BYD insists price reduction requests can be negotiated and are not mandatory. The leading Chinese EV maker is on track to sell 4 million vehicles this year. Smaller automakers struggle to survive as China’s EV price wars continue to intensify.

Chinese electric vehicle maker BYD , has requested price cuts from dozens of its suppliers, state-owned news outlet Yicai reported on Friday citing unidentified sources.

BYD Co. has asked suppliers to accept price cuts next year in a signal the Chinese electric vehicle maker is preparing for the brutal price war in the world’s biggest auto market to intensify.

Chinese automaker BYD is asking its suppliers to cut their prices, in a sign that a brutal price war in the world's largest auto market is set to escalate.