Lee Jae-yong, chairman of Samsung Electronics, who is visiting China, visited the headquarters of BYD, the world's largest electric vehicle corporation. Following a visit to Xiaomi, Lee's visit to BYD suggests an analysis that he is seeking cooperation opportunities in electronics with Chinese electric vehicle corporations.

According to the Chinese automobile industry on the 24th, Lee moved from Beijing to Shenzhen, Guangdong Province, on that day and visited the headquarters of BYD. It is reported that BYD Chairman Wang Chuanfu personally welcomed him. This was Lee’s first visit to Shenzhen in about seven years since May 2018, when he also visited BYD.

Lee Jae-yong, chairman of Samsung Electronics (left), meets with RAY chairman Lei Jun on Oct. 22 to discuss business cooperation plans, including electric vehicles. /Courtesy of Weibo

BYD, the largest electric vehicle corporation in China, has ascended to the number one position globally, surpassing Tesla last year. The corporation officially entered the South Korean market earlier this year and is expanding its overseas sales channels. Recently, it announced a super-fast charging system called 'Super e-platform' that can drive 400 km on a 5-minute charge, making a significant impact in the global electric vehicle industry.

On this day, Lee's visit to BYD has raised discussions about the potential expansion of Samsung's automotive electronics business in China. Lee also visited a Xiaomi electric vehicle factory in Beijing on the 22nd. Xiaomi has entered the electric vehicle business last year and is causing a sensation in China. Having delivered 136,854 vehicles last year, Xiaomi has set its target for this year at 350,000.

Samsung has a wide range of subsidiaries related to automotive electronics, including semiconductors (Samsung Electronics), displays (Samsung Display), and batteries (Samsung SDI), and is in a situation that requires a focused strategy to target the growing Chinese electric vehicle market.

Meanwhile, Lee has been staying in China since the 22nd to attend the China Development Forum (CDF), which opened in Beijing the previous day. Specific details regarding Lee's subsequent itinerary and how long he will remain in China have not been disclosed.