Company: GURE
Filing Date: 2025-12-31
Form Type: S-3/A
Source: 0001193805-25-001804
Chunk: 7

Company: GULF RESOURCES, INC.
Filing Date: 2025-12-31
Form: S-3/A
Chunk 7
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 in RMB. Shortages in foreign currencies may restrict our ability
to pay dividends or otherwise satisfy our foreign currency denominated obligations, if any. In addition, under the PRC laws and regulations,
our PRC subsidiaries and their subsidiaries are also subject to certain restrictions with respect to paying dividends or otherwise transferring
any of their net assets to us. We have no operations outside of PRC, and cash generated from operations in the PRC may not be available
for other use outside of the PRC due to interventions in or the imposition of restrictions and limitations on the ability of us, or our
subsidiaries by the PRC government to transfer cash. In addition, remittance of dividends by a wholly foreign-owned enterprise out of
China is also subject to examination by the banks designated by SAFE. Under existing PRC foreign exchange regulations, payments of current
account items, including profit distributions, interest payments and expenditures from trade-related transactions, can be made in foreign
currencies without prior approval from SAFE as long as certain procedural requirements are met. Approval from appropriate government authorities
is required if RMB is converted into foreign currency and remitted out of China to pay capital expenses such as the repayment of loans
denominated in foreign currencies. The Chinese government may also, at its discretion, impose restrictions on access to foreign currencies
for current account transactions and if this occurs in the future, we may not be able to pay dividends in foreign currencies to our shareholders. See
“Item 1A. Risk Factors — Risks Related to Doing Business in China – We may rely on dividends and other distributions
on equity paid by our PRC subsidiaries to fund any cash and financing requirements we may have, and any limitation on the ability of our
PRC subsidiaries to make payments to us could have a material and adverse effect on our ability to conduct our business.” And “Item
1A. Risk Factors — Risks Related to Doing Business in China – PRC regulation of loans to and direct investment in PRC entities
by offshore holding companies and governmental control of currency conversion may delay us from making loans or additional capital contributions
to our PRC subsidiaries, which could materially and adversely affect our liquidity and our ability to fund and expand our business.”
On pages 24 and 25 of our most recent annual report on Form 10-K for the fiscal year ended December 31, 2024.

For the years
ended December 31, 2022, 2023 and 2024, no dividends or distributions were