BYD has jumped into the medical supplies business and almost overnight has already become one of the largest manufacturers of surgical masks.
BYD is growing its efforts to help alleviate severe shortages that have affected hospitals in the face of the COVID-19 global outbreak.
BYD’s manufacturing plant in Shenzen, China is mass-producing sanitary face masks, and is now running at full capacity.
The plant can produce 5 million masks and 300,000 bottles of disinfectant per day.
The supplies will “help alleviate severe shortages that have affected hospitals and agencies across China in the face of the global COVID-19 outbreak,” the company said in a statement.
BYD Chairman and President Wang Chuanfu has appointed a special task force consisting of leaders from different business divisions and more than 3,000 engineers involved in research and development, design, processing and other roles.
“A production line for high-quality face masks requires about 1,300 parts for various gears, chains, and rollers, 90% of which are BYD’s self-made parts,” Sherry Li, director general of BYD’s President Office, said in a statement.
BYD and Berkshire Hathaway
In 2008, Berkshire Hathaway bet on BYD’s potential, purchasing 225 million shares. It’s an investment that has paid off handsomely. Berkshire’s original investment of $230 million has grown in value almost ten-fold, and is now worth roughly $1.96 billion.
For More on BYD, read the Special Report: BYD, Berkshire’s Tesla.
© 2020 David Mazor
Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.