BYD’s Denza: New Premium EV Brand Enters Europe

11 Apr

Key Insights:

Chinese auto giant BYD is launching its premium Denza brand in Europe by late 2025, featuring the Z9GT with impressive specs including 952 bhp, 391-mile range, and innovative features like "crab walk" capability.
Denza vehicles blend Chinese manufacturing with European design influence, led by former Audi and Lamborghini design boss Wolfgang Egger, to directly challenge established luxury brands like Porsche.
Despite EU trade tensions and 17% import duties, BYD is investing in European manufacturing with plants in Hungary and Turkey that will produce 500,000 cars annually, potentially making premium EVs more accessible through salary sacrifice schemes.

Chinese electric vehicle powerhouse BYD is expanding its European presence with the launch of its premium Denza brand. First unveiled at Milan Design Week, Denza aims to challenge established luxury European manufacturers like Audi, BMW, and Mercedes with advanced technology and distinctive design.

Let's explore what this means for the electric vehicle market and whether UK drivers might soon see these vehicles through salary sacrifice schemes.

What Is Denza, And Why Does It Matter?

Denza was originally formed in 2010 as a joint venture between BYD and Mercedes-Benz, though BYD now owns the brand outright after buying out Mercedes' remaining stake last year. Positioned as BYD's premium sub-brand, Denza sits between the main BYD brand and its ultra-luxury Yangwang marque.

This expansion comes at a strategic time for BYD. Despite facing trade tensions with the EU, which announced 17% duties on imports of BYD electric vehicles last year over claims of "unfair" production subsidies, the company is pushing ahead with its European ambitions.

Introducing The Launch Models: The Z9GT & D9

Denza Z9GT

Leading Denza's European launch is the impressive Z9GT, a sleek "shooting brake" style estate car that appears designed to directly challenge the Porsche Taycan Sport Turismo:

Powertrains: Available in both fully electric and plug-in hybrid "Super DM" versions
Performance: The EV version delivers a remarkable 952 bhp (710 kW) from its tri-motor setup, which allows a 0-62 mph time of just 3.4 seconds.
Range: Approximately 391 miles on the Chinese test cycle for the EV model with its 100 kWh BYD Blade battery
Hybrid Option: The plug-in hybrid combines a 2.0-litre turbo petrol engine with electric motors for 858 bhp, achieving 0-62mph in 3.6 seconds, with 125 miles of electric-only range and 684 miles total

The Z9GT includes some genuinely innovative features, including:

Four-wheel steering with "crab walk" capability (moving diagonally at up to a 15-degree angle),
Vehicle Motion Control architecture that can handle high-speed tyre blowouts,
Cell-to-Body structure integrating the Blade Battery into the car's architecture,
A 17.3-inch central infotainment screen, dual 13.2-inch ultrawide screens for passengers,
Leather seats with heating, cooling, massage functions and active side bolsters.

Denza D9

Following the Z9GT will be the seven-seat D9 MPV, also featuring the company's advanced e3 platform and offering both electric and hybrid powertrains. We don’t know too much about the D9 at the moment, as most of the hype is currently centred around the Z9GT.

European Market Plans

The first Denza models are expected to arrive in European showrooms by the end of 2025, with the electric Z9GT launching first in November, followed by the hybrid version in early 2026. While pricing hasn't been officially confirmed, industry analysts expect the Z9GT to be priced competitively with the Porsche Taycan Sport Turismo, suggesting a starting price around £90,000.

BYD executive vice president Stella Li stated: "The Denza brand has European influence at its heart, and we are confident that buyers will find distinctive, unique appeal in the car's mix of sophisticated, elegant design, strong performance and astounding technology."

Designed With European Influences

Interior view of the Denza Z9GT featuring luxurious burgundy leather seats, a minimalist dashboard with dual widescreen displays, and premium materials throughout the cabin with ambient lighting accents. — Denza's design is led by Wolfgang Egger, former design boss at Audi and Lamborghini, emphasising the brand's European aesthetic sensibilities despite its Chinese manufacturing. This European influence is evident in the Z9GT's sleek proportions and premium interior appointments.

What Does This Mean For UK EV Buyers?

While Denza will initially target traditional premium customers, the brand also hopes to attract younger buyers with a particular interest in technology. As the UK continues to transition toward electric vehicles, premium brands like Denza could provide additional options for drivers looking to make the switch.

For businesses considering electric vehicle salary sacrifice schemes, the arrival of Denza potentially adds more premium options to the growing electric car market. While the initial price points may put these vehicles at the upper end of salary sacrifice offerings, they represent the continuing diversification of the EV market.

While BYD is already making significant inroads in the UK market with more affordable models, the addition of premium options like Denza could appeal to employees looking for luxury electric vehicles through salary sacrifice arrangements.

As with all salary sacrifice schemes, the savings on premium vehicles can be substantial, potentially 20-50% off the regular leasing cost due to the tax advantages. This could make even luxury EVs more accessible to UK employees through workplace schemes.

Looking Ahead

BYD's expansion plans don't stop with Denza. The company is investing in European manufacturing with plants in Hungary (expected to start production in October) and Turkey (coming online in March 2026), which will have a combined production capacity of 500,000 cars per year.

With Chinese manufacturers rapidly expanding their global footprint, the European and UK electric vehicle markets are set to become increasingly competitive. For consumers, this means more choice, potentially lower prices, and accelerated innovation - all positive developments as we transition to a more sustainable automotive future!

If you’re interested in leasing an EV through salary sacrifice or want to learn more about how electric car salary sacrifice can work for your company, visit our blog here.

Last updated: 11.04.25

Images in this blog have been taken from Auto&Design’s website.

Ellie Garratt

Ellie started working at The Electric Car Scheme in September 2023 in organic social media and content. She is passionate about doing good for the environment, and getting into an EV is a great way to reduce your carbon footprint significantly!