Company: CAAS
Filing Date: 2025-08-04
Form Type: 424B3
Source: 0001104659-25-073486
Chunk: 59

Company: China Automotive Systems, Inc.
Filing Date: 2025-08-04
Form: 424B3
Chunk 59
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to additional liabilities. To the extent any new or more stringent measures are required to be implemented, our business, financial condition
and results of operations could be adversely affected as well as materially decrease the value of our securities.

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The approval of, or filing or other procedures with, the CSRC or other Chinese regulatory authorities may be required in connection with issuing our equity securities to foreign investors under Chinese law, and, if required, we cannot predict whether we will be able, or how long it will take us, to obtain such approval or complete such filing or other procedures. We are also required to obtain business licenses from Chinese authorities in connection with our general business activities currently conducted in China.

On February 17, 2023, the CSRC promulgated
the Trial Administrative Measures of Overseas Securities Offering and Listing by Domestic Companies, or the Trial Measures, which came
into effect on March 31, 2023. On the same day, the CSRC also published a series of guidelines and Q&As in connection with the
implementation of the Trial Measures. The Trial Measures established (i) a list outlining the circumstances where a PRC domestic
company is prohibited from offering and listing securities overseas, the “Trial Measures Negative List”, and (ii) a
new filing-based regime to regulate overseas offerings and listings by PRC domestic companies. According to the Trial Measures, in connection
with an overseas offering of securities, including shares, depository receipts, corporate bonds convertible into shares and other equity
securities, and listing by a PRC domestic company, either in a direct or indirect manner, the issuer must file certain documents with
the CSRC, the “Trial Measures Filing Obligations”. An indirect offering and listing is determined by a set of quantifiable
standards. For example, any overseas offering and listing by an issuer that meets both of the following standards will be deemed to be
indirect: (i) 50% or more of the issuer’s operating revenue, total profit, total assets or net assets as documented in its
audited consolidated financial statements for the most recent accounting year is accounted for by PRC domestic companies, and (ii) the
main parts of the issuer’s business activities are conducted in mainland China, or its main places of business are located in mainland
China, or the senior managers in charge of its business operation and management are mostly Chinese citizens or domiciled in mainland
China.

The Trial Measures provide the CSRC