BYD Balances Brake Recall at Home With European Factory Push
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China's market regulator handed BYD an immediate recall order on Friday covering 183,211 vehicles from its Qin and Tang lines, built between 2014 and 2022. The defect centres on the brake pedal stoppers, which can crack or come loose. Authorised dealers will replace the faulty component at no charge through the existing service network, according to Reuters. The fix lands squarely on BYD's home turf and amounts to a service burden rather than a financial shock. Because the affected cars are older model years, the campaign is aimed chiefly at shoring up the technical integrity of the existing fleet, and no material hit to operating business has emerged so far. Investors took the news in stride. The stock closed Friday at EUR 9.00, down 0.8% on the day, and has shed 16% since the start of the year. While the recall works its way through Chinese workshops, BYD is pressing ahead with its European manufacturing build-out. Alfredo Altavilla, an adviser to the company in Europe, said the carmaker now wants to buy an existing plant outright rather than set up a shared production arrangement. Spain and France are seen as the leading candidates, with Italy held in reserve as a fallback. A decision on the second European vehicle factory is due by 31 December 2026. Should investors sell immediately? Or is it worth buying BYD? That search is tightly bound to expected EU rules on local...
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