Core Viewpoint - The article discusses the financial troubles of Neta Auto Thailand, a subsidiary of China's Neta Auto, which is facing a lawsuit from the Thai government for 2 billion THB (approximately 400 million RMB) in electric vehicle subsidies due to the parent company's financial crisis [4][10]. Group 1: Neta Auto's Market Performance - Neta Auto initially showed strong performance in the Thai market, achieving a market share of 11.4% in 2024, making it the second-largest international brand in the pure electric vehicle segment [7]. - The company had rapidly accumulated over 20,000 users before business operations were halted [7]. Group 2: Financial and Operational Challenges - Neta Auto's production target for 2025 was set at 19,000 vehicles, but only about 4,000 were produced by June 2025, resulting in a target achievement rate of less than 25% [8]. - The parent company, Hozon New Energy, is undergoing bankruptcy restructuring, which has severely impacted Neta Auto's dealer network in Thailand, reducing the number of dealers from over 60 to about 20 by July 2025 [8][12]. Group 3: Government Policies and Implications - The Thai government implemented the "EV 3.0" subsidy plan to promote local production, requiring a 1:1 import-to-local production ratio starting in 2024, which increased to 1:1.5 if local production began in 2025 [15]. - Following Neta Auto's loss of subsidy eligibility, the Thai government proposed new regulations requiring electric vehicle manufacturers to submit production plans every two months to maintain subsidy eligibility [15][16]. Group 4: Future Prospects - If Hozon New Energy's restructuring is successful, it could provide a turnaround opportunity for Neta Auto's operations in Thailand, as there remains a solid user base that hopes for a return to normalcy [13]. - The Southeast Asian electric vehicle market is projected to experience explosive growth, with total sales expected to rise from $2 billion in 2021 to between $80 billion and $100 billion by 2035 [16].