Shanghai New Energy Auto Show Postponed Due to Instability in the Industry

(Source: Ofweek)

The New Energy Auto Show slated to be held in Shanghai from October 30 to November 1 was suddenly postponed as Chinese media confirmed on October 10.

Chinese netizens speculated the show was pushed back because roughly 30 of the more than 60 exhibiting companies had been closed down, while some companies were no longer planning to participate due to lofty exhibition fees.

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The SMS notification received by registered participants shed more light on the issue clarifying that the the exhibition would be postponed until August 7-9, 2020, with the reason being that “the poor situation in the industry has led to changes in the plans of some exhibitors”.

The date on the official website has also been changed to August 7-9, 2020, but the specific exhibition schedule has not been revised.

Chinese media outlet Sanyan Finance called the exhibition organizing committee, and got a confirmation from the staff that the delay was true. The main reason for the move was the dwindling subsidies for new energy vehicle companies, which led to a decline in the willingness of new energy vehicle manufacturers to participate in the exhibition.

To make things worse, a notice from a bank obtained by a reporter of the 21st Century Business Herald, says that at least four of the companies set to take part in the exhibition might not be around for the show next year for graver reasons. “Cheetah, Zotye, Huatai and Lifan will enter bankruptcy procedures by the end of the year,” said the statement.