**UNITED
      STATES**


**SECURITIES
      AND EXCHANGE COMMISSION**


**WASHINGTON,
      D.C. 20549**





**FORM
      10-QSB**





(Mark
      One)





x
            QUARTERLY
                REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE
                ACT OF
                1934.





FOR
      THE
      QUARTERLY PERIOD ENDED MARCH 31, 2007




o
            TRANSITION
                REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
                ACT OF
                1934.





For
      the
      transition period from ____________ to ____________





Commission
      File Number 0-31193





EASTERN
      ENVIRONMENT SOLUTIONS, CORP.


(Exact
      name of small business issuer as specified in its charter)




NEVADA
            16-1583162(State
                or other jurisdiction of
            (I.R.S.
                Employerincorporation
                or organization)
            Identification
                No.)





HARBIN
      DONGDAZHI STREET 165,


HARBIN
      150001


PEOPLE’S
      REPUBLIC OF CHINA


(Address
      of principal executive offices)





(011)-86-451-53948666


(Issuer's
      telephone number)







Check
      whether the issuer (1) filed all reports required to be filed by Section 13
      or
      15(d) of the Exchange Act during the past 12 months (or for such shorter period
      that the registrant was required to file such reports), and (2) has been subject
      to such filing requirements for the past 90 days. Yes x No
      o





Indicate
      by check mark whether the registrant is a shell company (as defined in Rule
      12b-2 of the Exchange Act).


Yes
o No
      x





State
      the
      number of shares outstanding of each of the issuer's classes of common equity,
      as of the latest practicable date: 10,020,186 shares of Common Stock,
      $.0001 par value, were outstanding as of May 15, 2007





Transitional
      Small Business Disclosure Format (check one); Yes o No
      x







**PART
        I - FINANCIAL INFORMATION**
  **Item
        1.**  **Financial
        Statements**




**EASTERN
      ENVIRONMENT SOLUTIONS, CORP.**


**INDEX
      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**


**MARCH
      31, 2007 & 2006**


**(UNAUDITED)**





**TABLE
      OF CONTENTS**


**Page(s)**Condensed
                  Consolidated Balance Sheet as of March 31, 2007
                  (Unaudited)
              
              F-1Condensed
                  Consolidated Statements of Income for the Three Months Ended March
                  31,
                  2007 and 2006 (Unaudited)
              
              F-2Condensed
                  Consolidated Statements of Cash Flows for the Three Months Ended
                  March 31,
                  2007 and 2006 (Unaudited)
              
              F-3Notes
                  to Condensed Consolidated Financial Statements (Unaudited)
              
              F-4
                  - F-9








**EASTERN
        ENVIRONMENT SOLUTIONS CORPORATION**
 **CONDENSED
        CONSOLIDATED BALANCE SHEET (UNAUDITED)**
 **MARCH
        31, 2007**


**ASSETS**Current
                assets:Cash
                and cash equivalents
            
            $
            1,137,162Accounts
                receivable
            
            
            394,253Inventory
            
            
            32,751Other
                receivables
            
            
            156,920Loan
                to related party
            
            
            693,218Total
                Current Assets
            
            
            2,414,304Property
                and equipment, net of accumulated depreciation
            
            
            5,263,484Other
                assets:Advances
                to suppliers
            
            
            3,191,450Net
                assets of discontinued operations
            
            
            82,563Total
                other assets
            
            
            3,274,013Total
                Assets
            
            $
            10,951,801**LIABILITIES
                AND STOCKHOLDERS' EQUITY**Current
                liabilities:Loan
                payable - current portion
            
            $
            966,592Accounts
                payable
            
            
            39,627Taxes
                payable
            
            
            73,723Accrued
                expenses and other payables
            
            
            42,149Total
                Current Liabilities
            
            
            1,122,091Long-term
                liabilities:Loan
                payable - net of current portion
            
            
            1,691,536Net
                liabilities of discountinued operations
            
            
            283,669Total
                Liabilities
            
            
            3,097,296Commitments
                and ContingenciesStockholders'
                EquityCommon
                stock, $0.0001 par value, 100,000,000 shares authorized;10,020,186
                shares issued and outstanding at March 31, 2007
            
            
            1,002Additional
                paid-in-capital
            
            
            3,021,195Accumulated
                other comprehensive income
            
            
            579,346Statutory
                reserves
            
            
            186,156Retained
                earnings
            
            
            4,066,806Total
                Stockholders' Equity
            
            
            7,854,505Total
                Liabilities and Stockholders' Equity
            
            $
            10,951,801


The
        accompanying notes are an integral part of these condensed consolidated
        financial statements
  F-1


