Intelligent electric vehicles: A 315 investigation reveals key pain points in consumer rights protection
As the development of intelligent electric vehicles in China accelerates, the increasing number of consumers and users has brought to light new challenges in protecting consumer rights in this sector. In a recent “3·15” survey launched by Observer Network, users reported various issues related to their experiences with intelligent electric vehicles.
Quality of Products and False Advertising
The survey conducted by Observer Network, titled “Defending Rights on Intelligent Wheels,” addressed 11 issues related to consumer purchasing, usage, and service. These issues can be categorized into three main areas:
- Product Quality and Safety Issues: This includes false advertising (12.8%), core product quality concerns (12.4%), and vehicle hardware quality issues (6.9%).
- Intelligent Features and Data Rights: Issues include data ownership (9.5%), transparency of usage information (9.3%), and online upgrades for intelligent vehicles (8%).
- Sales and Service Issues: This covers bundled sales (8.9%), lack of manufacturer guarantees (8.5%), pricing issues (6.9%), maintenance management problems (10.6%), and service-related concerns (6.1%).
The results indicate a balanced concern across these three categories, highlighting consumers’ increasing awareness of their rights amid the rapid development of intelligent electric vehicles.
Cai Shuo, a partner at Beijing Jincheng Tongda & Neal Law Firm, noted that the rise in disputes regarding consumer rights in the era of intelligent electric vehicles may stem from various factors, including rapid technological advancements coupled with lagging regulations, the challenges consumers face in protecting their rights, intense market competition, changing business models, fluctuating market prices, instability among automakers, unclear data ownership, and uncertainties linked to OTA (over-the-air) updates. However, he emphasized that the top three concerns—false advertising, core product quality, and maintenance management—still reflect consumers’ primary focus on vehicle performance and safety.
According to Xie Juan, General Manager of J.D. Power’s Digital Retail Consulting Division in China, the increased complexity of products due to the rise of intelligent features has heightened user learning costs and usage issues. As a result, the proportion of users contacting brands or store personnel for assistance has risen from 59.6% in 2023 to 66.2% in 2024. Despite this, consumers expect quicker and more thorough responses from official brand channels regarding their usage inquiries. Survey results show that the timely response rate of official brand hotlines decreased by 13.9%, and the thoroughness of problem resolution dropped by 9% compared to 2023.
Furthermore, Xie indicated that last year’s J.D. Power industry research found that new energy vehicle users generally find brand rights attractive. However, issues with fulfilling these rights arise from objective policy problems, management issues, personnel capabilities, and the lack of synchronization between automakers and consumers regarding information. These factors not only impact user satisfaction but also severely affect trust in brands and service providers.
Challenges in Consumer Rights Protection
In the feedback received by Observer Network, one user reported that the dealership promised a purchase subsidy that was supposed to be issued within 1-2 months of buying a car in July, but it has yet to arrive, and they have been unable to contact the dealership or the manufacturer for a resolution. Another user expressed frustration over the lack of a reasonable explanation from the manufacturer for a malfunctioning intelligent driving system that had since returned to normal. Additionally, some users reported incidents of their electric vehicles losing power on highways, yet the manufacturer has not provided any effective solutions.
In addressing the consumer rights protection challenges arising from technological and policy changes in the intelligent electric era, both Cai Shuo and Xie Juan offered similar recommendations:
- Enhance Evidence Awareness: Consumers should retain sales materials, purchase contracts, chat records, and other relevant documents, ensuring they have electronic vouchers and screenshots of the transaction process for future reference.
- Utilize Legal Tools: In cases of false advertising or reduced functionality, consumers can file complaints with market regulatory authorities or take legal action based on the Consumer Rights Protection Law of the People’s Republic of China.
- Engage in Collective Rights Protection: For widespread industry issues, such as collective quality concerns or disputes over data ownership in intelligent driving, consumers can enhance their chances of success in rights protection through collective lawsuits, complaints to industry associations, or seeking support from consumer organizations for public interest litigation.
On the automaker’s side, preventing or mitigating the escalation of rights protection incidents must also be a priority during technology upgrades and marketing changes.
Cai Shuo emphasized that automakers should take four steps to reduce potential consumer disputes in their marketing and service processes: ensure transparency in promotional materials and purchase agreements regarding intelligent electric features; improve the management of OTA upgrades and provide detailed explanations to consumers; optimize pricing strategies and implement price protection policies; and strengthen after-sales support, ensuring reasonable software and hardware assistance regardless of whether a model is discontinued.
Xie Juan further suggested that automakers could optimize mechanisms and reforms for rapid responses to address user complaints and dissatisfaction proactively and honestly. Additionally, increasing investment in digital and intelligent service infrastructure can help prevent various issues and facilitate timely interventions to address consumer needs.
Need for Improved Legal Framework
However, Cai Shuo noted a crucial point regarding the evolution of consumer rights protection for intelligent electric vehicle users: the current legal system in China requires gradual enhancement to better safeguard these consumers’ rights. He indicated that existing laws concerning related issues are generally outlined in the Consumer Rights Protection Law, Product Quality Law, and E-commerce Law, but fail to specifically address concerns related to data ownership of intelligent vehicles, OTA updates, changes in software functionality, and the reasonableness of software fees charged by automakers.
To this end, Cai suggested that legislation should clarify the ownership of vehicle data and increase transparency requirements; enhance legal oversight of OTA upgrades; strengthen sales and after-sales guarantees, mandating that manufacturers provide reasonable software support and after-sales assistance throughout the product lifecycle; and establish price protection mechanisms for manufacturers subject to significant price fluctuations.
Xie Juan also recommended that the Chinese automotive industry build a systematic capability anchored in user service. As issues ranging from battery fires to failures in intelligent driving systems arise in the era of software-defined vehicles, the industry must recognize and address consumer rights concerns that persist amidst rapid developments in electrification and intelligence.
As one user aptly put it in the survey comments: “Aside from pricing issues, I want to select everything.” Perhaps, in the wave of intelligent electric vehicle development in China, consumers have shown considerable tolerance for emerging technologies. However, recognizing, accepting, and actively addressing consumer rights issues amid industry growth is a critical priority for both the industry and enterprises in the competitive market.
