Chinese electric vehicle (EV) brands Zeekr and Neta reportedly inflated their sales figures by registering vehicles before actual buyer delivery, according to a Reuters investigation citing internal documents and interviews with dealers and customers.
The report states that both companies arranged insurance for vehicles before completing final sales, allowing them to record transactions earlier under existing vehicle registration practices in China. This approach, often referred to as “zero-mileage used cars,” reflects the highly competitive nature of China’s automotive market.
See also: China Urges Major Automakers to Promote ‘Rational Competition’ in EV Sector
Between January 2023 and March 2024, Neta is said to have pre-registered over 64,700 vehicles, more than half of the 117,000 units it reported as sold during the same period. Zeekr, a premium EV brand under Geely, reportedly used a similar approach in late 2024, coordinating with state-owned dealer Xiamen C&D Automobile.
China Securities Journal also covered the matter, reporting consumer complaints that vehicles bought as new had been previously insured. It noted that in 2023, the share of corporate customers in Neta’s insurance registrations rose to 63%, up from 8% in 2022, with several cities reporting corporate purchases accounting for over 90% of sales.
See also: Geely to Take Zeekr Private at $6.83 Billion Valuation
