BYD Co. remains confident of selling three million clean cars this year despite economic challenges and an intense price war in the world’s second-biggest economy, founder and chairman Wang Chuanfu told analysts at a briefing Tuesday.

China’s best-selling auto brand also signaled solid profits will continue in the second half of 2023, further boosting the outlook for the company.

BYD unveiled Monday a 145% increase in second-quarter profit to 6.8 billion yuan (US$934 million), and a 67% jump in revenue to 140 billion yuan after selling a record number of cars in a three-month period.

A price war started by Tesla Inc. at the start of the year has squeezed other electric vehicle (EV) manufacturers. Domestic EV manufacturers Xpeng Inc. and Nio Inc. this month reported wider-than-estimated second-quarter losses.

Shenzhen-based BYD, however, has resisted joining the price war, instead relying on its broad range of models and price points to attract buyers.

For BYD, “the clear message is they’re not” going to cut prices, Ding Yuqian, head of China autos research at HSBC Qianhai Securities, said yesterday.

“The upgraded product mix could help them mitigate largely from the pricing side, so they stay more resilient and disciplined,” she said.

BYD has sold 1.5 million fully-electric and hybrid passenger vehicles this year through July, half way to its annual target. (SD-Agencies)