Company: GURE
Filing Date: 2025-04-11
Form Type: 10-K
Source: 0001193805-25-000461
Chunk: 29

Company: GULF RESOURCES, INC.
Filing Date: 2025-04-11
Form: 10-K
Item: Item 1
Chunk 29
---
 key considerations in awarding contracts in the PRC.

Our principal competitors in the
bromine business are Shandong Yuyuan Group Company Limited, Shandong Haihua Group Company Limited, Shandong Dadi Salt Chemical Group Company
Limited and Shandong Haiwang Chemical Company Limited, all of which produce bromine principally for use in their chemicals businesses
and sell part of the bromine produced to customers. These companies may switch to selling bromine to the market if they no longer use
bromine in their chemical businesses.

Our principal competitors in the
crude salt business are Shandong Haiwang Chemical Company Limited, Shandong Haihua Group Company Limited, Shandong Weifang Longwei Industrial
Company Limited, Shandong Yuyuan Group Company Limited and Shandong Caiyangzi Saltworks.

Our principal competitors in the
chemical business are Beijing Shiji Zhongxing Energy Technology Co., Ltd, Yanan Chaozheng Nijiang Co., Ltd, Shandong Dacheng Pesticides
Company Limited, Binhua Group Company Limited, Dongying City Dongchen (Group) Chemical Industry Company Limited, Beijing Peikangjiaye
Technologies Limited, Shouguang Fukang Pharmaceutical Co., Ltd. Shandong Xinhua Pharmaceutical Limited by Share Ltd, Hunan Erkang Pharmaceutical
Limited by Share Ltd and Xinan Synthetic Pharmaceutical Limited by Share Ltd.

17 

Government Regulation

China has been reinforcing the
environmental requirements for the entire chemical industry, demanding the closure or rectification of those factories that do not meet
the emission requirements and are highly polluting. In early 2017, the government announced the closure or relocation of those chemical
industry facilities that are close to residential areas and the new environmental law officially came into full effect in January 2018.

The following is a summary of
the principal governmental laws and regulations that are or may be applicable to our operations in the PRC. The scope and enforcement
of many of the laws and regulations described below are uncertain. We cannot predict the effect of further developments in the Chinese
legal system, including the promulgation of new laws, changes to existing laws or the interpretation or enforcement of laws.

In the natural resources sector,
the PRC and the various provinces have enacted a series of laws and regulations over the past 20 years, including laws and regulations
designed to improve safety and decrease environmental degradation. The “China Mineral Resources Law” declares