**EASTERN
        ENVIRONMENT SOLUTIONS CORPORATION**
 **CONDENSED
        CONSOLIDATED STATEMENTS OF INCOME**
 **(UNAUDITED)**


**Three
                Months Ended****March
                31,**
            
            **March
                31,****2007**
            
            **2006**Revenues
            
            $
            587,980
            
            $
            669,738Cost
                of Goods Sold
            
            
            87,374
            
            
            109,726Gross
                Profit
            
            
            500,606
            
            
            560,012Operating
                ExpensesSelling,
                general and administrative
            
            
            73,896
            
            
            79,797Income
                before other Income and (Expenses)
            
            
            426,710
            
            
            480,215Other
                Income and (Expenses)
            
            
            35,443
            
            
            (13,592
            )Income
                Before Income Taxes
            
            
            462,153
            
            
            466,623Provision
                for Income Taxes
            
            
            -
            
            
            94,501Net
                Income from operations
            
            $
            462,153
            
            $
            372,122Net
                loss from discontinued operations, net of tax effects of
                $0
            
            
            (3,673
            )
            
            -Net
                income
            
            $
            458,480
            
            $
            372,122Basic
                and diluted income (loss) per shareContinuing
                operations
            
            $
            0.05
            
            $
            0.01Discontinued
                operations
            
            $
            (0.00
            )
            $
            -Weighted
                average number of common shares outstanding
            
            
            9,955,186
            
            
            46,632,222




The
        accompanying notes are an integral part of these condensed consolidated
        financial statements
  F-2


**EASTERN
        ENVIRONMENT SOLUTIONS CORPORATION**
 **CONDENSED
        CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)**
 **FOR
        THE THREE MONTHS ENDED MARCH 31,**


**2007**
            
            **2006**Cash
                Flows From Operating Activities:Net
                income
            
            $
            458,480
            
            $
            372,122Adjustments
                to reconcile net income to net cashprovided
                by operating activities:Depreciation
                and amortization
            
            
            64,975
            
            
            70,548Common
                stock issued for consulting services
            
            
            19,500
            
            
            -Changes
                in operating assets and liabilities:Accounts
                receivable
            
            
            48,395
            
            
            155,467Inventory
            
            
            (20,903
            )
            
            10,297Other
                receivable
            
            
            (151,529
            )
            
            588,939Advances
                to suppliers
            
            
            21,366
            
            
            (129,445
            )Accounts
                payable
            
            
            (45,148
            )
            
            60,747Taxes
                payable
            
            
            (43,515
            )
            
            91,030Accrued
                expenses and other payables
            
            
            8,520
            
            
            9,538Cash
                provided by continuing activities
            
            
            360,141
            
            
            1,229,243Cash
                provided by discontinued activities
            
            
            8,425
            
            
            -Net
                cash provided by operating activities
            
            
            368,566
            
            
            1,229,243Cash
                Flows From Investing Activities:Purchase
                of property and equipment
            
            
            (2,430
            )
            
            (3,179
            )(Additions)
                reduction to construction in process
            
            
            (270,351
            )
            
            (258,506
            )Loan
                to affiliated parties
            
            
            -
            
            
            (530,165
            )Net
                cash (used in) investing activities
            
            
            (272,781
            )
            
            (791,850
            )Cash
                Flows From Financing ActivitiesReduction
                in long term debt
            
            
            (241,648
            )
            
            (241,648
            )Repayment
                on related party loan
            
            
            -
            
            
            (324,032
            )Cash
                (used in) financing activities
            
            
            (241,648
            )
            
            (565,680
            )Cash
                (used in) discontinuing activities
            
            
            (4,752
            )
            
            -Net
                cash (used in) financing activities
            
            
            (246,400
            )
            
            (565,680
            )Effect
                of exchange rate changes on cash and cash equivalents
            
            
            57,713
            
            
            41,371Decrease
                in cash and cash equivalents
            
            
            (92,902
            )
            
            (86,916
            )Cash
                and Cash Equivalents - Beginning of period
            
            
            1,230,064
            
            
            821,141Cash
                and Cash Equivalents - End of period
            
            $
            1,137,162
            
            $
            734,225SUPPLEMENTAL
                CASH FLOW INFORMATION:During
                the period, cash was paid for the following:Interest
                expense
            
