What’s going on here?

BYD’s loyal local circle was strong enough to topple Tesla from the top spot, but the carmaker has struggled to build street cred away from home.

What does this mean?

BYD has claimed 35% of China's EV market, earning it serious bragging rights over its rivals – none of which have more than a measly 10% share. Now, with Warren Buffett’s backing, the Chinese carmaker wants to make a name for itself outside its home market. Problem is, by the time BYD has adjusted EVs to meet country-specific standards and shipped them internationally, the cars can cost consumers up to 50% more than in China. And with EV makers already slashing their prices to convince cash-strapped drivers, BYD is struggling to compete. Mix in quality control issues, and the company’s falling behind on its target to bring international sales to 400,000 this year from 242,700 last year.

Why should I care?

Zooming out: BYD has kinks to smooth.

Cars tend to be tweaked when they land in a new country, but BYD’s are known for needing more work than most. So far, the company’s made do with a patchwork approach, but it’ll need to become a leaner, meaner machine to keep up on the world stage. If the carmaker pulls that off, it could join the ranks of Chinese companies that have become household names around the globe, like bargain online retailers Temu and Shein.

The bigger picture: You can’t rival loyalty.

At least BYD has its local shoppers firmly buckled in. Even established Japanese car brands Nissan and Honda are struggling to pry customers from BYD’s grasp, forcing them to consider trimming their production in China by 20 to 30%. That, at a time when their Chinese sales have already been slipping for three years. It won’t help that big-name Chinese smartphone brand Xiaomi is taking its expertise to the roads, launching its first EV later this month.

What’s going on here?

Data out on Wednesday showed that the British economy picked up in January, which should hopefully change the tone after last year’s recession.

What does this mean?

The UK had maintained a characteristically stiff upper lip for months, despite inflation and high interest rates making it harder for Brits to spend money and spur on the economy. Not even a library worth of stoicism books could’ve stopped the country from slipping into a recession at the end of last year, though. Yet, Britain’s services and construction sectors kept plodding on, so much so that the economy grew by 0.2% in January from the month before, keeping pace with predictions. That’s a welcome relief after December’s 0.1% decline from the month before. Even more importantly, it puts the UK’s economy on track to grow this quarter, wiping the slate clean after that mild recession.

Why should I care?

For markets: The crystal balls aren’t clear.

Tuesday’s jobs data showed that British wages picked up at a slower-than-expected pace between November and January versus the same time the year before, while unemployment ticked up a little. That bodes well for inflation, encouraging traders to up their bets on the Bank of England cutting interest rates this year. Mind you, with January’s data showing that the economy can handle high rates for now, the central bank might not bother taking the risk by loosening the reins on inflation.

The bigger picture: Slowly, not surely.

Even though Britain showed a bit of gusto in January, the economy was still 0.3% smaller than at the same time last year. Now, plenty of forecasters think rising wages, easing inflation, and lower interest rates will give the economy a nudge this year. That said, the same number crunchers still expect the UK to trail behind France, Italy, Japan, the US, and Canada, even with the wind blowing in the right direction.