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Concentrations and Credit Risk
 9 Months Ended
Sep. 30, 2024
Concentrations and Credit Risk [Abstract]  
Concentrations and Credit Risk
29. Concentrations and Credit Risk

 

(a) Concentrations

 

The Company had the following customers that individually comprised 10% or more of net revenue for the three months ended September 30, 2023 and 2024 as follows:

   

   Three months ended September 30, 
Sales of finished goods and raw materials  2023   2024 
Customer A  $*    *   $8,581,026    19.2%
Customer B   21,227,599    33.5%  $9,061,625    20.3%
Customer C   8,380,509    13.2%   *    * 
Zhengzhou BAK Battery Co., Ltd (note 18)   *    *    5,166,670    11.6%

 

The Company had the following customers that individually comprised 10% or more of net revenue for the nine months ended September 30, 2023 and 2024 as follows:

   

   Nine months ended September 30, 
Sales of finished goods and raw materials  2023   2024 
Customer A  $*    *   $15,584,538    10.3%
Customer B   45,852,359    30.9%   57,550,494    38.1%
Zhengzhou BAK Battery Co., Ltd (note 18)   22,815,451    15.4%   *    * 

 

* 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, 2023 and September 30, 2024 as follows:

 

   December 31, 2023   September 30, 2024 
Customer A  $7,239,247    27.7%  $7,249,519    29.4%
Zhengzhou BAK Battery Co., Ltd (note 18)   12,441,715    47.5%   4,921,121    19.9%

 

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

 

The Company had the following suppliers that individually comprised 10% or more of net purchase for the three months ended September 30, 2023 and 2024 as follows:

  

   Three months ended September 30, 
   2023   2024 
Supplier A  $*    *   $3,504,195    11.9%
Supplier B   *    *    3,548,023    12.0%
Supplier C   6,391,095    13.4%   *    * 
Zhengzhou BAK Battery Co., Ltd (note 18)   7,554,266    15.8%   *    * 

 

The Company had the following suppliers that individually comprised 10% or more of net purchase for the nine months ended September 30, 2023 and 2024 as follows:

   

   Nine months ended September 30, 
   2023   2024 
Supplier A  $15,284,263    13.8%  $*    * 

 

* 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, 2023 and September 30, 2024 as follows:

 

   December 31, 2023   September 30, 2024 
Supplier A  $2,689,740    10.1%  $5,149,724    15.2%
Zhejiang Shengyang Renewable Resources Technology Co., Ltd. (note 18)   3,489,324    13.0%   3,500,853    10.3%

 

 

(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, 2023 and September 30, 2024, substantially all of the Company’s cash and cash equivalents were held by major financial institutions and online payment platforms located in the PRC, which management believes are of high credit quality. The Company has not experienced any losses on cash and cash equivalents to date. The Company does not require collateral or other securities to support financial instruments that are subject to credit risk.

 

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.