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Concentrations and Credit Risk
 12 Months Ended
Dec. 31, 2021
Risks and Uncertainties [Abstract]  
Concentrations and Credit Risk

28. Concentrations and Credit Risk

 

(a)Concentrations

 

The Company had the following customers that individually comprised 10% or more of net revenue for the years ended December 31, 2020 and 2021 as follows:

 

    Year ended     Year ended  
Sales of finished goods and raw materials   December 31, 2020     December 31, 2021  
Customer A   $ 8,322,504       22.15 %   $
*
      
* 
  
Customer B     3,806,110       10.13  %    
* 
      
* 
  
Customer C    
*
      
*
 %     6,089,524       11.56 %
Customer D    
*
      
*
 %     5,508,616       10.46 %
Zhengzhou BAK Battery Co., Ltd (note 17)     12,770,075       33.99 %     8,339,088       15.83 %

 

* Comprised less than 10% of net revenue for the respective period.

 

The Company had the following customers that individually comprised 10% or more of net trade receivable (included VAT) as of December 31, 2020 and 2021 as follows:

 

   December 31,
2020		   December 31,
2021		 
Customer A  $3,148,737    11.23%  $
*
    
*
 
Customer D   
*
    
*
%   14,443,551    32.76%
Zhengzhou BAK Battery Co., Ltd (note 17)   15,258,164    54.42%   14,583,061    33.08%

 

* Comprised less than 10% of net accounts receivable for the respective period.

 

The Company had the following suppliers that individually comprised 10% or more of net purchase for the years ended December 31, 2020 and 2021 as follows:

 

    Year ended
December 31,
2020		     Year ended
December 31,
2021		  
Zhejiang Hitrans Lithium Battery Technology Co., Ltd   $ 12,396,483       48.90 %   $
*
      
*
  
Supplier A    
*
      
*
       6,550,080       13.92 % 
Supplier B    
*
      
*
       5,883,999       12.50 %
Zhengzhou BAK Battery Co., Ltd (note 17)    
*
      
*
       5,522,832       11.74 %
Shenzhen BAK (note 17)     3,884,309       15.32 %    

*

      

*

  

 

* Comprised less than 10% of net purchase for the respective period.

 

The Company had the following suppliers that individually comprised 10% or more of trade payable as of December 31, 2020 and 2021 as follows:

 

   December 31,
2020		   December 31,
2021		 
Zhejiang Hitrans Lithium Battery Technology Co., Ltd  $9,272,478    47.40%  $
*
    * 
Supplier A   *    *    6,837,722    16.94%
Supplier B   *    *    20,592,979    51.03%
Supplier C   2,017,814    10.32%   *    *

 

(b)Credit Risk

 

Financial instruments that potentially subject the Company to a significant concentration of credit risk consist primarily of cash and cash equivalents and pledged deposits. As of December 31, 2020 and 2021, substantially all of the Company’s cash and cash equivalents were held by major financial institutions located in the PRC, which management believes are of high credit quality.

 

For the credit risk related to trade accounts receivable, the Company performs ongoing credit evaluations of its customers and, if necessary, maintains reserves for potential credit losses.