Zotye Automobile sued by Zheshang Bank over 333m yuan debt

Zotye Automobile Co., Ltd. recently received a summons from the Yongkang City People's Court regarding a financial loan contract dispute. The lawsuit, filed by Zheshang Bank Co., Ltd. Jinhua Yongkang Branch, names Zotye Automobile and several related parties as defendants. The total claim amounts to 333,290,957.72 yuan, including principal and accrued interest.

The primary claim seeks repayment of 304,996,205.57 yuan in principal and interest calculated from December 21, 2022, at an annual rate of 3.65%. As of July 11, 2025, the calculated interest is 28,294,752.15 yuan, after deducting a previous payment of 556,618.08 yuan. The lawsuit also requests priority compensation rights over properties owned by Zhejiang Zotye Automobile Manufacturing Co., Ltd. and Zhejiang Jinda Doors Co., Ltd., securing claims up to 3 billion yuan.

The case has not yet proceeded to trial, and its potential impact on Zotye Automobile's current or future financial performance remains uncertain. Zheshang Bank’s Jinhua Branch holds 320,081,923 shares in Zotye Automobile, representing 6.35% of the total share capital, making it the company's third-largest shareholder. The company's bank deposits in a special account for bankruptcy asset disposal, amounting to 27,044,465.99 yuan, are already judicially frozen by Zheshang Bank.