            $
            65,687
            
            $
            14,343Income
                taxes
            
            $
            -
            
            $
            -Non-Cash
                Investing and Financing Activities:Common
                stock issued for consulting services
            
            $
            19,500
            
            $
            -





The
      accompanying notes are an integral part of these condensed consolidated
      financial statements




F-3





EASTERN
      ENVIRONMENT SOLUTIONS, CORP


CONDENSED
      CONSOLIDATED NOTES TO FINANCIAL STATEMENTS (UNAUDITED)


FOR
      THE
      THREE MONTHS ENDED MARCH 31, 2007 AND 2006




**NOTE
      1. BASIS OF PRESENTATION AND ORGANIZATION**





Eastern
      Environment Solutions, Corp. (“the Company” or “EESC”) was incorporated under
      the laws of the State of Nevada and formerly known as USIP.COM, Inc.
      (“USIP”).





The
      Company operates its business primarily through its wholly-owned subsidiary
      Harbin Yifeng Eco-Environment Co., Ltd. (“ Harbin Yifeng”), a corporation
      organized and existing under the laws of the People’s Republic of China (“PRC”).
      Harbin Yifeng is an environmental engineering company in the PRC that
      specializes in providing non-hazardous municipal solid waste processing and
      disposal services in the northeast regions of China.





The
      Company’s condensed consolidated financial statements have been prepared in
      accordance with generally accepted accounting principles in the United States
      of
      America (“US GAAP”). In the opinion of management, the accompanying balance
      sheets and related interim statements of income and cash flows include all
      adjustments, consisting only of normal recurring items, necessary for their
      fair
      presentation in conformity with accounting principles generally accepted in
      the
      United States of America (“U.S. GAAP”).





Interim
      results are not necessarily indicative of results for a full year. The
      information included in this Form 10-QSB should be read in conjunction with
      Management’s Discussion and Analysis and the financial statements and notes
      thereto included in the Company’s 2006 Form 10-KSB.




**NOTE
      2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES**




**MANAGEMENT
      ESTIMATES**




The
      preparation of financial statements in conformity with generally accepted
      accounting principals requires management to make estimates and assumptions
      that
      effect the reported amounts of assets and liabilities and the disclosure of
      contingent assets and liabilities at the date of the financial statements and
      the reported amounts of revenues and expenses during the reporting period.
      Actual results could differ from those estimates.




F-4


EASTERN
        ENVIRONMENT SOLUTIONS, CORP
 CONDENSED
        CONSOLIDATED NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
 FOR
        THE
        THREE MONTHS ENDED MARCH 31, 2007 AND 2006




**NOTE
      2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)**




**PRINCIPLES
      OF CONSOLIDATION**




The
      accompanying condensed consolidated Financial Statements include the accounts
      of
      the Company and its wholly owned subsidiaries, Harbin Yifeng and Harbin Yifeng’s
      wholly owned subsidiary, Harbin Yifeng Zhiye Management Co., Ltd. (“Yifeng
      Zhiye”), as well as discontinued operations of Datone, Inc. and NB Telecom, Inc.
      All significant inter-company transactions and balances have been eliminated
      in
      consolidation.




**CONCENTRATIONS
      OF CREDIT RISK**





The
      primary operations of the Company are now located in the PRC. Accordingly,
      the
      Company’s business, financial condition, and results of operations may be
      influenced by the political, economic, and legal environments in the PRC, in
      addition to the general state of the PRC economy. The Company's operations
      in
      the PRC are subject to special considerations and significant risks not
      typically associated with companies in North America and Western Europe. These
      include risks associated with, among others, the political, economic and legal
      environments legal environments and foreign currency exchange.





The
      Company’s results may be adversely affected by changes in the political and
      social conditions in the PRC, and by changes in governmental policies with
      respect to laws and regulations, anti-inflationary measures, currency conversion
      and remittance abroad, and rates and methods of taxation, among other
      things.




**FOREIGN
      CURRENCY TRANSLATION**





The
      functional currency for the Company’s operations in China is the Renminbi
      (“RMB”). Foreign currency transactions are translated at the applicable rates of
      exchange in effect at the transaction dates. Monetary assets and liabilities
      denominated in foreign currencies at the balance sheet date are translated
      at
      the applicable rates of exchange in effect at that date. Revenues and expenses
      are translated at the average exchange rates in effect during the reporting
      period.





