BYD Files Lawsuit Against 37 Influencers Over Online Defamation Chinese automaker BYD has taken legal action against influencers for alleged defamation online.

Shenzhen, China – June 7, 2025 — In a bold legal maneuver, Chinese electric vehicle (EV) giant BYD (Build Your Dreams) has initiated lawsuits against 37 social media influencers, alleging online defamation and the spread of misleading information. This development underscores growing tensions between corporations and digital content creators in China’s rapidly evolving internet landscape.

Legal Offensive: Defending Brand Integrity

BYD’s legal filings claim that the 37 influencers disseminated false or misleading content that allegedly harmed the company’s reputation, particularly in relation to product quality, environmental impact, and business practices. The lawsuits, filed in multiple Chinese courts, seek monetary compensation and public apologies.

A company spokesperson said in an official statement:

“BYD is committed to transparency and technological innovation. However, malicious and unfounded claims on social platforms can significantly impact public trust and investor confidence. We are pursuing legal action to safeguard our reputation and the interests of our stakeholders.”

While specific posts or comments have not been publicly detailed, legal experts believe the litigation is a response to months of growing criticism regarding battery safety, vehicle recalls, and emissions standards.

Influencers Push Back: Allegations of Corporate Intimidation

Several influencers named in the suit have publicly responded, arguing that the legal action is an attempt to silence independent voices and suppress scrutiny.
One influencer with over 2 million followers on Weibo commented:

“This is not about defamation. This is about power and control. We were merely sharing publicly available information and customer complaints.”

Legal analysts warn that the lawsuit could have a chilling effect on social commentary, especially in the automotive sector, where consumer trust is often shaped by online reviews.

Context: China's Tougher Stance on Online Speech

China has recently tightened its cyber defamation laws, particularly targeting content creators who profit from rumors or viral negative content. In this context, BYD’s lawsuits appear aligned with Beijing’s broader regulatory posture.

“Social media is no longer a free-for-all,” said Dr. Angela Wu, a media law scholar at Tsinghua University. “Corporations now have more leverage to protect their brand image through legal channels, especially if they can prove reputational damage with real-world consequences like sales dips or stock volatility.”

Market Reactions: Investor Confidence Remains Steady

Despite the headline-grabbing nature of the lawsuits, BYD's stock remained resilient on the Hong Kong Stock Exchange, closing 1.4% higher on Friday. Analysts believe the market views the move as a sign of corporate assertiveness rather than a sign of internal crisis.

“BYD is drawing a red line,” said Kelvin Liu, senior analyst at CCB International. “It’s about reputation management in an era where online content shapes perceptions faster than ever. Investors appreciate a firm stance against misinformation.”

Moreover, the lawsuits may help restore faith among shareholders concerned about the spread of unverified allegations on platforms like Douyin (TikTok), Xiaohongshu (Little Red Book), and WeChat.

Strategic Timing Amid Global Expansion

The timing of the legal action is no coincidence, as BYD ramps up efforts to expand internationally. With operations growing across Europe, Latin America, and Southeast Asia, managing public perception is more critical than ever.

“As BYD scales its global presence, it needs to maintain a clean brand narrative,” explained Eliza Tan, an auto industry analyst with JP Morgan Asia. “Social media plays a key role in shaping international consumer sentiment. Lawsuits like this are both a message to influencers and a reassurance to investors and partners.”

Looking Ahead: A Delicate Balance Between Free Speech and Corporate Accountability

While the legal outcomes will unfold over the coming months, the broader implications are already being debated in legal and media circles. The case highlights the increasingly blurred lines between opinion, criticism, and defamation in the digital age.

For BYD, the lawsuits may serve their immediate purpose of curbing defamatory content. But they also risk drawing further scrutiny from free speech advocates and watchdogs monitoring the balance between corporate power and civil expression.

Investor Outlook: Risks, Reputations, and Returns

From an investor perspective, the lawsuits underscore BYD’s proactive approach to crisis management. However, they also introduce new variables into the company’s risk landscape, especially if counter-litigation or public backlash arises.

Short-term:

• Likely minimal impact on share price.

• Increased media scrutiny and public interest.

• Potential for similar actions from other companies in China.

Long-term:

• Possible refinement of influencer conduct and corporate policies.

• Growing legal precedent for future defamation cases involving corporations.

“Investors should view this as part of BYD’s broader corporate governance strategy,” concluded Kelvin Liu. “It may not be popular with everyone, but it reflects a calculated defense of long-term brand equity.”