1 year ago
Chinese EV Brands Zeekr, Neta Allegedly Inflated Car Sales
Imagine car companies are trying to sell lots of cars.
Some companies, like Neta and Zeekr, may have been counting cars as sold before people actually bought them.
They did this by buying insurance for the cars first.
This helped them show they were selling more cars than they really were, to meet goals.
This is like pretending you finished a race before you actually crossed the finish line.
Now, the government and some newspapers are looking into this to make sure everything is fair in the car business.
Chinese EV brands Neta and Zeekr are accused of inflating sales figures.
Companies insured cars before sale to meet monthly and quarterly targets.
Neta inflated sales of at least 64,719 cars using this method between January 2023 and March 2024.
Zeekr utilized the same strategy, with focus on Xiamen sales in late 2024.
China's auto industry faces scrutiny, with state media and regulators expressing concerns.
- Who
- Chinese electric vehicle brands Neta and Zeekr, along with their dealers.
- What
- Neta and Zeekr inflated car sales by insuring vehicles before they were sold to customers.
- Where
- China, particularly Xiamen for Zeekr.
- When
- Between January 2023 and March 2024, with some Zeekr sales booked in late 2024.
- Why
- To meet sales targets in a competitive market, and potentially take advantage of EV subsidies.
Industry Concerns
Company Response
Zero-mileage used cars
Industry Concerns
Zero-mileage used cars negatively impact the industry, the consumers, and the market.
Company Response
Zeekr stated the vehicles referenced in some recent reports are for showroom display and are covered by "mandatory car insurance" to ensure their safety while being exhibited.
Buyer Perspective
Industry Concerns
Buyers felt deceived when the dealerships didn't tell them that the insurance had already begun.
Company Response
Zeekr said that the exhibition vehicles are "in a legal sense, always brand new and unregistered car products."
Key facts
- Companies Involved
- Neta and Zeekr
- Sales Inflation Method
- Pre-purchasing insurance
- Neta Inflated Sales
- At least 64,719 cars (Jan 2023-March 2024)
- Zeekr's Dealer
- Xiamen C&D Automobile
- Industry Response
- Regulatory concerns and potential clampdown on practice


