Neta Auto's Nanning Plant Equipment Fails to Sell; Second Auction Starts at RMB 48.24 Million

On August 3, a batch of machinery and equipment from Neta Auto’s Nanning production base—located at No. 88 Changlong Road, Lingli Town, Qingxiu District, Nanning City—failed to sell at an online judicial auction hosted by Alibaba due to a lack of bids. The equipment encompasses stamping and final assembly lines for complete vehicle manufacturing, totaling 438 lots comprising 467 individual items. The initial starting price was approximately RMB 60.3079 million. These assets belong to Guangxi Ningda and Nanning Ningda, subsidiaries of Hozon New Energy Automobile Co., Ltd. As no bidders registered for the first auction, the equipment has now entered a second-round auction process, with the starting price reduced by about 20% to RMB 48.2463 million. The re-auction is scheduled for August 12. Previously, the Nanning municipal government signed a strategic cooperation agreement with Hozon New Energy, planning a RMB 3.5 billion investment to build a project capable of producing 100,000 all-electric passenger vehicles annually, with an estimated annual output value of approximately RMB 12 billion upon full operation. Nanning’s state-owned capital injected a cumulative RMB 2.4 billion into the venture and provided RMB 550 million in special subsidies. However, Neta Auto incurred cumulative losses of RMB 18.3 billion between 2021 and 2023, averaging a loss of over RMB 80,000 per vehicle sold. In October 2024, the company halted all production entirely. In June 2025, Hozon New Energy was placed under court-ordered bankruptcy reorganization, with confirmed debts already amounting to RMB 9.386 billion.