The previous couple of years have seen a large inflow of Chinese language carmakers into Malaysia. Some got here in to problem the established manufacturers whereas others tried to carve a foothold within the small however rising battery electrical automobile (BEV) market.
Shenzhen-based BYD succeeded within the latter because it launched a slew of affordably priced BEVs that made the model a family identify amongst customers. Although Tesla may nonetheless be the BEV that the majority Malaysians aspire to personal, it’s BYD that has gained the recognition ballot with over 10,000 models offered since its native launch in late 2022.
Having created a extra mainstream pathway to BEVs, BYD’s subsequent step in Malaysia isn’t going to be simply introducing further new fashions to the lineup however an entire new model. Similar to many Chinese language carmakers, BYD additionally has a number of sub-brands beneath it and certainly one of them was a three way partnership with one of the vital premiere names within the automotive trade.
However earlier than we dive into Denza, we should always reacquaint ourselves a bit of bit on how a battery producer determined to increase to vehicles.
Acquisition and a nest of investments
In January 2003, BYD Auto was based following the acquisition of a struggling carmaker, Qinchuan Vehicle, from Chinese language state-owned weapons producer, Norinco. BYD’s first automobile was referred to as the Flyer which was carried over from Qinchuan and used outdated Suzuki mechanicals.
On the time, China’s BEV gross sales have been largely non-existent with conventional inner combustion engine (ICE) autos choking the nation’s main cities. BYD sensed a chance within the nascent BEV section and a 12 months after coming into the automobile market, it debuted the BYD ET pure electrical idea automobile on the 2004 Beijing Auto Present.
Being a small carmaker with no backing from the wealthier state-owned firms, BYD’s first electrical automobile idea was met with little fanfare. Although the general design is slightly typical of any idea automobile of the mid-2000s, the ET’s entrance finish resembles a first-gen Mercedes-Benz A-Class.
Fearing the backlash and any copyright infringement letters from the mighty Stuttgart luxurious model, BYD did a whole redesign of the ET idea automobile and offered it on the 2004 Guangzhou Auto Present in November.
The toddler carmaker launched some claimed figures for the idea which included a most vary of 400 km and was juiced up by a “high-performance” 200 Ah lithium-ion battery. None of those have been revealed within the idea showcase however apart from the ET, BYD additionally unveiled a prototype of an electrical model of the Flyer in a strange-looking sedan taxi kind.
Neither the ET nor the electrical Flyer went into manufacturing and BYD would ultimately launch its first self-developed automobile, the F3 which resembled a Toyota Corolla Altis in entrance, sported Honda Metropolis taillights, and was powered by a Mitsubishi-sourced engine. BYD would launch different fashions that resembled current Toyotas, Hondas, or within the case of the BYD F8, a Mercedes-Benz.
From a design perspective, BYD Auto appeared extra like every other smaller, impartial Chinese language carmakers on the time – lame, shoddy copycats.
In contrast to these smaller, impartial Chinese language carmakers although, BYD had a powerful imaginative and prescient for the trade and that’s by cleaner electrified autos. It launched the F3 DM in 2008 which was the world’s first mass-produced plug-in hybrid automobile (PHEV) and continued growing battery-powered autos.
The corporate’s potential in battery know-how caught the attention of worldwide enterprise capitalists and worldwide companies. When Warren Buffett introduced buying a ten% stake in BYD in 2008, it shook the enterprise world as he primarily invested in American firms. In a method, that boosted the credibility of BYD in worldwide eyes.
Mercedes enters
In 2009, BYD launched its first manufacturing electrical automobile, the BYD e6. The minivan is basically used for fleet companies like taxis and a few of its form was carried over from the ET idea 5 years earlier.
The e6 started BYD’s campaign for mass adoption of BEVs and in March 2010, the corporate would be part of forces with one of the vital storied names within the automotive world. The institution of Shenzhen BYD Daimler New Know-how was a 50-50 partnership between BYD and Mercedes-Benz.
In 2012, the Denza identify was unveiled and this appeared like a merger between David and Goliath. One was a rising carmaker that foreshadowed a future the place mobility goes electrical whereas the opposite was a legacy model that’s wanting sure to proceed to experience the wave of this new technology.
By this time, China’s center class was rising at a large price not seen by every other nation for the reason that finish of World Battle II. Overseas manufacturers started to begin noticing the ample alternatives opening up behind the Bamboo Curtain and Mercedes-Benz was not going to be overlooked utterly by its opponents.
