
BYD’s charm? At $1.2 billion, FII flow into China largest in last 5 months
Chinese equities this week — the largest weekly inflow since October 2024 — as blockbuster rallies in electric vehicle giant BYD and Chinese AI firms reignited confidence in China’s market rebound, driving global fund managers to ramp up their bets on Asia’s biggest economy.
According to Elara Securities’ Global Liquidity Tracker, foreign fund flows into China totaled $1.2 billion this week — the highest since Beijing’s quantitative easing triggered a buying spree in October. The surge signals a decisive pivot, with emerging market fund managers steadily increasing exposure to China over the past six weeks after months of caution.
“Since the past six weeks, most incremental EM flows by foreign funds are moving into China and Hong Kong,” Elara said. “There is a clear preference visible towards China by EM fund managers after a long time.”
BYD powers China’s rally, closes in on Tesla
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Leading China’s charge is BYD Co, whose Shenzhen-listed shares have surged over 31% in 2025, driven by a breakthrough in ultra-fast charging technology that delivers 400 kilometers of range in just five minutes — a potential game-changer for global EV adoption.
The rally has pushed BYD’s market capitalization past $155 billion, narrowing its gap with Tesla, the world’s largest EV maker. As of Friday, Tesla’s market value stood at $756 billion — roughly five times that of BYD.
While Tesla faces mounting challenges in China, including a 49% year-on-year plunge in February shipments to 30,688 vehicles — the lowest since