China Electric Vehicle WM Motor Files for Bankruptcy

The company attributed its operational challenges to the impact of the COVID-19 pandemic, a sluggish capital market, and rising costs in raw materials.

A motorist riding past new electric vehicles parked in a parking lot under a viaduct in Wuhan, central China's Hubei Province, on May 22, 2017. STR/AFP via Getty Images

Troubled Chinese electric vehicle (EV) startup WM Motor has filed for bankruptcy, underscoring the difficulties faced in the highly competitive EV market that once positioned it as a rising star in the industry.

A Shanghai court will review the WM case, according to a filing on the national enterprise bankruptcy information disclosure platform on Monday, Reuters reported.