3-7-2024 (BANGKOK) The Thai government has launched an investigation into dealerships of Chinese electric vehicle (EV) giant BYD following complaints from consumers about aggressive pricing strategies. The probe, initiated by the office of the Thai Prime Minister, comes as BYD solidifies its position as a major player in Thailand’s burgeoning EV market.
The investigation stems from allegations made by a BYD customer who claimed that a sales representative had initially stated the price of their vehicle would increase after a promotional period. However, the dealership subsequently slashed prices further, leaving early buyers feeling short-changed.
Passakorn Thapmongkol, a senior official at the Consumer Protection Board, stated, “We have summoned the dealers to explain their pricing strategy and propose solutions for affected customers.” The Board is seeking to understand the rationale behind the unexpected price reductions and to ensure fair treatment of all consumers.
The controversy has gained traction on social media, with numerous BYD owners sharing similar experiences on Facebook. One user, Thanasit Chai, expressed frustration, saying, “The salesperson assured us prices would rise after the Bangkok Motor Show, but they actually decreased significantly.”
This pricing debacle comes at a crucial time for BYD in Thailand. The company has established itself as the dominant force in the Thai EV market, commanding a 46% market share in the first quarter of 2024. Moreover, BYD is poised to open its first Southeast Asian EV production facility in Thailand’s Rayong province, representing a substantial investment of approximately US$490 million.
The Chinese automaker currently offers four models in Thailand, with prices ranging from 699,999 baht to 1.59 million baht (US$19,000 to US$43,200). BYD’s rapid expansion in Thailand is part of a broader trend of Chinese and Vietnamese EV manufacturers gaining ground in Southeast Asia, challenging traditional Japanese and Korean automakers.
