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Trade and Bills Receivable, net

12 Months Ended

Dec. 31, 2021

Trade And Bills Receivable Net [Abstract]

4. Trade and Bills Receivable, net

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

	December 31,			December 31,
	2021			2022
Trade receivable	$	48,707,457		$	23,422,733
Less: Allowance for doubtful accounts		(4,618,269	)		(2,274,513	)
		44,089,188			21,148,220
Bills receivable		5,817,941			6,265,355
	$	49,907,129		$	27,413,575

Included in trade and bills receivables are retention receivables of $1,944,034 and $1,066,146 as of December 31, 2021 and 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:

	December 31,			December 31,
	2021			2022
Balance at beginning of year	$	5,266,828		$	4,618,269
Provision for the year		225,875			1,018,092
Reversal - recoveries by cash		(1,006,264	)		(186,960	)
Charged to consolidated statements of operations and comprehensive income (loss)	$	(780,389	)	$	831,132
Written off		-			(2,858,177	)
Foreign exchange adjustment		131,830			(316,711	)
Balance at end of year	$	4,618,269		$	2,274,513