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Product Warranty Provisions
 9 Months Ended
Sep. 30, 2025
Product Warranty Provisions [Abstract]  
Product Warranty Provisions
19. Product Warranty Provisions

 

The Company maintains a policy of providing after sales support for certain of its new EV and LEV battery products introduced since October 1, 2015 by way of a warranty program. The limited cover covers a period of six to twenty four months for battery cells, a period of twelve to twenty seven months for battery modules for light electric vehicles (LEV) such as electric bicycles, and a period of three years to eight years (or 120,000 or 200,000 km if reached sooner) for battery modules for electric vehicles (EV). The Company accrues an estimate of its exposure to warranty claims based on both current and historical product sales data and warranty costs incurred. The Company assesses the adequacy of its recorded warranty liability at least annually and adjusts the amounts as necessary. 

 

Warranty expense is recorded as a component of sales and marketing expenses. Accrued warranty activity consisted of the following:

 

   December 31,
2024		   September 30,
2025		 
Balance at beginning of year/ period  $546,444   $444,114 
Warranty costs incurred   (245,328)   (14,269)
Provision for the year/ period   156,832    55,112 
Foreign exchange adjustment   (13,834)   11,720 
Balance at end of year/ period   444,114    496,677 
Less: Current portion   (23,426)   (23,453)
Non-current portion  $420,688   $473,224