Uber and BYD Team Up to Introduce EVs to Global Ride-Hailing Platform

By Akash Sriram

Uber and Chinese automaker BYD have announced a multi-year partnership aimed at introducing 100,000 new electric vehicles (EVs) to the ride-hailing platform worldwide. This collaboration will initially focus on Europe and Latin America, providing drivers with affordable pricing and financing options for BYD’s EVs. The expansion will also reach markets in the Middle East, Canada, Australia, and New Zealand.

In premarket trading, Uber’s shares saw an increase of approximately 2.5%.

High costs associated with electric vehicles and rising borrowing expenses have hindered EV adoption over the past two years, leading to slower-than-anticipated demand growth. However, growing concerns about climate change and the urgent need to reduce greenhouse gas emissions have driven an increasing global shift towards transportation electrification.

The partnership between Uber and BYD will offer a range of support for drivers switching to electric vehicles, including discounts on vehicle maintenance, charging, financing, and leasing, tailored to different markets. Uber CEO Dara Khosrowshahi emphasized that when an Uber driver transitions to an EV, they can achieve up to four times the emissions savings compared to a typical motorist, simply due to the higher number of miles driven.

Additionally, the companies plan to collaborate on integrating BYD’s vehicles with self-driving technologies on the Uber platform.

Meanwhile, Tesla, a key competitor in the U.S., is set to unveil its robotaxi product next month, looking to pivot following a decline in EV sales during the first half of the year.

BYD surpassed Tesla last year to become the largest electric vehicle manufacturer globally, although Tesla has since reclaimed the top position. In January, Uber announced it was partnering with Tesla to encourage the use of EVs among its drivers in the U.S., as it aims to achieve an emission-free status in U.S. and Canadian cities by 2030.