Translation
      adjustments arising from the use of different exchange rates from period to
      period are included as a component of stockholders' equity as "Accumulated
      Other
      Comprehensive Income". Gains and losses resulting from foreign currency
      translations are included in Accumulated Other Comprehensive
      Income.





F-5


EASTERN
      ENVIRONMENT SOLUTIONS, CORP


CONDENSED
      CONSOLIDATED NOTES TO FINANCIAL STATEMENTS (UNAUDITED)


FOR
      THE
      THREE MONTHS ENDED MARCH 31, 2007 AND 2006


**NOTE
      2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)**




**NEW
      ACCOUNTING PRONOUNCEMENTS**





In
      February 2006, the Financial Accounting Standards Board ( “ FASB ” )
      issued
      SFAS No. 155, Accounting for Certain Hybrid Financial Instruments, which amends
      SFAS No. 133, Accounting for Derivative Instruments and Hedging Activities
      ( “ SFAS
      No.
      155), and SFAS No. 140, Accounting for Transfers and Servicing of Financial
      Assets and Extinguishments of Liabilities. SFAS No. 155 simplifies the
      accounting for certain derivatives embedded in other financial instruments
      by
      allowing them to be accounted for as a whole if the holder elects to account
      for
      the whole instrument on a fair value basis. SFAS No. 155 also clarifies and
      amends certain other provisions of SFAS No. 133 and SFAS No. 144. The Company
      does not expect the adoption of SFAS No. 155 to have a material impact on its
      financial position, results of operations or cash flows as the Company currently
      has no financial instruments within the scope of SFAS No. 155.





In
      March 2006, the FASB issued SFAS No. 156, “Accounting for Servicing of
      Financial Assets, an amendment of FASB Statement No. 140.” SFAS
      No. 156 requires an entity to recognize a servicing asset or liability each
      time it undertakes an obligation to service a financial asset by entering into
      a
      servicing contract under a transfer of the servicer’s financial assets that
      meets the requirements for sale accounting, a transfer of the servicer’s
      financial assets to a qualified special-purpose entity in a guaranteed mortgage
      securitization in which the transferor retains all of the resulting securities
      and classifies them as either available-for-sale or trading securities in
      accordance with SFAS No. 115, “Accounting for Certain Investments in Debt
      and Equity Securities” and an acquisition or assumption of an obligation to
      service a financial asset that does not relate to financial assets of the
      servicer or its consolidated affiliates. Additionally, SFAS No. 156
      requires all separately recognized servicing assets and servicing liabilities
      to
      be initially measured at fair value, permits an entity to choose either the
      use
      of an amortization or fair value method for subsequent measurements, permits
      at
      initial adoption a one-time reclassification of available-for-sale securities
      to
      trading securities by entities with recognized servicing rights and requires
      separate presentation of servicing assets and liabilities subsequently measured
      at fair value and additional disclosures for all separately recognized servicing
      assets and liabilities. SFAS No. 156 is effective for transactions entered
      into after the beginning of the first fiscal year that begins after
      September 15, 2006. This standard did not have a material impact on the
      Company’s consolidated financial position, results of operations, or cash
      flows.




F-6


EASTERN
      ENVIRONMENT SOLUTIONS, CORP


CONDENSED
      CONSOLIDATED NOTES TO FINANCIAL STATEMENTS (UNAUDITED)


FOR
      THE
      THREE MONTHS ENDED MARCH 31, 2007 AND 2006


**NOTE
      2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)**





In
      September 2006, the FASB issued Statement of Financial Accounting Standards
      No.
      157, Fair Value Measurements, (“FAS 157”). This Standard defines fair value,
      establishes a framework for measuring fair value in generally accepted
      accounting principles and expands disclosures about fair value measurements.
      FAS
      157 is effective for financial statements issued for fiscal years beginning
      after November 15, 2007 and interim periods within those fiscal years. The
      adoption of FAS 157 is not expected to have a material impact on the Company’s
      financial position, results of operations or cash flows.





In
      September 2006, the Securities and Exchange Commission (“SEC”) issued Staff
      Accounting Bulletin (“SAB”) No. 108, “Quantifying Misstatements.” SAB 108
      provides interpretative guidance on how public companies quantify financial
      statement misstatements. There have been two common approaches used to quantify
      such errors. Under an income statement approach, the “roll-over” method, the
      error is quantified as the amount by which the current year income statement
      is
      misstated. Alternatively, under a balance sheet approach, the “iron curtain”
method, the error is quantified as the cumulative amount by which the current
      year balance sheet is misstated. In SAB 108, the SEC established an approach
      that requires quantification of financial statement misstatements based on
      the
      effects of the misstatements on each of the company’s financial statements and
      the related financial statement disclosures. This model is commonly referred
      to
      as a “dual approach” because it requires quantification of errors under both the
      roll-over and iron curtain methods. SAB 108 is effective for the first fiscal
      year ending after November 15, 2006. The adoption of SAB 108 did not have a
      material impact on the Company’s consolidated financial position and results of
      operations.




