China’s top electric vehicle maker BYD is making major changes to its European operations after early missteps threatened its expansion in one of the world’s most competitive auto markets.

According to six current and former executives, BYD initially struggled with dealer recruitment, hiring executives lacking local expertise, and pushing an all-electric lineup in countries still resistant to full EV adoption.

In response, the Shenzhen-based automaker has rapidly expanded its dealer network and aggressively poached talent from European rivals, notably Stellantis. Executives like Alfredo Altavilla, a former Fiat-Chrysler veteran, were brought on to reshape BYD’s European vision. Altavilla advised BYD’s founder Wang Chuanfu to pivot towards plug-in hybrids—a strategy the company formally adopted in December.

“Wang got the message quickly and instructed engineers to ensure all new models come in both EV and hybrid variants for Europe,” Altavilla told Reuters. “It’s necessary to educate customers in the green transition.”

Key hires include Maria Grazia Davino to lead Germany, Alessandro Grosso in Italy, and Alberto De Aza in Spain—talent BYD lured with generous pay and growth opportunities. “These were not people we were happy to lose,” said a Stellantis insider.

Further demonstrating its commitment, BYD appointed its global No. 2, Stella Li, to lead the European division, replacing Michael Shu. Shu had projected a 5% market share in Europe but BYD ended 2024 with just 2.8%.

Still, signs of a rebound are emerging. European sales more than tripled in Q1 2025 to over 37,000 vehicles. Industry experts say BYD is now addressing its European challenges with urgency. “They’re serious,” said Ayvens CEO Tim Albertsen. “But Europe is a long game.”

Meanwhile, BYD continues to dominate in China, where sales hit 4.2 million vehicles in 2024, outpacing Tesla as the world’s top EV seller.