Wang Chuanfu, the 57-year-old billionaire founder and CEO of BYD Co. BYDDY BYDDF, has steered the Chinese automaker onto the global stage, positioning it as a formidable contender poised to outpace even Tesla Inc TSLA in fully electric vehicle sales.
Early Days
Wang’s journey from an impoverished village in eastern China’s Anhui province to leading a pioneering force in the automotive industry is nothing short of remarkable.
His roots in Wuwei shaped his resilience, facing the loss of his parents as a teenager and relying on support from older siblings for his education. His early career centered around mid-level government research in Beijing, focusing on rare-earth metals crucial to batteries and electronics.
Starting BYD
In 1995, armed with a loan from a friend, Wang founded BYD in Shenzhen. The company, under Wang’s leadership, was the first Chinese lithium-ion supplier to Motorola and Nokia in the early 2000s, establishing its presence in the battery industry before entering the car business.
BYD’s initial venture into electric vehicles began in 2003 when it acquired a failing state-owned automaker and introduced its first plug-in hybrid in 2008.
Despite initial setbacks, Wang’s vision and the company’s position as a battery manufacturer uniquely positioned BYD to thrive as China began subsidizing plug-in car purchases.
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Catching Buffett And Munger’s Eye
Warren Buffett recognized BYD’s potential with a $230 million investment via Berkshire Hathaway Inc BRK BRK in 2008. Wang’s engineering prowess and relentless work ethic, involving 70-hour workweeks, have been crucial.
Charlie Munger, the former Berkshire Vice Chairman who passed away last year, described Wang as a genius. "The guy at BYD is better at actually making things than Elon [Musk] is," he said in the podcast “Acquired” in an October 2023 episode, comparing Wang to the Tesla CEO.
China’s Musk?
As of the latest available information, Wang Chuanfu’s net worth is estimated to be nearly $15 billion, according to the Bloomberg Billionaires Index, primarily derived from a 19% stake in BYD.
But unlike Musk, Wang keeps a low profile, steering clear of social media. His focus on innovation and consumer needs has allowed BYD to offer a diverse range of affordable electric vehicles, challenging Tesla’s dominance.
The company’s success is attributed not just to government subsidies but also fierce competition with rivals such as Nio Inc NIO and Xpeng Inc XPEV, pushing BYD to innovate and optimize costs.
Wang’s 2023 global travels, engaging with auto shows, market launches, and state leaders, showcase BYD’s expanding footprint in over 60 countries. Analysts anticipate the launch of third-generation EVs next year, further solidifying BYD’s position.
Source: Bloomberg News
Image made via photos on Flickr and Shutterstock
Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.
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