- EV makers including BYD and Xpeng denied being summoned by regulators over battery capacity locking, blaming fake AI-generated lists.
- State media previously reported that regulators summoned eight automakers and launched investigations into three following a surge in consumer complaints.
Multiple Chinese electric vehicle (EV) makers strongly denied rumors that they were summoned by regulators, after a state media report sparked widespread speculation.
EV makers including BYD (HKG: 1211) and Xpeng (NYSE: XPEV) said on Saturday that rumors about them locking vehicle battery capacity via over-the-air (OTA) updates are false, adding they will pursue legal action against the rumor-mongers.
On April 17, state broadcaster CCTV reported that the Chinese government was investigating the industry's OTA "battery locking" issue, resulting in eight automakers being summoned.
The report initially went unnoticed until it garnered widespread attention after being cited yesterday by multiple other media outlets.
Subsequently, several lists of involved companies, allegedly generated by AI (artificial intelligence), circulated widely on social media platforms. The lists claimed that automakers such as BYD, Xpeng, Tesla, and GAC Aion had been summoned or investigated by regulators for violations.
BYD said in a statement on Saturday that the content is purely false information and the company has not received any so-called summons notice.
BYD said that it has initiated legal procedures and will hold those who fabricate and spread the rumors legally responsible.
Nio Inc (NYSE: NIO) said in a statement posted on its mobile app that rumors of its inclusion on the list are completely false and baseless.
Xpeng, Zeekr and GAC Aion issued similar statements, condemning the malicious hype by some social media accounts using AI applications.
They said the false information has severely damaged their brand reputation, adding that they have immediately started preserving evidence and tracing the accounts to pursue legal liabilities.
In addition, local media Yicai reported that Nio, Li Auto (NASDAQ: LI) , Tesla (NASDAQ: TSLA), Aito, BYD, and Xpeng all explicitly denied the claims when responding to inquiries.
The so-called "battery locking" refers to automakers secretly limiting a battery's maximum charge and peak output power through software updates without the explicit consent of consumers.
The CCTV report cited a typical case where an owner of a pure electric sedan worth 200,000 yuan ($29,410) experienced severe driving range degradation and slower charging speeds following an update.
Chinese regulatory authorities subsequently launched a joint crackdown, summoning eight involved NEV makers. Among them, three were placed under investigation for severe violations, while two others urgently withdrew the controversial update packages and promised to restore vehicle performance, according to the report.
However, regulators have yet to publicly disclose the specific list of the involved companies.
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