Uber has teamed up with BYD to introduce electric vehicles to its ride-hailing platform on a global scale.


Uber and BYD, a Chinese automaker, have entered into a multi-year partnership to introduce 100,000 new electric vehicles to Uber’s ride-hailing platform worldwide.

The partnership, whichh will initially focus on Europe and Latin America, will provide drivers with competitive pricing and financing options for BYD’s EVs on the Uber platform. The partnership is expected to expand to markets in the Middle East, Canada, Australia, and New Zealand in the future.

The value of Uber’s shares experienced an approximate increase of 2.5% during the premarket trading session.

The adoption of electric vehicles has been hindered by high sticker prices and increased borrowing costs in the past two years, resulting in a slower growth in demand for such vehicles.

The global push for electrification in the transportation sector has been fueled by escalating climate change concerns and the urgent need to reduce greenhouse gas emissions. Uber and BYD are collaborating to provide drivers with discounts on vehicle maintenance, charging, financing, and leasing to facilitate the transition to electric vehicles.

Uber CEO Dara Khosrowshahi highlighted that switching to an EV can lead to up to four times the emissions benefits compared to a regular motorist, especially considering the increased time spent on the road by Uber drivers. The partnership also involves integrating BYD's vehicles with self-driving technologies onto the ride-hailing platform.

Tesla, a key competitor of BYD, is planning to introduce its robotaxi product in October following a decline in EV sales in the first two quarters of the year. Despite being overtaken by BYD as the world's largest electric vehicle maker last year, Tesla has reclaimed the top position.

Uber announced its collaboration with Tesla in January to encourage the use of EVs among its drivers in the U.S. as part of its goal to achieve emission-free operations in U.S. and Canadian cities by 2030.