Who needs the federal government when you have a big Chinese company behind you?

That's what electric-vehicle maker Coda Automotive appears to be asking, now that the Los Angeles-based company has withdrawn its two-year-old request for $334 million in U.S. Department of Energy loans, according to Automotive News.

Coda didn't believe that the projected loan, part of the DOE's Advanced Technology Vehicles Manufacturing Program, was going to be funded any time soon, according to Coda senior vice president of government affairs Forrest Beanum. Coda was going to use the funds to build a factory in Columbus, OH. Beanum confirmed to AutoblogGreen that Coda withdrew its loan application about a month ago, adding that Coda would consider reapplying for a loan.

The DOE has only distributed about a third of the $25 billion originally slated for its loan program. Other alt-fuel vehicle companies are either still waiting for DOE their full allotment of funds (Fisker Automotive) or went under because the cash was never delivered (Bright Automotive).

"We waited more than two years and our business continued to evolve past the point where the application where it stood with the Department of Energy made any sense for our business model," Beanum said.

Coda earlier this week reached an agreement with China-based Great Wall Motors to develop an electric vehicle for North America, Europe and China that, the company said, would sell for less than any other EV and would be price-competitive with gas-powered economy vehicles (after incentives). Last month, Coda sold the first of its Sedan EVs to customers in California. Coda charges $39,900 for a Sedan with an official 88-mile single-charge range. It is also planning a version that costs $2,650 less that will have less range.


