Company: ILAG
Filing Date: 2025-04-28
Form Type: 20-F
Source: 0001641172-25-006445
Chunk: 191

Company: Intelligent Living Application Group Inc.
Filing Date: 2025-04-28
Form: 20-F
Item: Item 5
Chunk 191
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 have a term of three years after February 25, 2025. In addition, the                                                                                         
    Company and its officers and directors, agreed to a 90-day “lock-up” period from the closing date of the Offering,                                                                                                          
    subject to certain exceptions. The offering closed on February 27, 2025 and the gross proceeds from the offering, before deducting                                                                                          
    the placement agent’s fees and other offering expenses, is $600,000                                                                                                                                                         
 
Until 2018, we have maintained a profitable business with steady growth in our revenues and earnings. In 2018, we experienced the sudden impact caused by the tariff war between the US and China that resulted in a decrease in or suspension of orders in late 2018 and first half of 2019. Our sales orders from our customers in the US stabilized and recovered since the middle of 2019 as the market digested information about the tariff war. However, our factory was temporarily closed in early 2020 and the supply chain and logistics for raw materials and delivery of finished products were disrupted because of COVID-19. In 2022, there were outbreaks of the Omicron variant of the COVID-19 in Hong Kong and many other cities in China, including Shenzhen, Shanghai, Guangzhou, Taiyuan, Changchun as well as Dongguan city where Xingfa is located, and travel restrictions, mandatory COVID-19 tests, quarantine requirements and/or temporary closure of office buildings and facilities were imposed by local governments. China eased the strict lockdown procedures in early December 2022, which led to surge in COVID infections in December 2022 and January 2023 and caused disruption our business operations as our migrant workers from other provinces in the manufacturing factory had to leave and go home early for the new year holidays and did not come back until March 2023. Our recovery after COVID-19 pandemic was negatively impacted by high interest rate which has caused a slowdown in real estate market in US, from which we generate most of our revenues. Our revenues were approximately $7.5 million and $6.4 million for the years ended December 31, 2024 and 2023, respectively. On February 1, 2025, President Trump issued executive orders imposing a 25% tariff on products imported from Canada and Mexico and a 10% tariff on products imported from China, effective February 4, 2025. An additional 10% increase in the China tariffs became effective March