As we know, there is fierce competition among China’s leading EV makers.
But now it has intensified due to a long-running dispute between BYD and Great Wall Motor over emissions compliance escalating after Geely joined in to criticise BYD’s aggressive price cuts.
How Did This Happen?
This all started back in 2023, when Great Wall Motor (601633.SS), opened a new tab reported BYD (002594.SZ), opened a new tab to Chinese regulators, alleging that its two best-selling hybrid models failed to meet emissions standards.
It seemed all settled till now when the issue again re-emerged last month when Great Wall’s chairman, Wei Jianjun, expressed concerns about the ongoing price war and confirmed that the regulatory probe was still active.
Interestingly, BYD dismissed his remarks on the industry’s health as “alarmist” while not releasing any comment on the emissions issue.
It appears that the BYD rejected the claim saying its vehicles met China’s emission standards.
A Whistleblower In The Industry
In contrast to this, Geely’s vice president, Victor Yang, publicly backed Great Wall’s claims at an auto conference in Chongqing on Saturday, stating that Geely had conducted its own emissions tests and reached the same conclusions.
It can be witnessed in the videos of his speech posted online by The Paper and other local media outlets where Yang confirmed, “Wei Jianjun is a genuine, honest person and is our industry’s whistleblower.”
Moving ahead, the Great Wall Motor’s expressed their concern over BYD’s use of non-pressurised fuel tanks in its Qin Plus and Song Plus plug-in hybrids, which let the liquid inside evaporate more rapidly than in pressurised ones.
In response to Geely’s comments on Sunday, on his Weibo account, BYD’s general manager of branding and public relations, Li Yunfei said, the non-pressurised tanks used in its cars between 2021 and 2023 were compliant with the regulatory requirements at the time but added that BYD had since changed them due to customer complaints.
Although, on Monday, Li’s Weibo post disappeared, so it couldn’t be verified.
So far, Great Wall Motor did not responded to the request of comment on Monday.
Timing of this escalating feud is implacable as China’s EV market faces intense competition as BYD’s recent price incentives, which reduced the starting price of its cheapest model to 55,800 yuan ($7,771.05), triggering a broader sell-off in auto stocks.
