Company: XXC
Filing Date: 2025-11-18
Form Type: 20-F
Source: 0001213900-25-111691
Chunk: 12

Company: XINXU COPPER INDUSTRY TECHNOLOGY Ltd
Filing Date: 2025-11-18
Form: 20-F
Item: Item 5
Chunk 12
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tic
Copper

In January 2024, we adjusted
our sales mix by significantly reducing the volume of copper material resales, primarily electrolytic copper due to their low margins.
Instead, we shifted our focus toward higher-margin products, particularly soft and hard connection copper bars. We achieved small-batch
production of these products in December 2023, which are currently widely used in electric vehicle battery packs, a segment experiencing
growing demand. As a result, there was a significant decrease in resales of copper materials, primarily electrolytic copper from January
2024 to June 2024. See “Item 5. Operating and Financial Review and Prospects.” This realignment reflects our ongoing
efforts to optimize our product mix, improve overall profitability, and focus on higher-margin business lines.