Company: ILAG
Filing Date: 2025-04-28
Form Type: 20-F
Source: 0001641172-25-006445
Chunk: 158

Company: Intelligent Living Application Group Inc.
Filing Date: 2025-04-28
Form: 20-F
Item: Item 4
Chunk 158
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enters, painters, and other contractors. This allows easy access to several homes without requiring different keys, and prevents duplication and later entry into the homes once a homeowner moves in. Once construction is complete, the owner’s keys will block further access by the contractors. The following diagram shows how it works.
 
 
Smart Lock 
 
We launched our Smart Lock in March 2025 and the first batch of new smart locks has been shipped to the United States and will be available in its online store at Amazon.com soon. The innovative features and benefits of the new smart lock include:

●                                        Advanced                                     
    Security: Encryption and multiple authentication methods ensure robust protection.
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●   Convenience:                                                                      
    Remote access and seamless integration with smartphones.                          
●   Aesthetic                                                                         
    Appeal: Sleek design that complements various home décors.                        
Our Suppliers
 
In past years, our primary raw materials are brass, iron and zinc alloy. We started to use stainless steel to partially substitute brass from the second half of 2021. And we managed to replace substantial usage of brass with stainless steel since 2023. Raw materials by weight of our locksets basing on bill of materials and actual weighting, approximately 58% are iron, 30% are zinc alloy, 1% are brass and 11% are stainless steel for the year ended December 31, 2024 while approximately 50% are iron, 38% are zinc alloy, 1% are brass and 11% are stainless steel for for 2023. We don’t have long term purchase contracts with our suppliers but only purchase via orders. For procurement purpose, management will get master quote from at least two suppliers for every three (3) months. Management will bargain purchase price by taking into account price trends of brass, iron, zinc alloy, and stainless-steel commodity and quantity volume discount. Xingfa has purchased approximately 5 tonnes brass, 525 tonnes iron, 276 tonnes zinc alloy and 100 tonnes stainless steel for the year ended December 31, 2024, while approximately 11 tonnes brass, 490 tonnes iron, 373 tonnes zinc alloy and 103 tonnes stainless steel for the year ended December 31, 2023.
 
Xingfa purchased iron from three Chinese suppliers in Guangdong province in year 2024.
 
Xingfa purchased zinc alloy from two suppliers. One supplier ships zinc alloy from Shanghai and Dongguan while one Hong Kong supplier ships them from Shenzhen in 2024