Company: CAAS
Filing Date: 2025-07-25
Form Type: F-4/A
Source: 0001104659-25-070492
Chunk: 11

Company: China Automotive Systems, Inc.
Filing Date: 2025-07-25
Form: F-4/A
Chunk 11
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by CAAS Cayman in connection with the Redomicile Merger. Following the Redomicile Merger, CAAS Cayman, together with its subsidiaries,
will own and continue to conduct our business in substantially the same manner as it is currently being conducted by the Company and its
subsidiaries. CAAS Cayman will be managed by the directors and officers appointed pursuant to the Plan of Merger, who are the same directors
and executive officers that manage the Company today.

Q: Why does the Company want to engage in the Redomicile Merger?

A:We expect that the Redomicile Merger will, among other things,
result in a reduction in operational, administrative, legal and accounting costs over the long term and more closely align our structure
with our international corporate strategy. However, there can be no assurance that following the Redomicile Merger we will be able to
realize these expected benefits for the reasons discussed in the section entitled “Risk Factors and Caution Regarding Forward-Looking
Statements — Risks Related to the Redomicile Merger — The expected benefits of the Redomicile Merger may not be realized.”

Q: Will the Redomicile Merger affect current or future operations?

A:We expect that the Redomicile Merger will not have a material
impact on how we conduct day-to-day operations and the new corporate structure will not change our future operational plans to grow our
business. The location of future operations will depend on the needs of the business, which will be determined without regard to our jurisdiction
of incorporation.

Q: Will CAAS Cayman be treated differently from the Company for U.S. federal income tax purposes?

A:After the Redomicile Merger, CAAS Cayman, as successor to
the Company, will continue to be treated as a U.S. corporation for U.S. federal income tax purposes. Accordingly, CAAS Cayman will continue
to be subject to U.S. federal income taxes, and dividends paid by CAAS Cayman to its non-U.S. stockholders will continue to be subject
to U.S. withholding taxes, as if it were incorporated in Delaware.

Q: Is the Redomicile Merger taxable to me?

A:We intend the Redomicile Merger to qualify as a reorganization
for U.S. federal income tax purposes. Assuming the Redomicile Merger qualifies as a reorganization, a U.S. Holder (as defined in “Proposal
One — The Mer