On August 30, Hedin Mobility Group, a leading automotive distributor based in Stuttgart, Germany, announced that it has reached a landmark agreement with BYD, paving the way for the Chinese company’s German distribution network to expand its model portfolio. BYD’s German department, commonly referred to as BYD Automotive GmbH, has assumed responsibility for managing the distribution and spare parts of BYD models within the German market.
The agreement serves as a settlement for Hedin to promote its subsidiary, Hedin Electrical Mobility GmbH, which has been designated as the exclusive seller (Seller+) of BYD automobiles and spare parts in the German market, to BYD. As part of the settlement agreement, two pioneering stores in Stuttgart and Frankfurt, currently managed by Hedin Mobility Group’s German retail division, will be transitioned to BYD’s operational oversight.
Although the settlement does not sever Hedin’s connection to BYD entirely, The corporation will maintain its status as a licensed retail partner for BYD in Germany, operating three major sales outlets in Mannheim, Kaiserslautern, and Saarbrücken. Furthermore, Hedin Mobility Group will assume a dual role, acting both as seller and retailer in Sweden.
mentioned Anders Hedin, CEO & Founding father of Hedin Mobility Group.
The partnership enables BYD to solidify its position within Germany’s automotive landscape. As BYD’s partnership with German supplier networks expands, the company is poised to further solidify its presence nationwide through additional agreements and collaborations. By leveraging its control over spare components, BYD can ensure seamless management of client expertise through comprehensive vehicle maintenance and servicing, thereby streamlining the ownership experience.
Meet Stella Li, Vice President and Government Relations Expert at BYD Company Limited.
The transaction remains subject to regulatory approval and may be completed as early as the fourth quarter of 2024. In 2023, BYD acquired 4,139 BYD vehicles in Germany; by the end of July this year, that number had dropped to just 1,432 vehicles in 2024. The underlying driver of this agreement appears to be an effort to accelerate revenue growth at a lower cost.
Supply: Hedin Mobility Group
