BYD scrubs 'China' and 'surveillance' from Australian privacy policy after Four Corners questions

Privacy expert says changes are 'privacy fluff' as data can still be transferred overseas

By LineZotpaper
Published
Read Time2 min
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Electric vehicle maker BYD has removed all references to 'China' and 'surveillance' from its Australian privacy policy, days after being questioned by ABC's Four Corners program, but experts say the changes do little to address broader concerns about how the company handles customer data.

The original privacy policy, which was in place when Four Corners began its inquiries, gave BYD broad discretion to collect data from its vehicles, including through 'surveillance activities' in connection with 'suspected illegal or improper activities'. It also named China as one of 16 countries where Australians' data could be sent.

When Four Corners asked about the policy, BYD responded two days later saying it had 'undergone a review and been updated'. The new policy was uploaded to BYD's Australian website just 76 minutes before the company sent it to the program. All mentions of China and surveillance were removed.

However, UNSW privacy law expert Katharine Kemp described the original policy as containing 'highly concerning indications about the potential data practices of the company'. She said the new version still allows data to be transferred overseas, including to China, as long as BYD complies with applicable data protection laws.

'So many privacy policies that don't provide good privacy protections start with exactly those words, and I would never pay any attention to them,' Kemp said of the policy's opening statement that BYD respects customer privacy. 'It's privacy fluff. It's nothing.'

BYD told Four Corners it had not and would not transfer any data of Australians to Chinese authorities. However, China's national security laws obligate companies to cooperate with authorities if requested.

The Australian Privacy Act does permit data to be transferred to China. Both the old and new policies state that data collected from Australian vehicles is stored in Australia.

Kemp noted that she could not recall reading a connected car privacy policy that 'consistently meets requirements of fairness and reasonableness'. The Office of the Australian Information Commissioner has been making inquiries.

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Analysis

Why This Matters

  • BYD is on track to sell about 100,000 cars in Australia this year, making it a major player in the EV market. The privacy practices of connected vehicles affect a growing number of Australian drivers.
  • The case highlights tension between Australian privacy law and China's national security legislation, which requires companies to cooperate with authorities.
  • The rapid, reactive policy change raises questions about how seriously BYD takes privacy compliance and whether consumers can trust its data handling.

Background

BYD entered the Australian market in 2022 and has rapidly gained market share, challenging Toyota for the title of Australia's top car brand. Modern connected vehicles collect vast amounts of data, including location, driving behaviour and personal information. Privacy advocates have long raised concerns about the adequacy of privacy policies in the automotive industry, with many policies giving companies broad data collection and sharing rights.

Key Perspectives

BYD: The company says it values customer privacy and has updated its policy to reflect current practices. It states that data is stored in Australia and that it has never and would not transfer data to Chinese authorities. Privacy Experts (Katharine Kemp): Kemp argues that the removal of specific references does not change the substance — BYD can still transfer data overseas, including to China, and the policy lacks meaningful protections. Australian Regulators (OAIC): The Office of the Australian Information Commissioner has been conducting inquiries, though no findings have been made public. The Privacy Act allows cross-border data transfers but requires entities to take reasonable steps to ensure overseas recipients do not breach Australian privacy principles.

What to Watch

  • The outcome of the OAIC's inquiry into BYD's data practices.
  • Whether other EV manufacturers update their privacy policies in response to public scrutiny.
  • Any potential amendments to Australian privacy law that would strengthen requirements for connected vehicle data handling.

Sources

Zotpaper

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