Uber, BYD to deploy 100,000 EVs in major global deal

Uber Technologies Inc. has announced a major partnership with Chinese automaker BYD Co. to integrate 100,000 electric vehicles (EVs) into its ride-hailing platform.

The deal, unveiled on Wednesday, marks a significant collaboration between American and Chinese firms and excludes the US market due to current trade tensions.

The multiyear agreement will commence in Europe and Latin America, with plans to expand into the Middle East, Canada, Australia, and New Zealand.

The partnership aims to offer lower vehicle pricing and financing options to drivers, aligning with Uber’s goal to transition its fleet to electric vehicles. CEO Dara Khosrowshahi had previously flagged challenges with this initiative.

BYD, which has been expanding rapidly in China, will use this deal to boost its presence internationally. The company’s recent international efforts include a new plant in Thailand and future factories in Brazil, Hungary, and Turkey.

Despite growing US-China tensions and proposed tariffs on Chinese EVs, Uber and BYD are focusing their initial rollout outside the US. This move comes as part of Uber’s commitment to have all rides in certain cities occur in electric vehicles by 2030.

Currently, only 8.2 per cent of Uber’s rideshare miles in the US and Canada and 9 per cent in Europe are completed in zero-emission vehicles.

The partnership also aims to address key barriers for drivers, including vehicle costs and financing, and may include discounts on charging, maintenance, and insurance.

Attribution: Reuters