Zotye Automobile Co., a would-be joint venture partner of Ford Motor Co., estimates it lost from 270 million yuan ($38 million) to 320 million yuan in the first half of 2019, compared with a profit of 305 million yuan during the same period last year.
The private Chinese light-vehicle maker attributed the financial loss to sharply weaker sales, according to filings on the stock exchange in the south China city of Shenzhen.
Zotye didn’t disclose first-half sales. According to the China Association of Automobile Manufacturers, the company delivered some 73,900 vehicles in the period, a drop of 49 percent from a year earlier.
Zotye, incorporated in Huangshan in east China’s Anhui province, assembles and markets gasoline and full electric sedans and crossovers in China.
In 2017, it signed an agreement with Ford Motor Co. to jointly build electric vehicles in Jinhua of east China’s Zhejiang province. But the deal has yet to be approved by industry regulators in China.
Last year, Zotye signed up HAAH Automotive Holdings of Lake Forest, Calif., to distribute crossovers in the United States.