Zeekr 001 Recall: A Shock to the EV Market and Geely’s Bottom Line

Zeekr’s Comprehensive Recall

Brand Zeekr is recalling 38,277 cars of the Zeekr 001 model due to defective battery cells produced by Sunwoda. Earlier, this battery manufacturer agreed to compensate Geely in the amount of $333.5 million. According to official information, the recall affects only Zeekr 001 We models with an 86 kWh battery, produced from July 2021 to March 2024. Zeekr reported that manufacturing defects in the internal components of the batteries could lead to an abnormal increase in internal resistance. This leads to reduced battery performance and a potential risk of hazardous situations.

Photo Zeekr

Zeekr reported that the Zeekr 001 model equipped with 86 kWh batteries experienced an unexpected decrease in capacity. The company used a cloud monitoring and diagnostic system to collect data and found that some vehicles had battery resistance issues. Subsequently, the company submitted a vehicle recall plan to the State Administration for Market Regulation. Zeekr reported that it would inspect the affected vehicles or perform remote cloud diagnostics and replace the batteries free of charge in those cars where they have not yet been replaced.

Industry Impact and Financial Ramifications

According to China EV DataTracker, as of March 2024, Zeekr delivered 169,433 Zeekr 001 cars. This means the recall affects 22.5% of all cars produced during the specified period. With Zeekr recent investments in expanding its global footprint, this recall could further strain Geely’s financials, particularly as the competition in the electric vehicle industry intensifies.

As of 2026, Zeekr and Geely are navigating through significant financial challenges due to this recall. The company aims to reaffirm customer trust while maintaining production schedules for their upcoming models.

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