LOS ANGELES — HAAH Automotive Holdings is ending its seven-year effort to import Chinese vehicles and distribute them through a dedicated U.S. dealership network, CEO Duke Hale told Automotive News.
Hale cited tense U.S.-China relations that scared off potential investors.
The Irvine, Calif., startup will file for bankruptcy Monday after a conference call with prospective dealers, who have paid nonrefundable deposits from $100,000 to several hundred thousand dollars for franchise points in the U.S., Hale said.
"We don't see a way forward right now for Vantas and T-GO," Hale said of the two U.S. brands created to sell vehicles from China's Chery Automobile Co. "There's going to be no cars, there's going to be no parts, there's going to be no revenue," Hale said of the bankruptcy filing.
HAAH pulled the plug after the investors it needed to move forward became increasingly risk averse because of tensions in U.S.-China trade relations, stiff auto ta…