In recent days, some rumors suggested that BYD, a Chinese automaker, was interested in acquiring Chrysler, an American brand of Stellantis. However, both companies have denied these rumors, with BYD calling them “fake news” on its official Weibo account. Subsequently, Stellantis also denied the rumors, stating that there are no “ongoing negotiations with BYD.”
Stellantis: BYD labels rumors about interest in Chrysler as “fake news”
The rumors began circulating when some BYD executives visited Stellantis facilities in North America, such as the Chrysler Technical Center in Auburn Hills and Chelsea Proving Grounds in Michigan, as well as the Brampton and Windsor plants in Canada. If it’s not for the acquisition of Chrysler, rumors suggest that something is definitely in the works.
BYD has been recording record numbers in recent years, particularly in the electric vehicle sector. Last year, it delivered more than 3 million vehicles in China and has begun its expansion in Europe, with new plants in Hungary and, later, in Turkey. The Chinese automaker is also partly owned by Berkshire Hathaway, Warren Buffett‘s company, which holds a 6.9% stake in the company.
The company is therefore interested in entering the American market, one of the most important in the world, but to do so it must find a solution to avoid paying tariffs, which have increased to 100% following trade tensions between the United States and China. One possibility would be to acquire an automaker or open a plant to assemble its models in the country. The first option would seem simpler, however.
The rumors began circulating also following statements by Carlos Tavares, CEO of Stellantis, who said he was considering the possibility of selling some of the brands that are performing poorly in the market. Chrysler, for example, currently has only one vehicle in its lineup: the Pacifica minivan. More models should arrive in the future, but at the moment there is no official roadmap. Analysts, even though a total acquisition has been denied, say that BYD could consider a collaboration with Stellantis like with Leapmotor.