Company: QSJC
Filing Date: 2025-03-26
Form Type: 10-K
Source: 0001683168-25-001892
Chunk: 11

Company: TANCHENG GROUP CO., LTD.
Filing Date: 2025-03-26
Form: 10-K
Item: Item 1
Chunk 11
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 trade barriers could have a significant adverse impact on our business. The adoption and expansion of
trade restrictions and tariffs, quotas and embargoes, sanctions, the occurrence of a trade war, or other governmental action related to
tariffs or trade agreements or policies, has the potential to adversely impact costs, our suppliers and the world economy in general,
which in turn could have a material adverse effect on our business, results of operations and financial condition.

During President Trump’s first term in office,
he signed executive orders banning transactions by any person, or with respect to any property, subject to the jurisdiction of the United
States with respect to WeChat, and with persons that develop or control the following Chinese-connected software applications: Alipay,
CamScanner, QQ Wallet, SHAREit, Tencent QQ, VMate, WeChat Pay, and WPS Office, some of which are critical to the operation of our business.
These executive orders were revoked on June 9, 2021 by former President Biden, who then signed an executive order directing the Department
of Commerce to launch a national security review of apps with links to foreign adversaries (which is defined to include China) and issue
recommendations for regulatory and legislative action to address the associated risks.

We cannot foresee whether and how developments
in similar policy actions or any other policy actions taken by the U.S. or Chinese government will impact our business and financial performance.
In addition, changes in political, business, economic and trade relations between the U.S. and China, including the potential for heightened
tensions under the current U.S. administration, may trigger negative customer sentiment towards western brands in China, potentially resulting
in a negative impact on our business, results of operations and financial condition.

Furthermore, the risks and uncertainties associated
with U.S.-China political, business, economic and trade relations may negatively impact investor sentiment towards China-based companies.,
which could in turn adversely affect the demand, price and trading volume of our common stock.

 9 

Uncertainties with respect to the PRC legal
system could adversely affect us.

The PRC legal system is a civil law system based
on written statutes. Unlike the common law system, prior court decisions under the civil law system may be cited for reference but have
limited precedential value.

In 1979, the PRC government began to promulgate
a comprehensive system of laws and regulations governing economic matters generally. The overall effect of legislation over the past three
decades has significantly enhanced the protections afforded to various forms