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Trade and Bills Receivable, net
 6 Months Ended
Jun. 30, 2022
Trade And Bills Receivable Net [Abstract]  
Trade and Bills Receivable, net

3. Trade and Bills Receivable, net

 

Trade and bills receivable as of December 31, 2021 and June 30, 2022:

 

   December 31,   June 30, 
   2021   2022 
Trade accounts receivable  $48,707,457   $26,818,929 
Less: Allowance for doubtful accounts   (4,618,269)   (4,585,479)
    44,089,188    22,233,450 
Bills receivable   5,817,941    3,823,386 
   $49,907,129   $26,056,836 

 

Included in trade accounts and bills receivables are retention receivables of $1,944,034 and $1,842,209 as of December 31, 2021 and June 30, 2022. Retention receivables are interest-free and recoverable either at the end of the retention period of three to five years since the sales of the EV batteries or 200,000 km since the sales of the motor vehicles (whichever comes first).

 

An analysis of the allowance for doubtful accounts is as follows:

 

    June 30,     June 30,  
    2021     2022  
Balance at beginning of period   $ 5,266,828     $ 4,618,269  
Provision for the year     -       304,606  
Reversal - recoveries by cash     (258,578 )     (92,989 )
Charged to consolidated statements of operations and comprehensive (loss) income   $ (258,578 )   $ 211,617  
Foreign exchange adjustment     56,545       (244,407 )
Balance at end of period   $ 5,064,795     $ 4,585,479