SAAB out of cash again – exporting EVs to China still lunacy

It’s déjà vu all over again in Trollhättan: “China’s National Electric Vehicle Sweden (NEVS) has temporarily halted output of its Saab car due to a shortage of funds,” the company told Reuters yesterday. The reason for the shortage of funds also sounds far too familiar. “The reason is that NEVS’ part-owner Qingbo Investment Co. Ltd has not fulfilled its commitment to, when necessary, finance NEVS’ activity,” the company which had bought SAAB assets in a fire sale said in a statement. Fingers were pointed at the investment arm of the city of Qingdao. It bought a 22 percent stake in NEVS last year and has ordered a fleet of 200 electric Saab vehicles – which NEV so far failed to deliver, providing Qingdao with an escape hatch to untangle itself from a deal that never was sound, and that had all symptoms of previous SAAB sicknesses.

Even Saab fansite Saabsunited, the blog that previously could not find anything about SAAB it did not love, including its new Chinese owners, sounds a bit downtrodden. It raises the specter of yet another bankruptcy, if funds become so tight – again – that taxes won’t be paid – again. [Continue Reading]