In Europe, BYD experiences growth in mold rather than market share.
Chinese electric vehicle manufacturer BYD appears to be experiencing periods of inactivity, as some of its cars shipped to Europe have been found to be moldy. These extended downtimes could indicate more significant issues.
After journeying across the Indian Ocean, Red Sea, Suez Canal, Mediterranean, and Strait of Gibraltar, a freighter from BYD arrived in Bremerhaven at the end of February. This shipment contained over 3000 electric cars destined for the European market. Despite the arrival of these vehicles, there has been little sign of their presence. However, what can be seen of them is not encouraging – they contain mold. This has been confirmed by the Handelsblatt and Wall Street Journal.
While mold growth on cars is not uncommon, especially after long sea journeys, the situation in Bremerhaven is concerning because BYD's deliveries have come to a standstill. According to insiders, too many vehicles are sitting idle on parking lots and shelves.
Experts from ntv.de have shared their insights on the issue. Patrick Broich points out that mold can grow on various surfaces in a car, including headliners, steering wheels, dashboards, and seats. While it doesn't necessarily cause any harm to a brand new car that undergoes professional cleaning, the Wall Street Journal raises concerns about the possibility of mold spores not being completely removed from vehicles.
Biochemist Thomas Schupp offers a possible explanation for the mold on these Chinese imports. He explains that the subtropical climate of southern China, with its high temperatures and humidity, can create humid, damp surfaces in vehicles, providing the perfect environment for mold growth. Schupp states that the longer the cars remain parked, the more time mold has to grow and spread.
However, he adds that there is no real damage to the cars, as professional cleaning can remove the mold and its spores.
The Wall Street Journal, though, highlights additional concerns. BYD may be experiencing a range of issues in its export markets, including complaints about scratches and scuffs on new cars in Japan, peeling paint in Thailand, and buckling roof racks in Israel. The paper asserts that these problems stem from two main causes. Firstly, BYD lacks experience in transporting cars over long distances, necessitating more extensive and expensive repairs than usual. Secondly, BYD's ad hoc repair approach is considered inadequate for the scale of vehicles they want to export.
This could potentially explain the mold problem, as the inefficient repair system leads to delays, which results in the cars sitting idle for longer periods of time, allowing the mold to grow and spread.
By the end of last year, there were over 10,000 BYD vehicles in European warehouses, according to the Wall Street Journal. These vehicles need to have sales certificates in order to be sold in the European Union. Reports suggest that some of these certificates are set to expire, making it impossible for BYD to sell them in Europe.
The circling back to the previous points indicates that BYD may have attempted to grow too quickly, ignoring the necessary steps for global expansion.
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Source: www.ntv.de
