Company: GURE
Filing Date: 2025-12-31
Form Type: S-3/A
Source: 0001193805-25-001804
Chunk: 4

Company: GULF RESOURCES, INC.
Filing Date: 2025-12-31
Form: S-3/A
Chunk 4
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 If such allegations
were not proven to be baseless, the Company would be severely hampered and the price of the stock of the Company could decline substantially.
If such allegations were proven to be groundless, the investigation might have significantly distracted the attention of the Company’s
management.

As of the
date of this prospectus, our Company, the subsidiaries have not been involved in any investigations on cyber security review initiated
by any PRC regulatory authority, nor has any of them received any inquiry, notice or sanction. As of the date of this prospectus, there
are currently no relevant laws or regulations in the PRC that prohibit companies whose entity interests are within the PRC from listing
on overseas stock exchanges. However, since these statements and regulatory actions are newly published, official guidance and related
implementation rules have not been issued. It is highly uncertain what the potential impact such modified or new laws and regulations
will have on our daily business operation, the ability to accept foreign investments and our ability to continue our listing on a U.S
exchange.

Corporate Structure

Our current
corporate structure chart is set forth in the following diagram:

Currently,
we operate our business through our wholly-owned subsidiaries in China, including (i) Shouguang City Haoyuan Chemical Company Limited,
or SCHC; (ii) Daying County Haoyuan Chemical Co., Ltd., or DCHC; and (iii) Shouguang Hengde Salt Industry Co. Limited, or SHSI, each a
PRC company.

Holding Foreign Companies Accountable Act

The Holding
Foreign Companies Accountable Act, or the HFCAA was enacted on December 18, 2020, as amended by the Consolidated Appropriations Act, 2023.
The HKCAA states if the SEC determines that we have filled audited reports issued by a registered public accounting firm that has not
been subject to inspection by the PCAOB for the consecutive years beginning in 2021, the SEC shall prohibit our stocks from being traded
on a national securities exchange or in the over-the-counter trading market in the U.S.

Pursuant
to the Holding Foreign Companies Accountable Act, or the HFCAA, if the Public Company Accounting Oversight Board, or the PCAOB, is unable
to inspect an issuer’s auditors for three consecutive years, the issuer’s securities are prohibited to trade on a U.S. stock
exchange. The PCAOB issued a Determination Report on December 16, 2021 which found