**NOTE
      3. PROPERTY AND EQUIPMENT, NET**





Property
      and equipment at March 31, 2007 consist of the following:


Machinery
                  & Equipment
              
              $
              783,968Vehicles
              
              
              219,331Landfills
              
              
              1,847,800Subtotal
              
              
              2,851,099Less:
                  Accumulated Depreciation
              
              
              (524,559
              )Construction
                  in progress
              
              
              2,936,944Total
                  Property and equipment, net
              
              $
              5,263,484





F-7


EASTERN
      ENVIRONMENT SOLUTIONS, CORP


CONDENSED
      CONSOLIDATED NOTES TO FINANCIAL STATEMENTS (UNAUDITED)


FOR
      THE
      THREE MONTHS ENDED MARCH 31, 2007 AND 2006


**NOTE
      3. PROPERTY AND EQUIPMENT, NET (Continued)**





Depreciation
      expense for the three months ended March 31, 2007 and 2006 was $ 64,975 and
      $70,548, respectively.





Construction
      in progress represents direct costs of construction or acquisition and design
      fees incurred for the Company’s new operating site and equipments.
      Capitalization of these costs ceases and the construction in progress is
      transferred to plant and equipment when substantially all the activities
      necessary to prepare the assets for their intended use are completed. No
      depreciation is provided until it is completed and ready for its intended
      use.





**NOTE
      4. RELATED PARTY TRANSACTIONS**





The
      Company has loans receivable in the amount of $693,218 from two affiliates,
      Harbin Tianli Real Estate Co., Ltd. and Harbin Dongbao Property Management
      Co.,
      Ltd., which are both owned by one of the Company’s major shareholders. The loan
      to Harbin Tianli Real Estate Co., Ltd. in the amount of $647,400 bears interest
      rate of 5.22%. The Company received $33,637 in interest payments for this
      loan for the period and the principle amount was repaid in April 2007. The
      loan
      to Harbin Dongbo Property Management Co., Ltd. in the amount of $45,818 is
      unsecured and interest free. The entire amount of this outstanding loan was
      also
      repaid in April 2007.





**NOTE
      5. BANK LOAN PAYABLE**





On
      November 18, 2004, the Company received a long-term loan from Industrial and
      Commercial Bank of China, Harbin Branch in the amount of $4,832,960, secured
      by
      the Company’s building. The loan is for a 5-year term, maturing November 15,
      2009. Pursuant to the loan agreement, the interest rate for the first year
      was
      set at 7.605%. Starting from the second year and thereafter, the rates become
      adjustable based on the change of the official rates at the time. In addition
      to
      paying the quarterly interest, the Company is also required to make $241,648
      pre-determined principal repayments every quarter.





Maturities
      of the long-term debt as of March 31 are as follows:


Year2008
              
              $
              966,5922009
              
              
              966,5922010
              
              
              724,944Total
              
              $
              2,658,128




F-8


EASTERN
      ENVIRONMENT SOLUTIONS, CORP


CONDENSED
      CONSOLIDATED NOTES TO FINANCIAL STATEMENTS (UNAUDITED)


FOR
      THE
      THREE MONTHS ENDED MARCH 31, 2007 AND 2006


**NOTE
      6. STOCKHOLDERS' EQUITY**





On
      January 10, 2007, the Company issued 650,000 shares of its common stock for
      consulting services provided to the Company for $19,500 representing the fair
      value of the shares at the date of grant.





The
      Company has 10,020,186 shares of common stock issued and outstanding as of
      March
      31, 2007.




**NOTE
      7. COMMITMENTS AND CONTINGENCIES**





The
      waste
      management field is strictly regulated and closely monitored by the local
      government. In addition, the Chinese market in which the Company operates poses
      certain macro-economic and regulatory risks and uncertainties. These
      uncertainties extend to the ability of the Company to operate its business
      and
      to maintain environmentally safe and sound in China where the waste management
      under the BOT method (Build, Operate, Transfer) is still relatively new. Though
      the People’s Republic of China has, since 1978, implemented a wide range of
      market-oriented economic reforms, continued reforms and progress towards a
      full
      market-oriented economy are uncertain. Some restrictions are currently in place
      or are unclear in the waste management field. The Company’s legal structure and
      scope of operations could be subjected to restrictions that could result in
      severe limits to the Company’s ability to conduct business in
      China.





