Buffett-backed Chinese electric vehicle maker BYD to open truck plant in Canada

BYD, the Chinese electric vehicle maker backed by Warren Buffett, plans to open its first assembly plant in Canada, in anticipation of a surge in demand for electric trucks from municipalities and businesses.

BYD, often described as China’s Tesla, will open the plant next year in Ontario and hire about 40 people to start with, said Ted Dowling, BYD Canada spokesman. The Shenzhen-based company has decided to “significantly” accelerate its investment in Canada, as a growing demand for electric vehicles and provincial tax incentives create a more welcoming environment than the United States in the short term, he said.

“There is less of a barrier to entry when it comes to having Chinese products in Canada compared with the US,” Dowling said. The company, which is partly owned by Buffett’s Berkshire Hathaway, declined to say where in the province the plant will be, how much it plans to invest or if any government incentives were offered. It expects to make an announcement in a few weeks, Dowling said.

BYD’s plan comes as countries shift to electric vehicles to combat climate change and reduce health risks. The UK and France plan to ban sales of diesel and petrol cars by 2040, while China has said it will set its own deadline.

Some Canadian provinces are offering thousands of dollars in rebates to electric vehicle buyers, and companies are moving towards electric fleets, with grocer Loblaws unveiling its first fully electric truck last week.

A spokesman for Ontario’s ministry of economic development and growth declined to comment on any investment from BYD.