Zotye Repays Nearly $560M in Debt, Still Owes $280M Overdue; Preparing for Production Restart

A January 26 announcement from Zotye Auto revealed that the company has prepaid approximately RMB 385 million in outstanding debt to the Yongkang branches of Bank of China and China Construction Bank, fully fulfilling its repayment obligations. However, on the same day, the company also disclosed that, as of the announcement date, it and its subsidiaries still had RMB 209 million in principal debt that had matured but remained unpaid. Despite severe financial pressure, recent reports indicate that Zotye has begun recruiting personnel for design, R&D, and validation roles—a move widely interpreted by industry insiders as a signal of potential resumption of production and operations. According to its financial report, the company generated RMB 419 million in revenue during the first three quarters of 2025, an 8.98% year-over-year increase, yet reported a net loss of RMB 223 million. Over the past seven years, Zotye has accumulated losses exceeding RMB 25 billion, and its total vehicle sales for the entire year of 2024 amounted to only 14 units. The company acknowledged that due to a lack of operating capital, its vehicle manufacturing business has not yet resumed, and it remains in an overall loss-making state. As of the end of the first half of 2025, its total assets stood at RMB 3.422 billion, down 5.11% year-over-year.