Core Viewpoint - Roma Technology Co., Ltd. has faced a severe crisis leading to operational shutdown and potential bankruptcy due to safety issues and financial mismanagement [1][4]. Group 1: Company Crisis - The company has halted production and operations since July 1, 2025, with only a few employees remaining to handle aftermath tasks [1] - A significant management change occurred on July 2, with the legal representative changing for the second time in three months [1] - Despite a public statement claiming the company has not gone bankrupt, the reality of a paralyzed business and broken financial chain is evident [1] Group 2: Product Recall and Safety Issues - Roma announced a recall of 491,700 units of three models due to battery cell material defects that pose a fire risk [2] - The recall was triggered by a ban from 21 universities on the use of Roma power banks, citing a significantly higher explosion probability for their 20,000mAh model compared to industry standards [2] - Laboratory tests revealed that some products reached temperatures of 87°C when fully charged, with shell softening rates exceeding the industry average by five times [2] Group 3: Financial Impact - The direct cost of recalling 491,700 power banks exceeds 40 million yuan, compounded by monthly revenue losses of 100 to 200 million yuan due to product delisting [4] - The company's limited total assets and revenue make it unable to withstand such financial shocks, leading to severe cash flow difficulties [4] Group 4: Industry Implications - The crisis has triggered a broader safety revolution in the industry, with regulatory bodies responding by tightening safety standards for mobile power sources [5][6] - The market is witnessing a shift from a focus on low prices to prioritizing safety and quality, with brands lacking comprehensive quality control likely to be eliminated in the new regulatory environment [6] - The competitive landscape is changing, with brands like Xiaomi's Cooltech gaining market share as Roma's reputation declines [6]

Current Company Status - ROMOSS has fully suspended operations and production, with employees confirming the situation to media outlets [1][3] - Internal notifications about the suspension began on July 1, 2025, but no formal announcement has been made [3] - Employee salaries have only been paid up to June, with no clear arrangements for future payments [3] - A management change occurred on July 2, with the founder resigning and a new representative taking over, although the company did not deny the production halt [3] Business Operations - The company’s e-commerce platforms (Taobao, JD.com, Douyin, etc.) have removed all power bank products, retaining only accessories like data cables and chargers [5] - The recall plan has faced obstacles, as multiple courier companies have refused to accept returns due to safety risks, and consumer refunds are delayed due to insufficient merchant deposits [6] Crisis Background - The crisis originated from a recall of 491,745 power banks due to safety risks linked to a supplier's material substitution, affecting other brands as well [7] - Consumers face challenges in claiming refunds, as they must provide proof of safe disposal, and the company’s account balance is insufficient for immediate refunds [7] Industry Impact - The industry is experiencing a collapse in trust, with laboratory tests revealing that some products reached temperatures of 87°C, significantly exceeding the industry average [9] - Other brands, including Anker and Xiaomi, have also initiated recalls, leading to widespread safety concerns in the industry [10] Employee and Supplier Rights - Employees are at risk of unpaid wages and must resort to labor arbitration for claims, while suppliers are unable to settle outstanding payments [11] Official Response and Controversy - On July 3, ROMOSS stated via social media that it has not gone bankrupt and is committed to resolving user issues, but did not address the production halt or refund problems [15] Timeline of Key Events - In mid-June, 21 universities in Beijing banned the use of certain power banks due to safety concerns, leading to a recall announcement on June 16 [16] - The recall involved three models due to potential fire risks from defective battery materials [16] - On June 20, the market regulator suspended certifications for fast-charging products, with a deadline for compliance set for September 13 [16] - New regulations from the Civil Aviation Administration prohibiting certain power banks from being taken on flights were implemented on June 28 [16] Summary of the Crisis - The ROMOSS crisis exemplifies a chain reaction of supply chain failure leading to quality issues and financial instability, driven by cost-cutting measures that compromised battery quality [17] - The recall costs exceeded 40 million, with monthly revenue losses estimated between 100 to 200 million, severely impacting cash flow [17] - The situation serves as a warning for the industry that safety compliance is essential for survival, and that low-cost competition should not come at the expense of quality [17]