Company: JXG
Filing Date: 2025-05-15
Form Type: 20-F
Source: 0001213900-25-043744
Chunk: 50

Company: JX Luxventure Group Inc.
Filing Date: 2025-05-15
Form: 20-F
Item: Item 3
Chunk 50
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. However,
uncertainties still exist in relation to its interpretation and implementation.

Fluctuations in exchange rates could have a
material and adverse effect on our results of operations and the value of your investment.

The value of the Renminbi against the U. S. dollar
and other currencies may fluctuate and is affected by, among other things, changes in political and economic conditions and the foreign
exchange policy adopted by the PRC government. It is difficult to predict how long such appreciation of RMB against the U. S. dollar may
last and when and how the relationship between the RMB and the U. S. dollar may change again. All of our revenues and substantially all
of our costs are denominated in Renminbi. We rely on dividends paid by our operating subsidiaries in China for our cash needs. Any significant
revaluation of Renminbi may materially and adversely affect our results of operations and financial position reported in Renminbi when
translated into U. S. dollars, and the value of, and any dividends payable on, the common stock in U. S. dollars. To the extent that we
need to convert U. S. dollars into Renminbi for our operations, appreciation of the Renminbi against the U. S. dollar would have an adverse
effect on the Renminbi amount we would receive. Conversely, if we decide to convert our Renminbi into U. S. dollars for the purpose of
making payments for dividends on our Common Stock or for other business purposes, appreciation of the U. S. dollar against the Renminbi
would have a negative effect on the U. S. dollar amount.

Governmental control of currency conversion
may limit our ability to utilize our revenues effectively and affect the value of your investment.

The PRC government imposes controls on the convertibility
of the Renminbi into foreign currencies and, in certain cases, the remittance of currency out of China. We receive substantially all of
our revenues in Renminbi. Under existing PRC foreign exchange regulations, payments of current account items, including profit distributions,
interest payments and trade and service-related foreign exchange transactions, can be made in foreign currencies without prior approval
of SAFE by complying with certain procedural requirements. Specifically, under the existing exchange restrictions, without prior approval
of SAFE, cash generated from the operations of our PRC subsidiaries in China may be used to pay dividends to our company. However, approval
from or registration with appropriate government authorities is required, in