BYD has offered full refunds to 1,265 Australian customers who received vehicles built in 2025 instead of the promised 2026 models.
The Chinese automaker initially proposed compensation of AU$1,100 (US$763) but reversed course after the error came to light.
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The company says an internal administrative mistake caused the mix-up, not an attempt to deceive buyers.
BYD recorded the date vehicles left the factory rather than their actual production date, filtering incorrect information into sales documents.
How the Error Occurred
BYD Australia PR boss Paul Ellis told ABC News it was an administrative error with no deceit involved.
He insisted the U-turn wasn't prompted by media scrutiny, saying discussions were already underway.
Mechanically, the vehicles are identical to 2026 models, compliant with Australian regulations, and carry the same warranty.
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However, customers worry about resale values due to the one-year discrepancy on paper.
Affected models include the Atto 3 EV, Sealion SUV, and Shark pickup.
As an alternative to a full refund, customers can swap into a brand-new 2026-built vehicle for what they paid, with special offers replicated.
Customers may also keep their current vehicle and accept the original AU$1,100 payment. Ellis said most affected owners indicated satisfaction with that option.
The blunder has hurt BYD's reputation just as Australians had embraced the brand.
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BYD placed second behind Toyota in Aussie sales in April, May, and June of 2026, beating Ford, Kia, Mazda, and Hyundai.