Apart from penetrating the Chinese language market, the German large was additionally attempting to know the best way to market electrified autos within the nation which was slowly rising because of beneficiant subsidies and incentives.
In the meantime, the Denza identify is phonetically comparable to Mercedes-Benz in Chinese language and therefore, the resemblance to the German carmaker. In Chinese language, Denza is roughly translated to “rising energy and momentum”.
Mercedes exits
In idea, partnering with a widely known large that actually invented the car might have been fruitful for each firms however that has not all the time been the case. Similar to Ssangyong’s collaboration within the Nineteen Nineties, BYD’s and Mercedes’ partnership didn’t produce the meant success each had hoped for.
The primary Denza mannequin launched was the Denza EV which was primarily based on the Mercedes-Benz B-Class and utilized powertrains from the BYD e6. Designed by Olivier Boulay who was largely recognized for overseeing most of Mitsubishi’s designs within the early- to mid-2000s, the electrical automobile seemed weird.
With a wierd rear design that included a sedan-like boot with the B-Class’ mini-MPV proportions, the primary Denza was too bizarre to go well with Chinese language tastes. It obtained a number of updates all through the 5 years in manufacturing, largely with modifications in vary to a most of 500 km.
Following its discontinuation in 2019, Denza launched its second mannequin, the Denza X which was provided as each electrical and PHEV guises. In comparison with the weird-looking first Denza, the Denza SUV lasted for less than 2 years with a mere 9,133 models which is 1.5 instances fewer than the Denza EV.
Mercedes-Benz noticed little returns from this three way partnership and introduced that it was decreasing its stake to 10% in 2021. The alliance dropped Daimler’s identify and was modified to Shenzhen Denza New Vitality Car Co Ltd.
BYD might have simply closed the model and referred to as it a day however for these dreamers, giving up has by no means been a part of their agenda.
Denza restructured
In an interview with China’s Auto Sohu following the launch of the BYD F3 in 2005, Xia Zhibing, the final supervisor of BYD Auto on the time recalled the corporate’s founder’s response to an preliminary prototype that failed to satisfy expectations.
“The primary mannequin we have been going to launch, codenamed 316, was scrapped and by no means made it to the market. The corporate spent some huge cash and after a 12 months of growth, we obtained loads of criticisms when 316 was first revealed to sellers,” Xia informed the Chinese language web site.
He continued, “Our Chairman Wang Chuanfu lastly determined to not launch this product and smashed the prototype automobile along with his personal arms. I nonetheless bear in mind the climate clearly. It was chilly and wet, about 2 or 3 levels, and we have been all in a nasty temper.”
Regardless of wanting very very similar to a photostated Corolla Altis, the F3 turned an enormous success and cemented BYD amongst Chinese language customers. Within the case of Denza, BYD sensed potential with the model as not merely an electrified collaboration with Mercedes-Benz however an entire new luxurious model.
The timing was proper for BYD as it could quickly see a exceptional trajectory in gross sales domestically and abroad. In China, the model has already established itself because the go-to model for the nation’s new power automobile (NEV) section which swimming pools collectively each BEVs and PHEVs.
With the BYD model changing into mainstream, the corporate turned Denza right into a luxury-oriented model and launched its first all-new mannequin after a 12 months of restructuring in 2022. The Denza D9 could be clearly impressed by the Toyota Alphard to some however even amongst China’s fashionable boxy MPV market, it turned successful amongst customers.
Denza additional expanded its vendor community and started to launch new fashions and updates yearly. Following the Denza D9 have been the Denza N7 in 2023 and the Denza Z9 in 2024. Final 12 months additionally noticed the model increasing abroad with Hong Kong changing into its first world and right-hand drive (RHD) market.
In September, Mercedes-Benz introduced it relinquished its remaining 10% stake in Denza because the reborn model turns into a totally owned subsidiary of BYD.
Denza might be making its strategy to new markets in 2025 together with Malaysia. As reported in November, the Denza D9 would be the first mannequin to be launched across the first quarter of the 12 months (Q1 2025).
What can we take into consideration the D9? Properly, you’ll have to keep tuned for the subsequent a part of this sequence of articles. That is solely the start for Denza.
Additionally learn: Confirmed for Malaysia: Denza D9 to launch in Q1 2025, first of many extra upscale BYD fashions
