Core Viewpoint - Neta Auto is facing significant operational challenges, including dealer protests over unpaid rebates and subsidies, which have led to a deterioration in its market position and financial health [1][4][6]. Group 1: Dealer Issues - Over 20 dealers from a network of over 300 have protested against Neta Auto, demanding the return of unpaid rebates and subsidies by May 11 [1][4]. - Dealers have reported that they paid millions in advance for vehicles that were never delivered, leading to financial distress and legal issues [2][4]. - Neta Auto has not provided any official communication to dealers since September of the previous year, leaving them reliant on rumors for information [2][4]. Group 2: Financial Performance - Neta Auto's financial situation is concerning, with a significant drop in cash reserves from 6.757 billion yuan at the end of 2022 to 2.837 billion yuan by the end of 2023 [8]. - The company has accumulated losses exceeding 18 billion yuan from 2021 to 2023, with a gross margin that has not turned positive, remaining at -34.4%, -22.5%, and -14.9% over the three years [8]. - Neta Auto's debt has increased slightly to 5.76 billion yuan, indicating ongoing financial strain [8]. Group 3: Market Position - Neta Auto, once a leader in the new energy vehicle sector, has seen its sales decline significantly, with only 86,000 vehicles delivered in the first three quarters of 2022, achieving just 28.63% of its annual target [8]. - The company has been unable to keep up with competitors like XPeng, Li Auto, and Leap Motor, which have all surpassed monthly sales of 30,000 units [2][8]. - Complaints from customers regarding the unavailability of spare parts have further damaged the brand's reputation [6]. Group 4: Future Prospects - Neta Auto is seeking to resolve its debt issues by signing a debt-to-equity conversion agreement with 134 core suppliers, which could facilitate a new round of financing [9]. - The company has announced plans to start localized production in Thailand, aiming to expand into the Southeast Asian market with a credit line of 21.5 million yuan [10].