest China and neighboring Asian countries.

Yunnan Province, located in far southwest China, has a population of about 50 million, concentrated in about eight large cities, and borders with Myanmar, Laos, and Vietnam. Currently, the province’s main manufacturing industries are iron and steel production, copper-smelting and commercial vehicle production.

However, the province’s vast mineral and metal reserves (some of the largest in

China) promise to support strong growth in manufacturing. Yunnan also offers an annual water supply of 222 billion cubic meters, more than ten thousand cubic meters of water per person. With projected hydropower reserves greater than 103 GW, more than 70% of the electric power supply in Yunnan currently comes from water. This combination of natural resources and readily available electricity make Yunnan Province an ideal location for electrified transportation and new energy vehicle manufacturing, the partners said.

The BYD-Yunnan cooperation will follow three stages over the coming year.

  1. The market will be developed with BYD supplying Yunnan Investment Holdings BYD e6 electric taxis to be dispatched in the main cities of Yunnan (including Kunming, Qujin, Zhaotong, Honghe, Dali and Wenshen).

  2. Business development will then expand into electrified urban public transportation with BYD’s GreenCity Electric buses (for public transport, tourism shuttles, government and municipal facilities transport).

  3. Finally, with a market plan developed and base business established, BYD will work with Yunnan Investment Holding Group to set up a new-energy vehicle manufacturing base to serve all of southwest China and neighboring countries.

Yunnan is located in high-plateau area in China which makes gasoline car consumption 10% less efficient compared to lower altitudes—that’s why it is so urgent to develop electric vehicles.

—Yunnan Authorities

The Yunnan capital city of Kunming is also one of the 25 National new energy vehicle development pilot cities in China and has already announced a series of incentive policies to support the development of a new energy vehicle market.



Seems to be an ideal region to introduce and manufacture electrified vehicles on a very large scale. The local hydro-electricity potential could be developed simultaneously. Neighboring countries could also benefit.

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