Berkshire Hathaway, the investment firm controlled by US billionaire investor Warren Buffett, has liquidated its holdings in Chinese electric vehicle (EV) maker BYD, closing out a 17-year investment run that generated a more than 30-fold increase for the leading investment conglomerate, reports the South China Morning Post. The latest quarterly report from Berkshire Hathaway Energy, the subsidiary that directly held Hong Kong-listed shares of the Chinese EV maker, indicated a zero position in BYD, confirming a full exit after a series of stake reductions since 2022.
The divestment came as China’s EV industry grapples with slowing sales and shrinking profits amid oversupply concerns, issues highlighted by the US and the European Union for flooding their markets with cheaper products.
The EV industry has been the target of China’s anti-involution campaign, which aims to curb harmful competition by cutting excessive capacity. EV sales in China rose by 27% in August year on year, slowing from 40% growth in the first half.