Company: CAAS
Filing Date: 2025-08-04
Form Type: 424B3
Source: 0001104659-25-073486
Chunk: 62

Company: China Automotive Systems, Inc.
Filing Date: 2025-08-04
Form: 424B3
Chunk 62
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 the future release regulations or policies regarding any industry
that could adversely affect the business, financial condition and results of operations of our company. For example, on December 28,
2021, the CAC, adopted rules mandating that an issuer who is a CIIO or a “data processing operator” as defined therein
and who possesses personal information of more than one million users, and intends to have its securities listed for trading in a foreign
country must complete a cybersecurity review by the CAC. Alternatively, relevant governmental authorities in the PRC may initiate cyber
security review if such governmental authorities determine an operator’s cyber products or services, data processing or potential
listing in a foreign country affect or may affect national security. The rules became effective on February 15, 2022. Moreover,
on July 7, 2022, the CAC promulgated the Measures for the Security Assessment of Cross-border Data Transmission, which came into
effect on September 1, 2022, and regulate the security assessment on the cross-border data transfer by data processor of important
data and personal information collected and generated during operations within the PRC. According to these measures, personal data processors
will be subject to security assessment conducted by the CAC prior to any cross-border transfer of data if the transfer involves (i) important
data; (ii) personal information transferred overseas by operators of critical information infrastructure or a data processor that
has processed personal data of more than one million persons; (iii) personal information transferred overseas by a data processor
that has already provided personal data of 100,000 persons or sensitive personal data of 10,000 persons overseas since January 1
of the prior year; or (iv) other circumstances as requested by the Cyberspace Administration of China.

The new CAC rules do not appear to apply
to the Company or its subsidiaries at this time. As of the date of this proxy statement/prospectus, (i) the Company does not hold
personal information of over one million users; (ii) the Company and its subsidiaries have not been informed by any PRC governmental
authority of any requirement that it file for a cybersecurity review; (iii) data processed in the Company’s business does
not have a bearing on national security and may not be classified as core or important data by the PRC governmental authorities; and
(iv) none of the Company and its subsidiaries provides any important data, personal information or sensitive personal data outside
the territory of PRC, therefore,