New steel supply agreement for Hungarian plant strengthens BYD’s ‘produce in Europe, for Europe’ strategy, as Austria also confirmed as V2H pilot market
BYD, the world’s leading manufacturer of new-energy vehicles, has announced a landmark partnership with Austrian steel and technology group voestalpine to supply its new state-of-the-art passenger car plant in Szeged, Hungary. The announcement, made in Vienna by BYD Executive Vice President Stella Li and voestalpine CEO Herbert Eibensteiner, marks a major milestone in BYD’s accelerated strategy of localised production across Europe.
Under the agreement, voestalpine will supply high-grade sheet steel to support initial vehicle production at the Hungarian facility, which is scheduled to begin operations by the end of 2025. The move not only underscores BYD’s commitment to building a sustainable European supply chain but also signals its intent to be recognised as a true European manufacturer.
“Our commitment to the European market is strong, and as we’re showing here, it goes far beyond pure car sales,” said Stella Li. “We have come to Europe to stay in Europe – and to produce here. Every local supplier we announce is another significant step in our vision of being seen as a European carmaker. I’m delighted we are working with voestalpine – a company with a long-standing reputation for innovation and a progressive approach to decarbonisation.”
voestalpine, known for its advanced materials engineering and sustainability credentials, will begin supplying high-quality flat steel from its Linz facility this autumn. The materials will be used in key body structures and outer panels of BYD vehicles assembled in Hungary.
“With its high-quality steel products, voestalpine is a reliable and sustainable partner to the global automotive industry,” said CEO Herbert Eibensteiner. “We’re proud to support BYD’s European production debut and see this as the foundation for a long-term partnership.”
The Szeged facility is at the heart of BYD’s growing European footprint. In addition to manufacturing, the brand recently confirmed that it will establish its new European headquarters and its first dedicated R&D centre in Budapest. These developments are part of BYD’s strategy to deepen its integration into the European automotive landscape, with the company targeting vehicle sales in 29 European countries and a network of over 1,000 retail stores by the end of 2025.
Austria Chosen for BYD’s V2H Technology Pilot in the EU
In a further show of commitment to the Austrian market, BYD has announced that Austria will serve as the European Union pilot for its upcoming Vehicle-to-Home (V2H) energy technology. The initiative, developed in collaboration with a local partner, reflects Austria’s unique position as a leader in solar energy adoption, with more than half of households powered by solar systems.
BYD’s V2H technology will allow customers to store energy in their vehicle’s battery and discharge it to power their home – a solution that promises to enhance energy efficiency and reduce electricity costs. According to BYD’s Austrian dealership network, customer interest in V2H is already high, with half of all BEV buyers actively enquiring about its availability.
Specific details, including rollout timelines and pricing structures, will be confirmed in the near future. However, this announcement reinforces BYD’s long-term vision to bring smart, integrated mobility and energy solutions to Europe.
With an expanding product line, growing market share, and increasingly localised operations, BYD continues to redefine what it means to be a global brand with European roots – delivering innovation, sustainability, and value for the continent’s rapidly evolving mobility landscape.
