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Not much, according to Warren Buffett, but Buffett partners, Charlie Munger and David Sokol, knew enough and Buffett listened. Thus, last fall Buffett settled on a 10 percent share of BYD.

Why?

According to a great Fortune piece, the Buffett team now believes that BYD could become the world’s largest automaker thanks to its ability to sell plug-in hybrid cars and other electric vehicles at a cheaper cost than other manufacturers. For instance, BYD’s current plug-in, the F3DM costs just $22,000 – far cheaper than most hybrid cars on the road today.

Unfortunately, don’t expect a BYD hybrid in America anytime soon. BYD isn’t sure it wants to come to America because the economics are not compelling for plug-in viability, however, BYD is interested in selling batteries to American auto manufacturers, which is ultimately, the key to BYD’s future.

Thus far BYD believes it has developed a technological breakthrough enabling the safe and cost-effective mass-production of lithium batteries. If true, even mighty Toyota better watch out according to Warren Buffett.