Company: VSA
Filing Date: 2025-11-13
Form Type: 424B5
Source: 0001213900-25-109735
Chunk: 70

Company: VisionSys AI Inc
Filing Date: 2025-11-13
Form: 424B5
Chunk 70
---
 respective subsidiaries. Against this backdrop,
China has implemented, and may further implement, measures in response to the changing trade policies, treaties, tariffs and sanctions
and restrictions against Chinese companies initiated by the U.S. government. The United States and various foreign governments have imposed
controls, license requirements and restrictions on the import or export of technologies and products (or voiced the intention to do so).
For instance, in October 2022, the U.S. government imposed a set of export control measures with respect to China. On October 17, 2023,
the U.S. government announced additional semiconductor regulations expanding and enhancing export controls under these export control
measures.

<div align='center'>S-40</div>

On August 9, 2023, the Biden administration released
an executive order directing the Treasury Department to create an outbound foreign direct investment review program that will require
reporting on or (in more narrow circumstances) will prohibit investments by U.S. persons involving “covered national security technologies
and products,” which is defined to include “sensitive technologies and products in the semiconductors and microelectronics,
quantum information technologies, and AI sectors that are critical for the military, intelligence, surveillance, or cyber-enabled capabilities”
of China (to include Hong Kong and Macau). On the same day, the Treasury Department issued an advance notice of proposed rulemaking, which
provides a conceptual framework for outbound investment controls focused on China. As of the date of this prospect supplement, the final
rules implementing the executive order has not become effective yet, and the scope of the outbound foreign direct investment review program
may be materially different from what is currently contemplated. In addition, the United States is in the process of developing new export
controls with respect to “emerging and foundational” technologies, which may include certain AI and semiconductor technologies.
The U.S. government also reportedly is considering imposing new restrictions on the ability of U.S. persons to make investments in or
engage in transactions with certain Chinese companies. The United States has also restricted U.S. persons from investing in publicly-traded
securities of “Chinese Military-Industrial Complex” companies identified by the Treasury Department. Measures such as these
could deter suppliers in the United States and/or other countries that impose export controls and other restrictions from providing technologies
and products to, making investments in, or otherwise engaging in transactions with Chinese companies.

As a result, Chinese companies would have to identify
and secure alterative supplies or sources of financing, while they