Sunwoda EVB and Welion Reach Settlement, Ending RMB 2.3 Billion Battery Contract Dispute

Sunwoda Power Technology Co., Ltd. and VRE Electric Vehicle Technology (Ningbo) Co., Ltd. announced this afternoon that they have reached a settlement regarding their previous dispute over a sales contract involving a claim of RMB 2.3 billion. The dispute originated from June 2021 to December 2023, during which VRE alleged that battery cells delivered by Sunwoda had quality issues causing losses, and filed a lawsuit in December last year. In their joint statement, both parties said that after thorough communication, they resolved the dispute properly based on the principles of fact-based reasoning, fairness, and impartiality. As key participants in the new energy industry chain, both companies emphasized that this settlement will help maintain a healthy industry ecosystem, protect their brand images, and safeguard consumer rights.