JAC struggles to stay afloat

Chinese automaker JAC has fallen on hard times after selling 16.6% less in 2024 and earning 6.3% less profit than the year before.

The company has now reported a net loss of 1.784 billion Yuan, a disastrous result that forced it to lay off as many as 1,656 employees (number valid to date).

JAC’s joint venture with Huawei and Volkswagen is being largely blamed for this underperformance. Volkswagen built a whole new EV factory in China, but the Cupra Tavascan and the VW ID.Unyx that it solely produces there haven’t been received well by the local customers.

To make matters worse, JAC reportedly also invested “exorbitant sums” into co-designing the Maextro S800 sedan with Huawei. It’s unclear why the F-class car took so much to develop, but it has yet to reach the market.