Microvast Investors File Class Actions Alleging Overstated Targets

On March 16, 2026, Microvast reported quarterly gross margin of about 1%, down from about 36% a year earlier. Securities class actions cover investors who bought shares from April 1, 2025 to March 16, 2026. Early in that span the company said its Huzhou Phase 3.2 expansion would be online before the end of 2025 and described a "strategic repositioning away from low-margin segments" and a "focus . . . towards more profitable, higher-value opportunities." KEY: Gross margin fell to approximately 1% from approximately 36%. A June 25, 2025 Grizzly Research report alleged Microvast "is fabricating a significant part of its business and capabilities." Microvast’s March release linked the margin result to "specialized ESS components" and put revenue at $96.5 million, a 15% year-over-year fall it tied to "regulatory shifts in South Korea and delays in customer platform ramp-up." CONTESTED: Investor complaints allege the company overstated its ability to finish Huzhou Phase 3.2 on time and to deliver stronger margins, and failed to disclose inventory-management issues and delays in customers’ commercial-vehicle rollouts. The notices come from Kaplan Fox & Kilsheimer, listing Pamela A. Mayer and Laurence D. King as contacts. Lead plaintiff motions were due by September 21, 2026. No company rebuttal or rated outlet coverage appears in the record.