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Long-Term Investments, Net | 6 Months Ended
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Jun. 30, 2023
Long-Term Investments, Net [Abstract] |
Long-term investments, net | 8. Long-term investments, net Long-term investments as of December 31, 2022 and June 30, 2023 consisted of the following:
|  | December 31, |  |  | June 30, |
|  | 2022 |  |  | 2023 |
Investments in equity method investees |  | $ | 289,473 |  |  | $ | 275,721 |
Investments in non-marketable equity |  |  | 655,764 |  |  |  | 624,613 |
|  | $ | 945,237 |  |  | $ | 900,334 |
Investments in equity method investees
Balance as at January 1, 2022 |  | $ | - |
Investments made |  |  | 297,336 |
Income from investment |  |  | - |
Foreign exchange adjustment |  |  | (7,863 | )
Balance as of December 31, 2022 |  |  | 289,473 |
Foreign exchange adjustment |  |  | (13,752 | )
Balance as of June 30, 2023 |  | $ | 275,721 |
In August 2022, Nanjing CBAK, along with two unrelated third parties of the Company, Guangxi Guiwu Recycle Resources Company Limited (“Guangxi Guiwu”) and Mr. Weidong Xu, an unrelated third party entered into an investment agreement to jointly set up a new company - Guangxi Guiwu CBAK New Energy Technology Co., Ltd (“Guangxi Guiwu CBAK”) in which each party holding 20%, 60% and 20% equity interests and voting rights, respectively. Guangxi Guiwu engages in the business of recycling power batteries. The Company applies the equity method of accounting to account for the equity investments in common stock, over which it has significant influence but does not own a majority equity interest or otherwise control. Pursuant to the Company’s articles of association and relevant PRC regulations, each party was required to contribute the capital on or before December 31, 2023. As of June 30, 2023 and current, Nanjing CBAK, Guanxi Guiwu and Mr. Weidong Xu had contributed capital of $0.3 million (RMB2 million), $0.9 million (RMB6 million) and $0.3 million (RMB2 million), respectively. Guangxi Guiwu CBAK commenced operations in 2023. For the period ended June 30, 2023, no income from the above investment was recorded. Investments in non-marketable equity
|  | December 31, 2022 |  |  | June 30, 2023 |
Cost |  | $ | 1,302,630 |  |  | $ | 1,240,746 |
Impairment |  |  | (646,866 | ) |  |  | (616,133 | )
Carrying amount |  | $ | 655,764 |  |  | $ | 624,613 |
On April 21, 2021, CBAK Power, along with Shenzhen BAK Power Battery Co., Ltd (BAK Shenzhen), Shenzhen Asian Plastics Technology Co., Ltd (SZ Asian Plastics) and Xiaoxia Liu (collectively the “Investors”), entered into an investment agreement with Junxiu Li, Hunan Xintao New Energy Technology Partnership, Xingyu Zhu, and Jiangsu Saideli Pharmaceutical Machinery Manufacturing Co., Ltd for an investment in Hunan DJY Technology Co., Ltd (“DJY”), a privately held company. CBAK Power has paid $1.34 million (RMB9,000,000) to acquire 9.74% of the equity interests of DJY. CBAK Power along with other three new investors have appointed one director on behalf of the Investors to the Board of Directors of DJY. DJY is unrelated third party of the Company engaging in in research and development, production and sales of products and services to lithium battery positive cathode materials producers, including the raw materials, fine ceramics, equipment and industrial engineering. On April 2023, DJY board declared dividend of $0.8 million (approximately RMB6 million). The dividend were distributed in May 2023 and based on the paid up capital of each shareholders, the dividend income shared by CBAK Power was $84K (approximately RMB0.6 million) which was included in other income (expense) for the three and six months ended June 30, 2023. No dividend was declared in 2022. On November 28, 2022, Nanjing CBAK along with Shenzhen Education for Industry Investment Co., Ltd. and Wenyuan Liu, an individual investor, set up Nanjing CBAK Education For Industry Technology Co., Ltd (“CBAK Education”) with a registered capital of RMB5 million (approximately $0.7 million), in which each party holding 10%, 60% and 30% equity interests of CBAK Education, respectively. The investment is for training skillful workforce for Nanjing CBAK. CBAK Education commenced its operation in 2023, nil capital contribution was made by Nanjing CBAK as of the report date. Non-marketable equity securities are investments in privately held companies without readily determinable market value. The Company measures investments in non-marketable equity securities without a readily determinable fair value using a measurement alternative that measures these securities at the cost method minus impairment, if any, plus or minus changes resulting from observable price changes on a non-recurring basis. The fair value of non-marketable equity securities that have been remeasured due to impairment are classified within Level 3. The Company adjusts the carrying value of non-marketable equity securities which have been remeasured during the period and recognize resulting gains or losses as a component of other operating income (expense), net. The Company recognized nil impairment loss for the three and six months period ended June 30, 2022 and 2023.

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