Shares of Runner Automobiles PLC surged 18.5 per cent over two sessions after the company announced a master supply and manufacturing agreement with China’s BYD Auto Industry Co, signalling a push into local electric vehicle production.
The stock closed at Tk34.1 before the Eid holidays on the Dhaka Stock Exchange (DSE) and hit the top circuit in the first session after reopening.
It rose a further 7.73 per cent on Wednesday to close at Tk40.4, up from Tk37.5 in the previous session.
Runner also ascended to the top ten list of most traded stocks based on value on Wednesday, with turnover reaching Tk11.12 crore.
The agreement will see BYD electric vehicle production localised at Runner’s Bhaluka factory complex, initially focusing on painting and assembly of completely knocked-down units.
Company officials said the project plan is expected to be finalised within a month.
The facility will be built within the existing Bhaluka complex using available land and will be fully compliant with BYD standards for initial operations.
CG Runner, a sister concern, began distributing BYD vehicles in March 2024 and has sold more than 600 units since launch.
Imported electric and plug-in hybrid vehicles currently face total tax implications of around 93 per cent, while local assembly could reduce that to about 40 per cent, said Runner Chief Financial Officer Shanat Datta.
The lower tax burden would allow more competitive pricing and support expansion of BYD’s market position in Bangladesh, he said.
BYD is the world’s top-selling electric vehicle brand, giving Runner a strategic foothold in a market constrained by high import duties.
Runner, a pioneer in two- and three-wheeler manufacturing, produces KTM, UM, Vespa and its own brand, and assembles Bajaj three-wheelers at its Mymensingh facility.
Analysts said the partnership could mark a turning point for Bangladesh’s EV sector by reducing costs, boosting local production and attracting investment, while offering Runner a first-mover advantage.
