Company: CAAS
Filing Date: 2025-07-01
Form Type: F-4
Source: 0001104659-25-064447
Chunk: 54

Company: China Automotive Systems, Inc.
Filing Date: 2025-07-01
Form: F-4
Chunk 54
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 Report, according to which our auditor is
subject to the determinations that the PCAOB is unable to inspect or investigate completely. On December 15, 2022, the PCAOB issued
a report that vacated its December 16, 2021 determination and removed mainland China and Hong Kong from the list of jurisdictions
where it is unable to inspect or investigate completely registered public accounting firms. However, if the PCAOB determines in the future
that it no longer has full access to inspect and investigate completely accounting firms in mainland China and Hong Kong, and we use an
accounting firm headquartered in one of these jurisdictions to issue an audit report on our financial statements filed with the Securities
and Exchange Commission, we and investors in our shares would be deprived of the benefits of such PCAOB inspections again, which could
cause investors and potential investors in the shares to lose confidence in our audit procedures and reported financial information and
the quality of our financial statements.

Our shares may be prohibited from trading in the United States under the HFCAA in the future if the PCAOB is unable to inspect or investigate completely auditors located in China. The delisting of the shares, or the threat of their being delisted, may materially and adversely affect the value of your investment.

Pursuant to the HFCAA, if the SEC determines that
we have filed audit reports issued by a registered public accounting firm that has not been subject to inspections by the PCAOB for two
consecutive years, the SEC will prohibit our shares from being traded on a national securities exchange or in the over-the-counter trading
market in the United States.

On December 16, 2021, the PCAOB issued a report
to notify the SEC of its determination that the PCAOB was unable to inspect or investigate completely registered public accounting firms
headquartered in mainland China and Hong Kong and our auditor was subject to that determination. In May 2022, the SEC conclusively
listed us as a Commission-Identified Issuer under the HFCAA following the filing of our annual report on Form 10-K for the fiscal
year ended December 31, 2021. On December 15, 2022, the PCAOB removed mainland China and Hong Kong from the list of jurisdictions
where it is unable to inspect or investigate completely registered public accounting firms. For this reason, we do not expect to be identified
as a Commission-Identified Issuer under the HFCAA after we filed annual report on Form 10-K for the fiscal year