Geely-Backed EV Brand Zeekr Denies Fraud Accusations

On February 17, Geely’s electrical car model Zeekr denied current accusations of gross sales fraud on social media. The Chinese firm has already filed for a U.S. preliminary public providing.

Consumer dissatisfaction with Zeekr began with the expiration of Chinese subsidies for EV patrons on the finish of final 12 months. Additionally, on November 19, 2022, Zeekr promised that every one orders of the 2022 Zeekr 001 made earlier than December 31 can get pleasure from a lifetime guarantee. The massive subsidy and the lifetime guarantee advantages attracted shoppers to put orders on the 2022 model in December. At that point, the 2023 Zeekr 001 had not but been launched.

On January 1 this 12 months, the nationwide subsidy for electrical autos, which had been carried out for 13 years, ended. On the identical day, Zeekr launched the 2023 Zeekr 001. Some capabilities that price additional for the 2022 model are free for patrons of the 2023 model. However, a guaranty interval was instated for the 2023 model.

The selection between the 2022 model with a lifetime guarantee and state subsidy versus the 2023 model with out a state subsidy and lifelong guarantee however with the free capabilities has aroused heated dialogue.

When clients positioned orders for the 2022 Zeekr 001 final 12 months, the corporate didn’t set a time restrict for selecting up orders. Zeekr promised that it will negotiate with clients when the 2023 model is unveiled. Therefore, many individuals imagine that the corporate’s sudden announcement violated their earlier settlement and accused the corporate of gross sales fraud.

After Zeekr’s announcement, complaints in regards to the firm began appearing, primarily specializing in unfulfilled guarantees, gross sales fraud, and concealing the launch of the brand new mannequin from shoppers. At current, greater than 2,000 clients who positioned orders for Zeekr autos have filed a joint criticism.

SEE ALSO: Zeekr Secures Round A Financing of $750M

Zeekr responded, “Some clauses of the car purchase agreement indeed differ between different periods. That is common in the industry. We always strictly abide by the car purchase agreement signed with customers, and there is no unilateral private modification of the signed agreement or malicious damage to consumer rights and interests.”

From January 11 to February 1 this 12 months, Zeekr’s manufacturing unit stopped manufacturing for 22 days. According to information that was later launched, the gross sales quantity of Zeekr 001 in January was solely 3,116 models, down 72.5% from the earlier month and 11.7% from the earlier 12 months. However, the Zeekr 001 topped the listing of the very best gross sales of EV fashions priced over 300,000 yuan ($43,680) in China, with a month-to-month gross sales quantity of 11,300 models.

Sign up at the moment for five free articles month-to-month!