Company: XXC
Filing Date: 2025-09-18
Form Type: F-1/A
Source: 0001213900-25-089077
Chunk: 143

Company: XINXU COPPER INDUSTRY TECHNOLOGY Ltd
Filing Date: 2025-09-18
Form: F-1/A
Chunk 143
---
 model type (e.g., battery electric vehicles, hybrid electric vehicles). Using an estimated average of 100 kg of copper per new energy vehicle, copper consumption by the new energy vehicle sector is calculated to have increased from 54,500 tons in 2016 to approximately 1.17million tons in 2024, based on annual new energy vehicles’ sales data. From a market dynamics perspective, the driving force behind the growth of the new energy vehicle industry is shifting from being primarily policy -drivento increasingly market -drivenand user -driven. As market demand for new energy vehicles continues to accelerate, copper consumption in this sector is expected to grow further. 86 OUR BUSINESS Overview Xinxu is a holding company incorporated on September11, 2017 as an exempted company under the laws of the Cayman Islands. As a holding company with no material operations of its own, Xinxu conducts substantially all of its operations through its operating subsidiaries established in China, primarily Anhui Xinxu. We, through Anhui Xinxu, are primarily engaged in the R&D, fabricating and processing, and sales and distribution of copper and copper alloy products. Our products include, but are not limited to, T2 red copper bars, T2 tin -platedcopper bars, T2 copper rods, electrolytic copper and aluminum bar. In January 2024, we adjusted our sales structure by significantly reducing the volume of copper material resales, primarily electrolytic copper. This decrease was primarily the result of a strategic adjustment in our sales focus away from lower -marginproducts, such as electrolytic copper and traditional copper bars, toward higher -marginproducts, specifically soft and hard connection copper bars, which are widely used in electric vehicle battery packs. Notwithstanding the foregoing, after such strategic adjustment, electrolytic copper is still our main product, accounting for approximately 79.90%, 93.98% and 85.90%, respectively, of our total revenues for the six months ended December31, 2024 and the fiscal years ended June30, 2024 and 2023. See “ Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “ Our Products.” This realignment reflects our ongoing efforts to optimize our product mix, improve overall profitability, and focus on higher -marginproducts. We engage in metal casting, extruding, and drawing to fabricate finished and semi -finishedcopper products from copper cathode and scrap copper wires. Our products are used