'I believed BYD's promise': Angry customers flood forums after subsidy scuffle delays Atto 3

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'I believed BYD's promise': Angry customers flood forums after subsidy scuffle delays Atto 3

Published: 03 Mar. 2025, 17:25

SARAH CHEA
[email protected]

Audio report: written by reporters, read by AI

BYD's Atto 3 compact SUV [BYD KOREA]

BYD has encountered an unexpected hurdle in Korea’s EV market due to constant delays in car releases, facing snowballing complaints from customers arguing that they were fooled by the Chinese brand.

The Chinese EV giant on Wednesday submitted necessary information about its recently launched Atto 3 SUV to Korea's Ministry of Environment and has been waiting for the government’s official announcement of a subsidy plan.

Subsidy confirmation normally takes a month, which would mean a notification would be made as early as the end of March, contradicting BYD’s initial advertisement that delivery would begin in mid-February.

Interior of the Atto 3 [SARAH CHEA]

BYD Korea on Jan. 16 launched the Atto 3 SUV, its first passenger EV in Korea, and advertised that the price could go down some 29 million won ($19,900) with the application of the subsidy. The company received more than 1,000 preorders within just a week of the launch.

The biggest reason behind the delay is reportedly BYD’s failure to meet the Korean government’s requirements for EV subsidies, especially the mandate that cars must inform customers of their batteries' charging status. The condition was newly added this year that manufacturers must allow drivers to control their charging rate to prevent EVs from catching fire.

BYD’s Atto 3 was not equipped with the function but submitted to the Environment Ministry a document pledging to upgrade the car to fulfill the function in a year.

“We’re also waiting for the government’s announcement and can’t give a specific timeline for the release,” a spokesperson for BYD Korea told the Korea JoongAng Daily, adding that it would do its best to "make it happen within March."

Still, even after the subsidy is set, the car also needs a notification from the Ministry of Trade, Industry and Energy, which may mean the delay will continue at least until April.

From left, Cho In-chul, managing director of the passenger vehicle division at BYD Korea, Liu Xueliang, general manager of BYD's Asia-Pacific auto sales division, and BYD Korea President Ding Hai Miao pose for a photo with newly launched Atto 3 at a media event in Incheon on Jan. 16. [BYD KOREA]

Consumer complaints are ubiquitous online, arguing that the company has committed “fraud” against Korean customers.

“BYD is delaying the release and has not made any clear announcement or excuses for customers,” read a post written by a consumer who identified himself as someone who'd made a preorder on Jan. 18, on an online community.

“I believed their promise that the car would start delivery in February,” read the post. “They must offer lots of promotions or additional aids as compensation. Otherwise, I will just stick to my car.”

Some even say that they would cancel their orders.

“Atto 3’s underbody is just a metal frame, and what if it suffers corrosion due to the two months of sea breeze?” another post read. “It was stupid of me to trust them.”

Thousands of unreleased Atto 3 SUVs are currently stacked at a port in Pyeongtaek, Gyeonggi.

BYD Korea is also struggling to attract rental car companies, which have been one of its major sources of demand along with taxis and ride-sharing firms.

“Chinese companies are typically vulnerable to depreciation in Korea, with the value expected to be slashed by a large margin in, like, four to five years,” a spokesperson for a rental car company said on condition of anonymity.

“It’s an uncomfortable decision to make a bulk purchase of Chinese cars when they are not yet on the secondhand market.”

BYD’s entry to the Korean passenger car market came in the midst of tightening tariff rules from Europe and the United States. The European Union imposed confirmed tariffs of up to 35.3 percent on Chinese-made electric cars on top of the current 10 percent, while U.S. President Donald Trump warned 25 percent of additional tariffs on car imports, as well as those of up to 20 percent on Chinese products.

BY SARAH CHEA, KIM HYO-SEONG [[email protected]]