Neta, an electric vehicle (EV) brand under Hozon Auto, appears to be facing mounting challenges, as reported by Chinese media and Electrive. These difficulties span from declining sales to halted production, financial instability, and reduced social media activity by the company’s leadership.
Key Issues Highlighted:
- Declining Sales Figures:
- October deliveries are estimated at only 4,500 vehicles, marking a 40% drop compared to September.
- Cumulative deliveries from January to September totalled 53,853 vehicles, making it improbable for Neta to achieve its ambitious 200,000-unit annual target.
- Production Halts and Workforce Issues:
- Production at Neta’s Tongxiang factory in Zhejiang, which mainly manufactures the Neta L electric SUV, has reportedly been suspended for weeks.
- Employee salaries have been cut or delayed, raising concerns about workforce morale and stability.
- Suppliers are allegedly owed payments, further straining operational continuity.