F-9




**Item
      2.****Management’s
      Discussion and Analysis**




**Forward
      looking statements**





The
      following is a discussion and analysis of the results of operations
      of Eastern Environment Solutions, Corp. (the "Company") and should be
      read in conjunction with our financial statements and related notes contained
      in
      this Form 10-QSB. This Form 10-QSB contains forward looking statements that
      involve risks and uncertainties. You can identify these statements by the use
      of
      forward-looking words such as "may", "will", "expect", "anticipate", "estimate",
      "believe", "continue", or other similar words. You should read statements that
      contain these words carefully because they discuss our future expectations,
      contain projections of our future results of operation or financial condition
      or
      state other "forward-looking" information. We believe that it is important
      to
      communicate our future expectations to our investors. However, there may be
      events in the future that we are unable to accurately predict or control. Those
      events as well as any cautionary language in this Form 10-QSB provide
      examples of risks, uncertainties and events that may cause our actual results
      to
      differ materially from the expectations we describe in our forward-looking
      statements. You should be aware that the occurrence of the events described
      in
      this Form 10-QSB could have a material adverse effect on our business, operating
      results and financial condition. Actual results may differ materially from
      current expectations.





**Overview**





We
      are
      incorporated under the laws of the state of Nevada and, along with our
      wholly-owned subsidiaries, are headquartered in Harbin, People’s Republic of
      China (“PRC”). We provide municipal solid waste (“MSW”) non-hazardous disposal
      service for Harbin city. MSW includes residential, commercial, institutional
      and
      municipal waste. Our business is conducted through our wholly-owned subsidiary,
      Harbin Yifeng Eco-environment Co. Ltd (“Yifeng”) and Yifeng’s subsidiary, Harbin
      Zhiye Management Co. Ltd. (“Zhiye”). Both of Yifeng and Zhiye are organized
      under the laws of the PRC.





Yifeng
      was incorporated in the PRC in 2003, which is the first privately-owned
      environmental engineering firm providing non-hazardous MSW processing and
      disposal services and environmental engineering consulting services (provided
      through its wholly-owned subsidiary, Zhiye) in the northeast regions of the
      PRC.
      We currently have only one landfill site for non-hazardous MSW processing and
      disposal services are conducted under a Build-Operate-Transfer (“BOT”) Contract
      with the Harbin Municipal Urban Administrative Bureau (“HMUAB”) for a 17-year
      term. HMUAB is presently its only customer for MSW disposal. It transports
      the
      MSW it collects from Harbin for processing. Yifeng’ current production capacity
      is 1,200 tons of MSW per day, approximately 34% of the total MSW in
      Harbin .
      The
      municipal government levies fees for the disposal of waste by residential,
      commercial and industrial producers as part of their general taxes. However,
      in
      recent years, there has been a move in several cities to introduce direct waste
      fees levied against the producer of such waste. Yifeng believes that MSW
      disposal fees in the PRC will increase, as the national government has been
      trying to improve waste management to keep pace with the economic growth and
      rapid urbanization of the PRC.




2




On
      January 31, 2000 Datone Communications, Inc., ("Datone"), a New York corporation
      and an independent payphone provider merged into our Company. All of the Datone
      shares were retired and Datone shareholders received, 268,388 restricted shares
      of common stock of the Company. On April 29, 2000 we purchased all the shares
      of
      NB Payphones, Ltd., ("NB"), the owner of 466 payphones in Pennsylvania and
      Cointel Leasing, Inc. ("Cointel"), the owner of 45 payphones in Syracuse, New
      York, from Riviera Bay Holding Trust, a Gibraltar Trust, for 8,750,000
      restricted shares of our common stock. NB is a wholly owned
      subsidiary.





On
      August
      30, 2000 we incorporated Datone, Inc. as a Delaware company. Datone, Inc. is
      a
      wholly owned subsidiary. All the revenue generating assets and related expenses
      that we received from the Datone Communications Merger were subsequently moved,
      via an intercompany transfer, from us into Datone, Inc. Datone, Inc., was
      capitalized with $1,017. All of the Datone, Inc., shares were conveyed to us.
      On
      October 1, 2000 we merged Cointel into Datone, Inc. by way of an intercompany
      transaction.





