An official investigation revealed large-scale financial irregularities in the electric vehicle sector, affecting two leading Chinese automotive brands. The Ministry of Industry conducted a thorough audit that identified serious deviations in the use of state funds.
According to the documents, Chery and BYD have received a total of 864.9 million yuan (approximately 121 million dollars) in subsidies, of which 4,973 for BYD and 7,663 for Chery are determined to have been improperly acquired. Specifically, around 53 million dollars were incorrectly declared by the two companies.
The government's stance is clear - vehicles that do not meet mileage requirements are subject to financial recovery. Independent experts warn of potential additional economic challenges, given the current extremely competitive market environment.
The revelation comes at a time of serious tension in the automotive sector, characterized by a sharp price war and market saturation. The financial sanctions further aggravate the situation of the two manufacturers.