​​Baidu’s JV with Geely becomes the latest Chinese EV maker struggling with money problems

Jiyue, a Baidu-Geely JV, faces layoffs, funding issues, and delivery delays.

: Jiyue, an electric vehicle joint venture between Baidu and Geely, is restructuring and laying off staff due to financial struggles. The company, which recently launched models Jiyue 01 and Jiyue 07, has suspended debt payments and is delaying some vehicle deliveries. Baidu and Geely might halt funding, and workforce cuts target the R&D team, impacting test drives.

Jiyue, a Chinese electric vehicle startup, is undergoing restructuring supported by chief executive Joe Xia. Amid financial challenges, the company is laying off employees to remove duplicate roles and seeking additional funding, while stopping debt payments and postponing some deliveries.

Baidu and Geely formed the joint venture in 2021 with a 55% and 45% share, respectively, and launched Jiyue as a new brand last August. They rolled out the Jiyue 01 model last October, followed by the Jiyue 07 in September, with adjustments to vehicle pricing to attract buyers.

Internal tasks include letting go of the entire research and development team and halting showroom test drives for asset management review. Meanwhile, Baidu and Geely are considering ceasing further investment as Jiyue struggles to secure new investors and manage significant financial obligations.

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