Thai investigation ‘clears BYD over discounts’

The Consumer Protection Board in Thailand has cleared the Chinese electric vehicle maker BYD of wrongdoing over discount practices that prompted complaints from BYD owners and a subsequent investigation, two sources familiar with the matter said.
The government in July launched an investigation into BYD’s local distributor, Rever Automotive, after a complaint alleged they had told buyers that vehicle prices would rise after a discount campaign ended, but instead they cut prices further soon after — by as much as 340,000 baht.
BYD holds a 20% stake in Rever.
Such practices had misled consumers and left many feeling short-changed, buyers had said in their complaint.
The investigation by the Consumer Protection Board concluded that BYD’s discounting did not violate advertising law, said one of the sources who has direct knowledge of the matter.
“The price cuts announced coincided with actual discounts,” the person said. The sources declined to be named because the information is not public yet.
The Consumer Protection Board did not respond to a Reuters request for comment.
The board, however, fined Rever Automotive and one of its executives a total of 120,000 baht for a separate infraction of not disclosing the prices of giveaways, a senior board official, Thitinan Singha, told Reuters.
Rever and BYD did not respond to requests for comment.
A customer backlash against its vehicles in Thailand, one of BYD’s biggest overseas markets, comes as the auto sector is grappling with a sharp decline in consumer demand for vehicles there due to rising household debt.
On Thursday, BYD announced another price reduction of its Atto 3 and Seal models by as much as 400,000 baht.
In China, BYD has asked its suppliers to cut their prices, local media reported, in a sign that a brutal price war is set to escalate in the world’s largest auto market.
Most Thai customers want to be compensated for the difference from the discounted price, said Passakorn Thapmongkol, another senior board official.
Nuntipak Tarnvimonkarn, who bought a BYD vehicle in 2022 and has since seen its posted selling price drop by over 400,000 baht, said that he and about 10 others were planning further legal action.
In an attempt to appease disgruntled owners, BYD offered a 50,000-baht cash-back programme for new vehicle purchases and free use of its charging stations.