Chinese Tesla rival BYD produced over 3 million electric and hybrid cars in 2023, putting it on track to surpass Tesla's annual production for the second consecutive year. In 2022, BYD produced 1.88 million vehicles, while Tesla produced 1.37 million. Tesla produced 1.35 million cars during the first three quarters of 2023. Most of BYD's vehicles are lower priced than Tesla's and offer hybrid options in addition to all-electric models. Competition in the Chinese electric vehicle market is increasing.