Insider: The 4 Things a Chinese OEM Should Put in Your Dealer Contract

2026-09-16

Insider: The 4 Things a Chinese OEM Should Put in Your Dealer Contract After watching dozens of distributor deals, here's what separates the ones that scale from the ones that stall: the contract, not the catalog.

1. Warranty fund, ring-fenced. A named pool that pays claims without a monthly argument. If it's not in writing, it's a favor.

2. Parts depot with SLAs. 'We'll ship parts' is not a plan. Demand a regional warehouse and a max lead-time clause. BYD's Brazil play — 50% local parts by end-2026 — is the bar.

3. Technician training, dated. Free PDFs don't fix cars. Require on-site training sessions with dates before your first shipment.

4. Price protection. Given the domestic price war, a 90-day price-guard clause stops your lot from becoming a write-down (see our 08-17 debate).

Importers who skip these chase the hot badge and then drown in service complaints. The boring clauses are the moat.

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Insider: The 4 Things a Chinese OEM Should Put in Your Dealer Contract

Insider: The 4 Things a Chinese OEM Should Put in Your Dealer Contract