On September 15, 2022, the Hedin Mobility Group presented the man who was supposed to make electric cars from the Chinese manufacturer BYD a box office hit in Germany: Lars Pauly (53). On September 14, 2023, almost exactly a year later, Pauly’s interlude with the European BYD importer is over again. The manager and Hedin are going their separate ways, by “mutual agreement,” as the Swedish company, a car retail giant with annual sales of almost 5 billion euros, announced.
There was obviously no longer any agreement between Pauly and Hedin boss Anders Hedin (60). In a statement, Hedin described Pauly as a “recognized expert in the auto industry” and said he had also made “valuable contributions” to establishing BYD in Germany.
“Since the board and Lars Pauly have different views on the future strategy, we have come to the conclusion that a change in leadership is the best solution for all sides,” added Hedin. The search for a successor is ongoing, in the meantime Marcus Larsson (53) is taking over the management position at Hedin Electric Mobility GmbH.
Pauly came to Hedin as a Daimler veteran; he had worked for the Swabians in various functions for around 30 years. Among other things, he used his contacts to acquire Mercedes dealers. They are intended to help BYD ramp up in Germany. Four of the seven German BYD partners also have Mercedes dealer contracts.
So far, BYD’s models Atto 3, Tang, Seal and Han have not been bestsellers in this country. In the first eight months, BYD achieved a market share of just 0.1 percent with 2,666 new registrations. Recently, however, the curve has been pointing upwards: In August, the brand put a four-digit number of cars on the road in Germany for the first time with 2,034 new cars. And with the Seal U, another model is in the starting blocks.
According to European boss Michael Shu, BYD wants to become the largest foreign automobile manufacturer in Germany in the medium term. In 2022 it was Skoda with a market share of 5.4 percent. Shu is even aiming for a 10 percent share of purely electric cars. According to insiders, the manager expects six-figure sales in this country as early as 2026; there is talk of around 120,000 cars.
On the way there, BYD still has to overcome a number of hurdles. Some retailers criticize the Chinese manufacturer’s weak marketing to date. The sales structures would also have to be found first. In addition, the prices of the cars are still too high. Last but not least, there are cultural barriers. “BYD still needs to understand what makes a European market tick,” says one of the German traders.
Hedin boss Anders Hedin said on Friday: “Our efforts to establish BYD as a significant brand on the German market continue unabated.” Just without Lars Pauly. He needs a new task after 365 days.