Chinese battery and electric vehicle manufacturer BYD is showing a model of its Han EV series at the 2020 Beijing Auto Show.
Evelyn Cheng | CNBC
BEIJING – Warren Buffett’s Berkshire Hathaway conglomerate has a greater stake in Chinese electric car maker BYD than it does in General Motors, according to a letter to shareholders.
Berkshire Hathaway has an 8.2% stake in Hong Kong-listed BYD and is the company’s eighth largest stake in market value as of December 31, according to the letter published on Saturday.
In contrast, the company held 3.7% in General Motors, the 15th largest holding.
BYD’s shares are up more than 300% in the past 12 months. GM’s are up 65% over the same period.
A Berkshire Hathaway unit first invested in battery and electric car company BYD in 2008.
The Shenzhen-based company has grown into a major automaker in the world’s largest auto market, selling more than 130,000 all-electric passenger cars in the past year. That is far more than start-up competitors for electric cars like Nio, which delivered a little more than 43,700 cars in the past year.
In January, GM became the youngest traditional automaker to accelerate its foray into electric vehicles by announcing a goal of ending production of all diesel and gasoline-powered cars, trucks and SUVs by 2035.
This follows the American automaker’s announcement in November that it would increase spending on electric car development by $ 7 billion. The new total of $ 27 billion will be used for the planned release of 30 new electric vehicles worldwide.
– CNBC’s Michael Wayland contributed to this report.