News just in from China where the high repair costs of new energy vehicles (NEVs) has sparked widespread public concern.
Some electric vehicle owners have reported receiving repair quotes as high as RMB11,916 for minor collisions (RM6,800) where one owner was quoted RMB6,250 (RM3,600) just for replacing the left front headlight.
Another owner was told by a 4S dealership to replace the entire rearview mirror assembly due to a minor scratch, costing over RMB5,700 (RM3,300). The primary reason for NEVs’ high repair costs lies in the high degree of integration of key components, which involve electronic control systems and software calibration which far exceeding the scope of traditional mechanical repairs.
Due to the high technical barriers, most vehicle mechanics trained on conventional internal combustion engine vehicles lack the expertise to diagnose and fix NEV-related issues (this is even worse here in Malaysia where there are only a handful trained personal right now).
Currently, the prevailing repair approach favors replacing entire damaged components rather than performing localized repairs.
Driven by safety and liability concerns, 4S dealerships often break down even minor scratches into multiple component replacements and repainting tasks, further inflating repair bills (which if not covered by insurance claims increase ownership costs despite claims from EV manufacturers that EV’s have low maintenance).
Meanwhile, independent repair shops are constrained by their inability to access automakers’ diagnostic software, core spare parts, and repair data, leaving them unable to carry out essential procedures such as diagnostics, disassembly, and software calibration.
As a result, they are limited to peripheral services like bodywork, painting, detailing, and cleaning. This dynamic has cemented the dominance of 4S dealerships in the repair market, exacerbating the problem of excessively high repair costs.
Incidentally, EV accident repair costs in China are also rising sharply, (reported by CNA) with insurance premiums for electric vehicles (EVs) about 81% higher than traditional ICE cars, driven by high battery replacement costs (often 50,000–100,000+ yuan) and complex, integrated components. This trend contrasts with falling new car prices, creating high financial risks for owners.
