A bombshell news sourced from Reuters came to the fore about the 1 billion dollar huge factory investment that BYD plans to realize in Manisa. Although there are many arguments circulating on social media and in the press that this investment has been canceled completely, the truth of the matter is hidden in the details of the words. Looking at the original text, it is stated that the project has not been canceled completely, but has been suspended for now, meaning its production has been suspended. This situation created great surprise in the automotive world and in our country.

BYD Türkiye Stopped Investments!

The suspension of investment is truly a sad development, considering the employment planned to be provided to approximately 5 thousand people in Manisa and the technological transfer that will come to our country. BYD is not only a car manufacturer, but also a global giant in batteries and other side technologies. Therefore, the plan to establish this factory and export from here to Europe was of critical importance for Türkiye.

Immediately following this investment decision, an event was organized in our country with high-level participation and a valuable SCT exemption incentive was provided to BYD. However, this exemption was not reflected to the end user and the vehicles were sold at prices higher than expected, causing significant discomfort among citizens. At this point, if the factory is not established, it is expected that the letter of guarantee mechanism will be activated to collect the damage suffered by the state. It is not yet clear how the bureaucratic process between BYD and the state will proceed.

Due to the blockages in customs processes, it seems that the entry of new BYD vehicles into Türkiye has stopped for now. This situation creates great uncertainty for users who have already purchased BYD brand cars. How to ensure the supply of spare modules in the event of a possible accident or malfunction in the future and the sustainability of after-sales services have become one of the biggest question marks.

It should be noted that the structure operating under the name BYD Türkiye in the market and in the press is not actually the brand’s own office, but its distributor company in Türkiye, namely ALJ Group. The fact that there is no structure directly affiliated with the main brand, such as Apple Türkiye, can lead to some perception confusion in official information processes in times of crisis. On the other hand, BYD’s loss of its market share in Turkey opens the door to new opportunities for its biggest competitors, the domestic manufacturer Togg, and Tesla, which aims to expand its investments.