Company: QSJC
Filing Date: 2025-03-26
Form Type: 10-K
Source: 0001683168-25-001892
Chunk: 9

Company: TANCHENG GROUP CO., LTD.
Filing Date: 2025-03-26
Form: 10-K
Item: Item 1
Chunk 9
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 by Chinese companies. Given the current PRC regulatory environment, it is
uncertain when and whether we or our PRC subsidiaries, will be required to obtain permission from the PRC government to list on U.S. exchanges
in the future, and even when such permission is obtained, whether it will be denied or rescinded. We have been closely monitoring regulatory
developments in China regarding any necessary approvals from the CSRC or other PRC governmental authorities required for overseas listings,
including the Contribution transaction. As of today, we have not received any inquiry, notice, warning, sanctions or regulatory objection
to the Contribution transaction from the CSRC or other PRC governmental authorities. However, there remains significant uncertainty as
to the enactment, interpretation and implementation of regulatory requirements related to overseas securities offerings and other capital
markets activities. If it is determined in the future that the approval of the CSRC or any other regulatory authority is required for
the Contribution transaction, we may face sanctions by the CSRC or other PRC regulatory agencies. These regulatory agencies may impose
fines and penalties on the Company’s operations in China, limit the Company’s ability to pay dividends outside of China, limit
the Company’s operations in China, or take other actions that could have a material adverse effect on the Company’s business,
financial condition, results of operations and prospects, as well as the trading price of the Company’s securities. In addition,
if the CSRC or other regulatory PRC agencies later promulgate new rules requiring that we obtain their approvals for the Contribution
transaction, we may be unable to obtain a waiver of such approval requirements, if and when procedures are established to obtain such
a waiver. Any uncertainties and/or negative publicity regarding such an approval requirement could have a material adverse effect on the
trading price of the common stock.

 8 

Changes in China’s economic, political
or social conditions or government policies could have a material adverse effect on the Company’s business and operations.

Substantially all of the Company’s assets
and operations are located in the PRC. Accordingly, the Company’s business, financial condition, results of operations and prospects
may be influenced to a significant degree by political, economic and social conditions in the PRC generally. The Chinese economy differs
from the economies of most developed countries in many respects, including the level of government involvement, development, growth rate,
control of foreign exchange and allocation of resources. Although the Chinese government has implemented measures emphasizing the utilization
of market forces for economic reform