Both
      Datone Inc. and NB will be spun off from the Company pursuant to a Stock
      Purchase Agreement dated August 24, 2006. The Company will thereafter be solely
      in the business of providing non-hazardous MSW processing and disposal services
      and environmental engineering consulting services.




3





**Results
      of Operations**





The
      following table sets forth our statements of operations for the three months
      ended March 31, 2007 and 2006:


The
                    Three Months Ended March 31,2007($)
                
                2006($)Revenue
                
                
                587,980
                
                
                669,738Costs
                    of goods sold
                
                
                87,374
                
                
                109,726Gross
                    profit
                
                
                500,606
                
                
                560,012Selling,
                    general and administrative costs
                
                
                73,896
                
                
                79,797Income
                    before other Income and (Expenses)
                
                
                426,710
                
                
                480,215Other
                    Income and (Expenses)
                
                
                35,443
                
                
                -13,592Income
                    before income taxes
                
                
                462,153
                
                
                466,623Provision
                    for income taxes
                
                
                0
                
                
                94,501Net
                    income
                
                
                462,153
                
                
                372,122Net
                    loss from discontinued operations, net of tax effects of
                    $0
                
                
                (3,673
                )
                
                0Net
                    income
                
                $
                458,480
                
                $
                372,122


Revenue




Revenue
      for the three months ended March 31, 2007 was $587,980, a decrease of $81,758
      or
      12%, from revenue of $669,738 for the comparable period in 2006. The decrease
      in
      revenue was primarily attributable to Yifeng not having fully realized the
      potential of its client base in the provision of environment engineering
      consulting services for the first quarter by its subsidiary, Zhiye. Yifeng
      intends to aggressively market and expand its client base.





Cost
      of Revenue




Cost
      of
      revenue for the three months ended March 31, 2007 was $87,374, a decrease of
      $22,352, or 20%, from $109,726 for the comparable period in 2006. The decrease
      in cost of revenue was primarily due to Yifeng not having fully realized the
      potential of its client base in the provision of environment engineering
      consulting services the first quarter by its subsidiary, Zhiye. The cost of
      revenue was correspondingly lower.




4





Gross
      Profit




Gross
      profit for the three months ended March 31, 2007 was $500,606, a decrease of
      $59,406 or 10%, from $560,012 for the comparable period of 2006. Our gross
      profit margin for the three months ended March 31, 2007 was 85% as compared
      with
      84% for the three months ended March 31, 2006. The decrease in our gross profit
      is primarily due to Yifeng not having fully realized the potential of its client
      base in the provision of environment engineering consulting services the first
      quarter by its subsidiary, Zhiye.




Selling,
      General and Administrative Expenses




Selling,
      general and administrative expenses were $73,896 for the three months ended
      March 31, 2007, a decrease of $5,901 from $79,797 for the comparable period
      in
      2006. The decrease was principally due to a decrease in Zhiye’s business travel
      expenses by 98% as compared for the same period last year.




Other
      Income




Other
      income were $35,443 and ($13,592) for the three months ended March 31, 2007
      and
      2006, respectively and the increase of $49,035 or 361% is
      principally attributable to loan interest that was paid by Harbin Tian
      Li Real Estate Co.





Income
      Taxes




Provision
      for income taxes was zero for the three months ended March 31, 2007 a decrease
      of $94,501 as compared to the same period in 2006. We are a company incorporated
      in the State of Nevada and conduct substantially all our operations through
      our
      PRC operating company. Although we are subject to United States taxation, we
      do
      not anticipate incurring significant United States income tax liability for
      the
      foreseeable future because:





·
            we
                did not conduct any material business or maintain any branch office
                in the
                United States for the three month period ended March 31,
                2007,





·
            the
                earnings generated from our non-U.S. operating companies are generally
                eligible for a deferral from United States taxation until such earnings
                are repatriated to the United States,
                and





·
            we
                believe that we will not generate any significant amount of income
                inclusions under the income imputation rules applicable to a United
                States
                company that owns "controlled foreign corporations" for United States
                federal income tax purposes.




5




Therefore,
      no provision for U.S. federal income taxes or tax benefits on the undistributed
      earnings and/or losses of our company has been made.




