The world’s second largest electric vehicle (EV) maker BYD has agreed a $1 billion deal to build an EV manufacturing plant in Turkey as it continues overseas expansion.
The new European plant will reportedly have capacity to produce up to 150,000 vehicles per year, according to Turkish government.
BYD is also building a gigafactory in Hungary that will begin production next year.
Production in the Turkey plant is due to begin by the end of 2026 and will likely create 5,000 jobs.
China’s biggest EV automaker will however face a total tariff rate of 27.4% on EVs imported from China into Europe.
Europe is still deciding on tariff hikes for imported Chinese electric vehicles, potentially reaching multi-billion figures.
Turkey is part of the EU’s Customs Union, meaning vehicles can be exported to the bloc without additional duties, according to the FT.
