Company: SCAG
Filing Date: 2025-11-12
Form Type: 20-F
Source: 0001213900-25-109190
Chunk: 9

Company: Scage Future
Filing Date: 2025-11-12
Form: 20-F
Item: Item 3
Chunk 9
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 affect our business, results of operations and financial condition.

We may fail to compete effectively in the zero-emission
transportation industry.

We expect competition in
the emerging zero-emission transportation industry to intensify as new automakers and established automotive giants enter the market.
Many of our current and potential competitors have more financial, technical, manufacturing, marketing and other resources than we do,
and may be able to devote significant resources to the design, development, manufacturing, distribution, promotion, sale and support
of their products.

Factors affecting competition
include, among others, product quality and features, innovation and development time, pricing, reliability, safety, energy efficiency,
sales and marketing capabilities, distribution network, customer service and financing terms. Increased competition may lead to lower
vehicle unit sales and increased inventory, which may result in downward price pressure. We cannot assure you that we will be able to
compete successfully. Our competitors may introduce new vehicles or services that surpass the quality or performance of ours, which would
adversely affect our competitive position in the market. They may also offer vehicles at more competitive prices, which would have an
adverse impact on our sales and profitability. In addition, rapid technological shifts could render our products outdated, and our research
and development might not keep pace or innovate effectively. As a result, we may lose our technological edge. Any of the foregoing would
materially and adversely affect our business, prospects, results of operations and financial condition.

If there is inadequate availability of
hydrogen, or if we fail to secure e-fuel supply at competitive prices or with a competitive emissions profile, our business will be materially
and adversely affected.

Demand for our hydrogen-powered
trucks and hydrogen fueling services will depend in part on the consistent availability of hydrogen infrastructure and affordability
of hydrogen fuel. We cannot guarantee that we will be able to increase our hydrogen production at the anticipated rate or that hydrogen
prices will become competitive with hydrocarbons or their alternatives. The vehicles that we collaborated in developing will also require
a steady and adequate supply of hydrogen for refueling. We plan to partner with third parties to provide hydrogen infrastructure and
fueling stations to our customers. Some potential customers may choose not to purchase trucks that we collaborated in developing because
of the risk of unavailability or cost of hydrogen supply. Additionally, certain customers may consider hydrogen vehicles because of their
sustainability profile; however, the sustainability profile of hydrogen depends on the production process. Hydrogen produced by our SOEC
technology may