MAJOR domestic electric vehicle (EV) maker BYD Co. will increase prices of some car models starting next year, citing reasons including rising battery raw material costs and the scheduled expiration of some government subsidies.

In a statement published on its official Weibo account yesterday, the Warren Buffett-backed electric-car maker said that it will raise prices of its Dynasty, Ocean and Denza series by between 2,000 yuan (US$279.86) and 6,000 yuan.

Price adjustments for specific models will be announced later, Shenzhen-based BYD said. Customers who pay deposits for vehicles before Jan. 1, 2023 won’t be affected by the price hike.

BYD cited the end of the government’s EV purchase subsidies for pure electric and hybrid vehicles at the end of the year as a factor in its decision to raise prices.

The subsidy for a plug-in hybrid EV is currently at 4,800 yuan. For a pure EV, it is 12,600 yuan, the company said.

The raw material price for batteries has also jumped since the second half of this year, BYD said in the statement.

BYD’s move contrasts with Tesla Inc.’s decision last month to lower prices for China-made models as competition intensifies in the world’s largest market for electric vehicles.

BYD sold nearly 218,000 cars last month, more than double the number from a year ago.

(SD-Agencies)