On September 9th, Zhongtai Automobile Co., Ltd. (Zhongtai Automobile) announced that the company will not be able to resume production this year. Despite this, the company’s stock saw two consecutive days of limit-up trading on September 8th and 9th, and continued to rise by 1.55% on the 10th.
In a statement released by Zhongtai Automobile on the evening of the 9th titled “Announcement of Abnormal Stock Trading Volatility,” it was highlighted that the closing price of the company’s stock deviated by more than 20% on both September 8th and 9th, leading to abnormal stock trading volatility in accordance with regulations set by the Shenzhen Stock Exchange.
The company mentioned that its controlling shareholder did not engage in active buying or selling of the company’s stock during the period of abnormal stock volatility.
Zhongtai Automobile also emphasized that due to the dismantling of the T300 vehicle assembly line and related equipment by the Bishan District Court in Chongqing, the company no longer has the conditions to resume production of its first vehicle model, T300, this year. As a result, the company is facing uncertainties in its continuous operational capabilities.
On September 10th, a well-known Chinese auto commentator, “Daoge Shuache,” raised doubts about how a carmaker with an annual sales volume of only 14 vehicles and a dismantled production line managed to hit the limit-up trading board for two consecutive days. This peculiar scenario in the “stock market” seems incomprehensible to many.
As of 3:00 PM Beijing time on September 10th, Zhongtai Automobile’s stock price stood at 3.28 yuan, up by 1.55%, with a total market value reaching 16.54 billion yuan.
Public records indicate that Zhongtai Automobile, established on August 31, 1998, is primarily engaged in the research, development, manufacturing, and sales of complete vehicles, as well as automotive components and accessories.
In the past, Zhongtai Automobile achieved sales of over 300,000 vehicles annually in China. However, the company’s current situation is far from its past glory.
On August 29th, Zhongtai Automobile released its “2025 Interim Report,” which revealed a net loss attributable to shareholders of the listed company of 148 million yuan in the first half of 2025. Due to the lack of operational funds, the company’s complete vehicle business did not resume production during the reporting period, leading to an overall loss in performance.
According to the “2024 Annual Report” published by Zhongtai Automobile on April 28th this year, the company’s sales volume in 2024 was a mere 14 vehicles, marking a drastic 98.74% decline compared to the previous year. The production volume was reported as zero. The same report showed that the company’s operating income for 2024 was 558 million yuan, a decrease of 23.96% year-on-year, with a net loss attributable to shareholders of the listed company amounting to 1 billion yuan, representing an increase in losses by 6.82% compared to the previous year. The total remuneration for Zhongtai Automobile’s directors and supervisors in 2024 reached 9.5491 million yuan, up from 5.9145 million yuan in the same period the year before.