Company: XXC
Filing Date: 2025-06-10
Form Type: F-1/A
Source: 0001213900-25-052817
Chunk: 148

Company: XINXU COPPER INDUSTRY TECHNOLOGY Ltd
Filing Date: 2025-06-10
Form: F-1/A
Chunk 148
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 our customers switch some or all of their business with us to other suppliers”. Our Suppliers We manufacture our products primarily using copper cathode and scrap copper wires (both internally generated and externally sourced) as raw materials. As of the date of this prospectus, we had a total number of 133 suppliers. For the fiscal year ended June30, 2024, our top three suppliers accounted for approximately an aggregate of 41.45% of our total purchases. For the fiscal year ended June30, 2023, our top 3 suppliers accounted for approximately an aggregate of 55.30% of our total purchases. We have written long -termagreements with a small number of our suppliers (including some of our top suppliers), with the key terms as below: •the product’s name, quantity (usually on a monthly basis), price calculation and delivery terms; •quality standard, inspection, packaging and payment terms; and •breach terms and liquidated damages in some agreements. 85 For most of suppliers with whom we do not have long -termagreements, including some of our top suppliers, each purchase with such suppliers is typically governed by a brief purchase order. The key terms of such purchase order are as below: •the product’s name, type, quantity, price and delivery date; •quality and technology standard and payment terms; •delivery, inspection and packaging requirements; •product return or replacement in case of incompliance with contract terms; •breach of contract terms, including 20% of contract amount as liquidated damages for such purchase orders; and •dispute solutions, including bringing a lawsuit at the local People’s court if negotiations are unsuccessful. We have established healthy and stable relationships with our major suppliers (even those with whom we do not have long -termagreements) after years of cooperation, which form a solid source of supply for our operation. We will continue to work with our existing suppliers, and identify and secure new suppliers, to expand our supplier base. Sales and Marketing We market and sell our products through our direct sales force. Our direct sales force provides us with direct access to our customers and is capable of addressing our customers’ needs in a fast and efficient way. As of the date of this prospectus, we have a direct sales team of fifteen people, all of whom were our full time employees. The compensation package for our sales team includes fixed base salaries and commissions ranging from 0.15% to 0.3% of the revenues or collection made by them. We