Settlement Clears Path for BYD Electric Cars in Sri Lanka

A recent court settlement in Sri Lanka has paved the way for the release of nearly 1,000 BYD electric vehicles that were held due to alleged engine power misrepresentation. Customs initially detained the cars, accusing the importer of declaring a lower motor capacity than the actual, impacting tariff charges.

The importer's appeal resulted in an agreement to provide a bank guarantee for the tariff shortage of 3 billion Sri Lankan rupees. This move allows John Keells CG Auto to release the vehicles while investigations continue, although a small number of cars remain detained for further testing.

John Keells CG Auto has denied any intent to deceive Customs to pay lower taxes, asserting verified reports confirm the motor power specifications. Since reopening its market to imports in February, BYD has captured a significant share of Sri Lanka's electric vehicle market.

(With inputs from agencies.)