BYD’s shares fell as much as 8.25% Monday after the company cut prices on 22 electric and hybrid models, including slashing the Seagull hatchback price by 20% and the Seal sedan by 34%.

The price cuts, effective until June, sparked a surge in dealership foot traffic but also raised concerns of a price war in China’s auto sector.

Other automakers’ shares, including Geely, Great Wall, Li Auto, and Xpeng, also declined, CNBC has reported.

Despite the cuts, Citi analysts expect strong sales growth for new energy vehicles priced below 200,000 yuan, with competition remaining mild.

Written by B.C. Begley