Company: JXG
Filing Date: 2025-05-15
Form Type: 20-F
Source: 0001213900-25-043744
Chunk: 16

Company: JX Luxventure Group Inc.
Filing Date: 2025-05-15
Form: 20-F
Item: Item 3
Chunk 16
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 required for our operations, we may be required to renew these licenses
and permits upon their expiration or obtain new licenses or permits in the future as a result of our business expansion, changes of our
operations, changes in laws and regulations applicable to us, or changes of interpretation from relevant authorities on such laws and
regulations.

After consulting our PRC legal counsel, Beijing
Dacheng Law Offices LLP (Haikou), we believe we and our PRC subsidiaries have obtained all necessary licenses and approvals required for
our operations in China, including business licenses and VAT licenses for internet data center services, internet access services, domestic
internet protocol virtual private network services, content delivery network services and information services.

However, any failure,
or perceived failure, by us to comply with any of these requirements could result in damage to our reputation, a loss in business, and
proceedings or actions against us which could be costly and disrupt our overall operations. We may also be contractually liable to indemnify
and hold harmless third parties from the costs or consequences of noncompliance with any such laws or regulations. Any of these events
may have a material and adverse effect on our business, financial condition and results of operations.

Our results of
operations may fluctuate due to the seasonality of our business and other events, which could cause our stock price to decline.

We have experienced,
and expect to continuously experience, seasonal fluctuations in our results of operations, due to seasonal changes in sales volume, as
well as seasonality in our advertising services.
In addition, the business hours of our logistics and fulfillment service
will be impacted by the holidays. Moreover, our results of operations may fluctuate due to changes in production cycle and launch of new
styles or events.

Our product suppliers,
manufacturers, independent contractors or commercial partners may engage in misconduct or other improper activities, including unfair
competition and noncompliance with laws and regulations, which may adversely affect our business and results of operations.

We are exposed to the
risk that our product suppliers, manufacturers, independent contractors or commercial partners may engage in misconduct. Misconduct by
these parties could include intentional, reckless or negligent conduct or improper sales, marketing and business arrangements, in particular,
arrangements that may constitute unfair competition. It is not always possible for us to identify and deter misconduct by our product
suppliers, independent contractors or commercial partners, and the precautions we take to detect and prevent this activity may not be
effective in controlling unknown, unmanaged risks and losses