According to the Financial Intelligence App, Citic Lyon released a research report and gave BYD Company Limited (01211) a "buy" rating. The preliminary CVD announced by the European Union for BYD Autos is 17.4%, which the bank believes is much more moderate than the market expected. The survey of local distributors indicates that tariffs may be resolved through price increases, reducing dealer incentives and erosion of BYD's profits.

The bank expects that the direct impact on BYD's profit in 2024 will be about 500 million to 1 billion RMB, accounting for 1% -3% of BYD's net income forecast. Overall, the bank believes that once BYD's Hungary factory is put into production, it will significantly reduce the impact of tariffs. In terms of profitability, the bank expects its sales to continue to grow and the structure to improve.