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    • 1 Second Ago
  • 26 Comments
      Marco Polo
      • 2 Years Ago
      Oh, just an after thought, you're not the same ex-Fisker , now Coda employee, who got caught out lying and making false representation about Fisker are you? If so, then kindly creep off, and join your mate electron, under the same rock .
      Sorten Borten
      • 2 Years Ago
      I personally don't think the US government should be spending money to help Chinese start-ups survive. If CODA has a viable business plan there's plenty of investor money out there.
      Marco Polo
      • 2 Years Ago
      Coda, is a very strange company, with a very dubious history and even more dubious associations. For the DoE or any US government agency to be seen associating with this company, would be a very serious error. Any government assistance, would be the subject of criticism from not only the usual anti-Obama conservatives, but deep concern by liberals as well. Coda Inc, to a large extent, says a lot about what's wrong with the US. If Coda wasn't in the EV, battery business, it's activities would be attracting more critical attention from the liberal press. Coda is the black sheep, of EV's.
        Scambuster
        • 2 Years Ago
        @Marco Polo
        There is nothing strange, dubious or otherwise about Coda. Coda is not the black sheep of EV's. Coda is just another EV makers founded by entrepreneurs from USA. When so many American companies are abandoning American manufacturing and laying off thousands of workers, it is a blessing that new companies, such as Coda, is filling the void -- without Federal government assistance. Not followng the path of so many American business relying on taxpayer money, Coda is not another Frisker, GM, Chrysler, Solartron, AIG, GE, CitiBank, LehmanBros, Chase, AMX, Goldman, Fannie, Freddie, and .... even Tesla. Special interests and their associates with vested interest want to see the demise of a EV start-up company such as Coda. Spreading propaganda, lies, and misrepresentation, these hired propagandists make even Goebel proud for they lack any sense of morality or conscience.
        Marco Polo
        • 2 Years Ago
        @Marco Polo
        @ Scambuster and Electron, The pair of you never actually do any research, do you? Electron, don't you know that one of Coda's JVC's is with an Oil company? One of the directors is a former Oil company CEO, (until being forced to resign for perjury!) ? Are you so lazy that you aren't even aware that the Coda's, Executive Chairman, Steven “Mac” Heller, is a Billionaire who made his money as the head of Goldman Sachs Head of Mergers & Acquisitions, Worldwide and Investment Banking Division, during the CFC. 'ol "Mac" seemed to survive better than millions of his fellow investors! ? Another Director is a corporate raider, famous for his asset stripping of American companies on behalf of foreign corporations? Another Coda identity has owned 3 failed EV technology companies that have all been liquidated, with losses to investors, but only him emerging unscathed from the financial wreck. Oh, yeah the list just keeps getting better! Coda has a financial JV with Lithium Battery producer, Tianjin Lishen. Lishen has a complex shareholding, but is basically controlled by China National Offshore Oil Corporation.(CNOOC). CNOOC is a State owned enterprise, whose ethical history would make Exxon and the CIA look like boy scouts! CNOOC, has been involved in everything from heroin dealing, to human rights abuses on a Global scale.! How about another of Coda's playmates ? The Peoples Republic of China Weaponry Equipment Corporation. This organisation, runs weapons into Burma, Iran, Zimbabwe, and half a dozen other places. It also operates PRC labour camps notorious for human rights abuses. ( It's a subsidiary of this company that makes the Glider) Communist Oil companies and warlords, in bed with shifty, unethical, US businessmen, and former Oil company bosses, and you are defending them, ...while name calling me ? Do a little homework before you talk such gibberish! Better still, just STFU !
      Joeviocoe
      • 2 Years Ago
      "Other alt-fuel vehicle companies are either still waiting for DOE their full allotment of funds (Fisker Automotive) or went under because the cash was never delivered (Bright Automotive)." Um... didn't Fisker NOT get their loan because they didn't meet the required production deadlines that the DOE stated in the loan agreement??? If Danny King omits an important nugget of truth like that... what else is he not saying about Bright Automotive and CODA? Did these companies really get stiffed by the DOE? Or did they fail to meet the requirements and timetables to receive the full amount of the loan?
        Marco Polo
        • 2 Years Ago
        @Joeviocoe
        @Joeviocoe "Um... didn't Fisker NOT get their loan because they didn't meet the required production deadlines that the DOE stated in the loan agreement???" Joe, the accusatory tone of your post, and gloating condemnation of Fisker would seem to indicate that you are too biased to be objective. Fiskers delays were generated, not by inefficiency or incompetence, but by circumstances beyond their control. Fisker could well argue that part of their failure to meet the deadlines was created by a Federal government agency. All loan agreements (in developed nations) are subject to the principle of good faith and conscionable conduct. The DoE's loan policy would appear to have changed, and the DoE is taking advantage of technical breaches to enforce the performance clauses in an unconscionable manner. This doesn't apply to Bright or Coda, since the loans had not actually taken place. The DOE still held the right to change it's mind. That's maybe harsh, and despicable behaviour on the DoE's part, but legally, it's neither bad faith or unconscionable. Whether companies like FA should have received loans in the first place is a separate issue. Once the DoE was committed to FA as a client, it must behave with good faith and in good conscience.
          EVnerdGene
          • 2 Years Ago
          @Marco Polo
          Marco, One of the promises obama made while campaigning was more tranparency in government. (been the least transparent government ever - BTW) We do indeed have a right to read Frisker loan docs. The only docs not available are those concerning national security. I can't see how 5400 pound $100+k luxury cars made in Finland would affect our national security.
          Spec
          • 2 Years Ago
          @Marco Polo
          Do you have link to the Fisker loan documentation?
          Marco Polo
          • 2 Years Ago
          @Marco Polo
          @Spec No one (except the parties) has access to the specific documentation. The nearest you can get is similar documentation and extrapolate. A organisation of Right -wing pests, Judicial Watch, is suing for access to the documentation, having being denied Freedom of Information access. Judicial watch have no 'public interest' issues, simply a prurient hated of any liberal cause or political figure. This is the problem of commercial/government agreement, the details are always confidential until filed in court, and even then can be subject to gag orders.
