Company: KPEA
Filing Date: 2025-01-14
Form Type: 10-K
Source: 0001493152-25-002124
Chunk: 665

Company: Kun Peng International Ltd.
Filing Date: 2025-01-14
Form: 10-K
Item: Item 1A
Chunk 665
---
 tariffs imposed by the Trump administration, or quotas, embargoes, safeguards and customs restrictions against apparel items
could increase the cost, delay shipping or reduce the supply of apparel available to us or may require us to modify our current business
practices, any of which could have a material adverse effect on our business, financial condition and results of operations.

Moreover,
the potential for a second wave of the coronavirus pandemic breaking out in China, and the uncertainty in relation to same, could impair
our ability to obtain our health-related products in that region or to obtain such products at marketable rates, particularly if additional
quarantine and travel restrictions result in the closure of the businesses and/or factories in which our current health-related products
are manufactured. Such events may result in the need for us to consider and establish relationships with other third parties in different
countries from which to source our inventory of health related products and could have a material adverse effect on our business, operating
results and financial condition.

56

Political
and economic problems in a single country are increasingly affecting other markets and economies, and a continuation of this trend could
adversely affect global economic conditions and world markets. Uncertainty and volatility in the financial markets and political systems
of the U.S. or any other country, including volatility as a result of the ongoing conflicts between Russia and Ukraine, Israel and Hamas
and the rapidly evolving measures in response, may have adverse spill-over effects into the global financial markets generally. International
trade disruptions or disputes could adversely affect our business and operating results.

Significant
portions of our business are conducted in Asia. Interruptions in international relationships or the rapidly evolving conflict between
Russia and Ukraine, Israel and Hamas and trade disputes such as the current trade negotiations between the U.S. and China, including
the possibility of future tariffs imposed by the Trump administration, could result in changes to our commercial operations, or otherwise
affect our ability to do business. Although these global problems transcend our company and afflict companies across industries and borders,
these and similar events could adversely affect us, or our business partners or customers.

Russia’s
military conflict in Ukraine have led to, and may lead to, additional sanctions being levied by the United States, European Union and
other countries against Russia. Russia’s military incursion and the resulting sanctions could adversely affect global energy and
financial markets. Although our business does not have any direct exposure to Russia or the adjoining geographic regions, the extent
and duration of the military action, sanctions