NETA Auto’s parent company, Zhejiang Hozon New Energy Automobile, officially filed for bankruptcy last 19 June. According to one of China’s largest news, CCTV, the company was sued by a creditor for debt and liabilities amounting to RMB 5.3 million (AUD 1.14 million) and RMB 1.4 billion (AUD 215 million) respectively.
The creditor filing for NETA’s bankruptcy petition is Shanghai Yuxing Advertising Co. through the Intermediate People’s Court of Jiaxing. According to Yuxing, NETA’s unpaid debts cover services rendered by the agency in 2022-2023, including test drives and marketing promotions.
NETA’S DOWNWARD SLOPE
Recent times have not been kind to NETA as showrooms in Shanghai have closed down, resulting in employee…