Company: FSTWF
Filing Date: 2025-05-15
Form Type: 20-F
Source: 0001213900-25-044386
Chunk: 55

Company: FST Corp.
Filing Date: 2025-05-15
Form: 20-F
Item: Item 4
Chunk 55
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 into golf club manufacturing stems from its
established expertise in high-precision machining and metalworking, developed within the existing machinery and metal materials business
of its major shareholder, Far East Machinery Co., Ltd. This foundational competence translates into a strategic focus on R& D and innovation
in metalworking.

The Company has dedicated substantial resources to golf-specific product
development.

The Company employs a dedicated R& D team, which had 21 full-time employees
as of December 31, 2024, focusing on innovation in shaft design, material composition and manufacturing process.

In addition, the shaft design and development process is overseen by
Kim Braly, head of the Design Department of FST America, Inc. (“ FST America”), who provides the R& D team with valuable
insights as a veteran designer. Furthermore, the Company collects feedback from the PGA players who use KBS shafts in their competitions,
and tracks customer preferences through online orders and in-person customer fittings at KBS Golf Experience stores. The sales department
analyses the data and informs the R& D department any insights generated from data analysis and direct feedbacks, to ensure new products
is designed to meet customer demands.

This multi-pronged approach, focusing on internal technological
expertise, guidance from the industry veteran, and player-driven insights, has resulted in the Company:

  having the capability of manufacturing high-performance club  

  becoming a trusted partner for several leading  

  earning widespread acclaim for the KBS brand golf club shafts  

  maintaining a disciplined product launch schedule. Starting                                                                                
  from 2017, with the exception of 2022 due to the impacts of COVID-19, the Company has launched one or more new KBS shaft series annually,  
  which helps enrich the product portfolio and maintain brand awareness.                                                                     
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By leveraging its proven capabilities and unwavering commitment to
R& D, the Company is able to maintain and solidify its position as a leading manufacturer of high-performance golf club shafts
in the global market.

Results

The Company’s R& D results for the four most recent fiscal years
were as follows:

  Year      Specific R& D products         Main functions                                                                                                                                                                                        
 ─────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  2024      KBS MAX