        Spec
        • 2 Years Ago
        @Joeviocoe
        Well . . . the DoE probably quietly tells them they are not getting the money but does not humiliate them with an outright rejection. This allows the companies to save face by 'withdrawing' their requests.
        Letstakeawalk
        • 2 Years Ago
        @Joeviocoe
        It's true that Fisker's loan hasn't been disbursed because of failure to meet milestones... But it's equally true that Fisker and the DoE are negotiating the terms of the loan, and that Fisker is still waiting on the DoE's decision. Your final question is a very good one. Did the companies fail to do as needed, or is there some issue with the DoE? Considering the DoE hasn't agreed to any loan since 2009, IMHO there's some issue within the government agency.
      Spec
      • 2 Years Ago
      "When so many American companies are abandoning American manufacturing and laying off thousands of workers, it is a blessing that new companies, such as Coda, is filling the void" What? They are taking a Chinese glider and slapping an EV drivetrain in it here in the USA. Coda abandoned USA manufacturing for Chinese manufacturing except for some final light-assembly done here. Don't you dare try to paint Coda as some savior of American manufacturing.
      EZEE
      • 2 Years Ago
      Now you pissed off Spec. I don't think even I have done that....
      2 Wheeled Menace
      • 2 Years Ago
      Bummer. I'd like to hear the sound of conservative pundit's heads exploding in the distance if they actually got this loan.
        Spec
        • 2 Years Ago
        @2 Wheeled Menace
        I think liberal heads would also have been exploding.
        Scambuster
        • 2 Years Ago
        @2 Wheeled Menace
        The Federal government basically bribed Fiat to take Chrysler. To entice Fiat to take bankrupt Chrysler, the Federal government gave Fiat about $10billion dollars in loan plus other incentives. While the Fed is more than willing to give money to Italian Fiat but reluctant to Coda, perhaps the different treatment has something to do with Coda buying EV components from China and the prevailing anti-Chinese, "Yellow Peril" attitude in USA.
          Spec
          • 2 Years Ago
          @Scambuster
          Oooh pfftt . . . you are pathetic trying to raise some racist crap. May I remind you that the head of the DoE is a Chinese-American? No, the difference is that Chrysler build cars in the USA. Coda takes Chinese-made batteries and slaps them into a Chinese-made glider. Why should US tax-dollars be spent on largely Chinese jobs? The Chinese companies can and do get plenty of support from the Chinese government.
      Jonathan
      • 2 Years Ago
      This is great news for the Chinese now they can steal from another American company and rip off more consumers worldwide .
      Electron
      • 2 Years Ago
      Well..."Marco Polo" does have a reputation of spending 24/7 on this forum defending the rich and the powerful of this world in general and Big Oil in particular so I personally place his perennial bad mouthing of Coda in that perspective. OTOH the Chinese do prefer their business dealing dirty so no doubt one doesn't need to dig deep to find some fishy stuff, but that goes pretty much for all Chinese companies I reckon.
      Scambuster
      • 2 Years Ago
      The Propagandists and shills for special interest groups now paints China as well as CNOOC with one broad stroke as evil narcotic pushers, human rights abusers, weapon traffickers, or unethical business operator. The allegations get better. According to a Spin Doctor from the school of Joseph Goebel, "unethical and shifty" American businessmen are in bed with "Communists Oil companies and warlords." The brave Doctor never bothered to asked which nation's warlord is waging four overt or covert wars for nearly 10 years half way around the world in Iraq, Afghanistan, Pakistan, and Yemen. In his next hit-and-run attack, the Doctor concocts a fantasy Chinese corporation, 'The Peoples Republic of China Weaponry Equipment Corporation" that "runs weapons into "Burma, Iran, ... . and a half of dozen other places." And he instructs all readers to "Do a little homework before you talk such gibberish!" The propagandist's grand-dad of all disinformation alleges this corporation also operates China's "labour camps notorious for human rights abuses " . Even if true, how was the good Doctor able to link together these nasty allegations against Coda? According to the Doctor of propaganda, they were "Coda's playmates," a deliberate ambiguous term to smear Coda's reputation through "guilt by association." Goebel is smiling upon his best student. As the victims of European opium pushers, the Chinese have enacted draconian anti-drug laws that make USA drug laws look like child-play. When the Chinese incited the "Boxer" rebellions against the White man's opium importation in China and the proliferation of prostitution as collateral damages, the White man humilated the Chinese with several victorious Gun Boat diplomacy. Consequently to this day, China is hypersensitive to illegal narcotics dealings whereas America continues to be the world's largest importer and consumer of illegal narcotics. But Goebel's protage' would have people believe the opposite. According to the Doctor of propaganda of special interest, since the American government has sold more than $1.3trillion Treasury notes to the Chinese, the American government is a member of the "unethical and shifty" US businessmen doing business with the evil Chinese. Judging from the balance-of-trade, it appears China is a better capitalist than USA which persistently had a huge trade deficit for over ten years. And given that USA has greatly expanded the social safety net during the past 70 years while China has been privatizing former government owned businesses and eliminating social programs, the traditional labels, communist China and capitalist America, are too extreme or absolute. The Doctor of Propaganda wants everyone to view the world as good or evil, black or white,and hence, all China is bad and all America is good.
      ev_ftw
      • 2 Years Ago
      I only read the first three words of the title...
      EVnerdGene
      • 2 Years Ago
      Solyndra, Frisker, Tesla, CODA, Aptera, ad nauseum; would all be further along if they just went to private markets to raise money for their great ideas - instead of kissing politicians butts and payola, and getting saddled with numbscull bureaucrats examining their rectums. They could raise all the money they need in private markets - if they have a good idea/plan/market strategy/people with a track record. IF. If they don't - they can go after government loans and grants.
        Letstakeawalk
        • 2 Years Ago
        @EVnerdGene
        Elon Musk has said as much: Waiting for the DoE loans actually delayed the Model S program.
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