 "In May, automaker BYD cut the prices of nearly two dozen electric and plug-in models by up to 34 per cent – a move that left its competitors stunned and sent share prices of companies including its own tumbling. Reuters")
BYD, the world’s largest electric vehicle (EV) manufacturer, is recalling more than 115,000 vehicles in China due to technical defects affecting both hybrid and pure-electric models. The two separate recalls, announced by China’s State Administration for Market Regulation, follow official investigations into the company’s vehicle components.
The first recall affects around 44,000 units of the earlier Tang hybrid series, produced between March 2015 and July 2017. A faulty drive motor controller could cause the circuit board to overheat and, in severe cases, result in a complete power failure.
The second and larger recall involves approximately 70,000 Yuan Pro electric crossovers made between February 2021 and August 2022. These vehicles have a battery waterproofing flaw that may reduce power output. BYD plans to fix the issue by applying sealant to the battery housing.
Quality woes as BYD pursues global expansion
The recalls come at a critical time for Shenzhen-based BYD, which is aggressively expanding into international markets while facing fierce price competition at home. Analysts warn that pressure to cut costs in China’s intensifying EV price war may be leading to quality control lapses, prompting government scrutiny.
Although vehicle recalls are common, these particular defects involve key components, drive systems and batteries, potentially raising consumer concerns about EV safety. Regulators are currently drafting stricter safety rules, including requirements for door handle mechanisms, following fatal incidents linked to hidden designs popularised by Tesla.
The news also follows a slump in BYD’s domestic sales. In September, the automaker saw its first monthly sales decline in 18 months and lost its position as China’s top-selling brand. Amid tough market conditions, BYD has lowered its 2025 sales target from 5.5 million units to 4.6 million.