The electric vehicle manufacturer, known for models like the Jiyue 01 and Jiyue 07, has encountered a growing chorus of issues related to unpaid wages for staff and outstanding payments to suppliers—a reality that paints a troubling picture for its future.

After garnering attention for its technologically advanced vehicles, Jiyue has seen its internal perks dissolveA supermarket operated by the firm, once allowing purchases with Jiyue points, recently announced it can no longer accommodate point-based transactions due to technical issuesFurther exacerbating the situation, outsourced cleaning staff are reportedly concluding their contracts by the end of this month, indicating broader problems within the company's operational structure. According to multiple suppliers, Jiyue's debt repayment timeline has extended significantly, leading to halted services as the company’s payment accounts reportedly show little activity

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Despite this brewing storm, the company seems to maintain a façade of normalcy, with employees still appearing active in their roles on the afternoon of the aforementioned meeting. However, when analyzing output, the situation isn’t rosyIn the first eleven months of 2024, Jiyue delivered over 14,000 vehicles, averaging just around 1,300 cars per month—dismal figures that fail to match those of more established electric vehicle makersXia has expressed a commitment to push the company towards what he calls a "start-up 2.0 stage," initiating four strategic directives: sustaining core technical investments, bolstering sales and service capabilities, consolidating redundant departments, and cutting back on projects that do not yield immediate financial returns.

As the market fluctuates, Jiyue’s vulnerability becomes clear, particularly as it copes with mounting operational debts and political pressures to maintain a competitive edge in such a volatile industry

Analysis indicates that throughout 2024, Jiyue's sales dipped, reaching a low of just 147 cars in February before attempting a rebound in the latter half of the year, peaking at 3,107 deliveries in October only to drop again in November.

Imagining how this once-promising venture has changed significantly reveals a creased narrative of ambition now overshadowed by substantial fiscal strainThe Jiyue team has tried various tactics to revive public and shareholder confidenceDuring a media event earlier in the year, Xia was visibly emotional when discussing the struggles of the company, stating how difficult it has been to match up against established automobile manufacturers and the ever-present comparisons to giants like Xiaomi. Indeed, Jiyue has not thrown in the towel, as seen by the recent launch of their first supercar model, the ROBO X, at the Guangzhou Auto Show in November 2024. Yet the pathway forward remains fraught

Earlier financing rounds suggest that the initial launch was buoyed by a $300 million investment back in March 2021 and followed by nearly $400 million in subsequent financing, but since then, Jiyue has been silent on new funding efforts.

The company’s identity, once brightened by the prospect of creating advanced smart cars, has dimmed; its previous moniker, Jidu, remains visible outside their Jiading headquarters, symbolizing the underlying ownership complexities within this ambitious ventureThe latest equity division confirms Geely holds 65% of Jiyue while Baidu retains 35%.