Neta, the Chinese automaker on the verge of bankruptcy

Neta Automobiles has only been in China for 6 years, and yet the end is near for this young manufacturer

Neta planned to arrive in Europe by 2025 and even has a showroom in Paris. But this goal will likely remain a dream. Several signs show that the manufacturer is on the verge of collapse.

Not surprisingly, considering that China has no less than 150 different car manufacturers. And among them, few truly manage to stand out. Companies like BYD, Xpeng, Geely, or Nio can be mentioned, but beyond that, there is little impressive.

Signals that predict nothing good

It is Car News China, a specialized website, that reports some bad news first: the cessation of production at the Zhejiang factory. No reason has been given by the manufacturer, but the conditions under which the company has been operating for several months shed some light.

According to Chinese media, several salaries have not been paid for several months. Meanwhile, payments made by the company have been drastically reduced, by about 30%. To make matters worse, Neta has planned a large wave of layoffs that could affect 70% of its employees.

As for raw figures, Neta sold only 86,000 cars between January and September of this year. A mediocre number for a manufacturer that plans to enter the Old Continent in the coming months. In September 2024, compared to 2023, the company records a 23% decline in turnover. Even more troubling, the manufacturer has not even published its figures for October.

All signs are unfortunately in the red for the manufacturer. It may well join the list of Chinese automakers that have shut down, like HiPhi and Hengchi before it.

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