Shares of BYD Co (SZ:002594) hit a record high on Tuesday as the company unveils its ambitious plans for smart driving. By equipping 21 models with the new ‘God’s Eye’ advanced driver-assistance system (ADAS), BYD is poised to revolutionize affordable electric vehicles.

This strategic move not only addresses safety concerns but also aligns with the global trend toward increased automation in driving technology. With the company showcasing its low-cost electric hatchback, the Seagull, priced below $10,000, it stands to democratize access to smart driving features.

BYD’s Expansive Smart Driving Plans

• BYD’s initiative will enable all models priced above ¥100,000 ($13,688) to feature the ADAS.
• The plans include variants like the Seal 05 DM-i plug-in hybrid, which starts at ¥89,800.
• This initiative positions BYD to compete aggressively against Tesla’s Autopilot and XPeng’s XNGP.

Investors are keen to see how this technological leap impacts the broader EV market and whether it sparks a potential price war, particularly with competitors like Tesla (NASDAQ: TSLA) and Nio (NIO).

Market Reaction to BYD’s Expansion

• Hong Kong-listed shares (HK:1211) rose to a record high of HK$345, settling 0.7% higher at HK$332.4.
• Shenzhen-listed shares (SZ:002594) reached ¥330.87, reflecting an upward trend since July 2022.

Investor Takeaways

BYD’s bold smart-driving expansion could redefine industry standards and drive adoption of advanced technologies in mass-market EVs. Positive stock movement indicates investor confidence, but the execution will determine continued momentum in this competitive landscape.