BYD's Blade Battery Crunch: Should EV Shoppers Be Worried?
BYD's flash-charging models are so popular they've created a Blade battery shortage. Here's what that means if you're planning a novated lease on a BYD EV.
BYD has confirmed what many Australian EV watchers suspected: demand for its newest models — particularly those equipped with 5-minute flash charging — has been so strong that Blade battery supply is now constrained. BYD founder Wang Chuanfu revealed the supply tightness publicly, according to The Driven.
For a brand that only entered the Australian market a few years ago, this is a striking problem to have. It also has real-world consequences for anyone who's been eyeing a BYD on a novated lease and expecting a short wait time.
What this means for novated lease customers
If you're considering a BYD EV through a novated lease, delivery timelines are the key variable to watch right now. A supply crunch at the battery level — not just the dealership level — means wait times could stretch in ways that are harder to predict than a typical stock shortage.
That matters for novated leasing specifically because your lease paperwork, salary packaging elections, and FBT-exempt status under the federal EV incentive all need to align with the vehicle actually being delivered and registered in your name. If your delivery slips across a financial year or pushes past your current employer arrangement, there can be administrative headaches to untangle.
None of this means you should rule out a BYD. The tax treatment for eligible EVs under the current FBT exemption framework still makes them genuinely attractive on a novated lease — the potential savings on a zero-emissions vehicle remain one of the better outcomes the structure can deliver for a PAYG employee. But go in with eyes open: confirm a realistic delivery estimate before you sign anything, and make sure your novated lease provider can accommodate a delayed settlement if the vehicle takes longer than expected.
Common questions
Does a delayed BYD delivery affect my FBT exemption eligibility?
The FBT exemption applies to eligible EVs that are first held and used on or after 1 July 2022. What matters is when the car is delivered and the lease commences — not when you ordered it. If your delivery slips, your exemption eligibility doesn't disappear, but your lease start date shifts, so make sure your salary packaging elections are updated accordingly.
Which BYD models are currently eligible for the novated lease FBT exemption?
BYD models that are fully battery electric (BEV) and fall under the luxury car tax threshold for fuel-efficient vehicles are generally eligible. The threshold changes annually, so check current ATO guidance or ask your novated lease provider before assuming a specific model qualifies.
Should I lock in a BYD order now or wait until supply improves?
That depends on your situation — specifically your current vehicle, your employer's novated lease policy, and how time-sensitive your tax position is. There's no universal right answer, but locking in a price now while confirming a realistic delivery window is usually smarter than waiting indefinitely for supply to normalise.
Are other EV brands less affected by supply issues right now?
Supply conditions vary by brand and model. BYD's issue appears specific to its newest Blade battery platform and high-demand flash-charging models. Other manufacturers have their own lead times. A good broker will give you an honest read on real-world wait times across multiple brands, not just push the easiest stock to move.