Yifeng
      and Zhiye are both incorporated in the PRC. They are governed by the Income
      Tax
      Law of the PRC concerning privately-run enterprises, which are normally subject
      to tax at a statutory rate of 33% (30% state income tax plus 3% local income
      tax) on its taxable income. Upon the acquisition of Yifeng by American
      Eco-Environment Corporation (“AEEC”), Yifeng applied to be treated as a Wholly
      Foreign Owned Enterprise (“WFOE”). In accordance with the relevant income tax
      laws, the profits of WFOEs are fully exempted from income tax for two years,
      from their first profit-making calendar year of operations after offsetting
      accumulated taxable losses, followed by a 50% income tax reduction for the
      next
      three calendar years (the “Tax Holiday”) thereafter.




Yifeng
      was granted the status of WFOE in the third quarter of 2006 upon the completion
      of the reverse merger with the Company (formerly known as USIP.Com, Inc.).
      Yifeng was granted a choice of starting the Tax Holiday immediately or the
      next
      calendar year. Yifeng elected for the Tax Holiday to commence in January 2007.
      Its two-year tax exemption period will be from January 1, 2007 to December
      31,
      2008 and the three-year income tax reduction period will be from January 1,
      2009
      to December 31, 2011.




Zhiye,
      Yifeng’s subsidiary, is entitled to be exempted from the income tax and
      value-added tax for three years from August 2004 because Zhiye has hired
      employees that have formerly served with the national army and the state grants
      tax benefits for such employers.





Net
      Income




Net
      income for the three months ended March 31, 2007 was $458,480, an increase
      of
      $86,358 from $372,122 for the comparable period in 2006. The increase in our
      revenue was attributable to the increased quantity of MSW disposed of during
      the
      period and accordingly, an increase in MSW-generated revenue.




**Liquidity
      and Capital Resources**





We
      finance our operation and meet capital expenditure requirements primarily
      through bank loans and operating income. We received a long-term loan of RMB40
      million (approximately $5 million) from China Industrial and Commercial Bank
      on
      November 18, 2004 for our landfill site construction. The loan was secured
      by
      our building. The loan has a term of sixty months maturing on November 15,
      2009.
      The annual interest rate of the first year of the loan is 7.605%. The annual
      interest rates for the following years are adjusted based on the bank’s official
      rates at that time. In addition to paying the quarterly interest, the Company
      is
      also required to make $241,648 in principal repayments every quarter. In 2006,
      principal repayments in the amount of $966,592 were made. The principal
      repayments for the three months ended March 31, 2007 amounted to $241,648.
      The
      balance of the bank loan as of March 31, 2007 was $2,658,128




Cash
      and Cash Equivalent





Our
      cash
      and cash equivalent were $1,137,162 at the beginning of the three months ended
      March 31, 2007 and decreased to $92,902 by the end of the said quarter due
      to
      repayments of loan installments and interest to the bank and project expense.





Net
      cash provided by operating activities




6





Net
      cash
      provided by our operating activities was $368,566 for the three months ended
      March 31, 2007, a decrease of $860,677 or 70% from $1,229,243 for the same
      period in 2006. The decrease was primarily attributed to the fact that other
      receivable of $588,939 was collected in the first quarter of 2006 while other
      receivable increased in the amount of $151,529 for the first quarter of 2007.





Net
      cash used in investing activities




Net
      cash
      used in investing activities decreased $519,069 for the three months ended
      March
      31, 2007, from $791,850 for the same period in 2006. The decrease was due to
      the
Company
      not lending funds to affiliated companies for the three months ended March
      31,
      2007.





Net
      cash used in financing activities





Net
      cash
      used in financing activities decreased $319,280 for the three months ended
      March
      31, 2007, from $565,680 for the same period in 2006. The decrease was due to
      the
      repayment of a related party loan in the amount of $324,032.





We
      intend
      to use our available funds to accelerate the development of our projects. We
      believe that our available funds will provide us with sufficient capital for
      the
      next twelve months; however, to the extent that we make acquisitions or
      establish additional facilities, we may require additional capital for the
      acquisition or for the operation of the combined companies. We cannot assure
      that such funding will be available, or if available, that it will be available
      on acceptable terms.




**Critical
      Accounting Policies and Estimates**





We
      have
      disclosed in Note 2 to our financial statements those accounting policies that
      we consider to be significant in determining our results of operations and
      our
      financial position which are incorporated by reference herein.





Management’s
      discussion and analysis of its financial condition and results of operations
      are
      based upon our consolidated financial statements, which have been prepared
      in
      accordance with accounting principles generally accepted in the United States.
      Our financial statements reflect the selection and application of accounting
      policies which require management to make significant estimates and judgments.
      Management bases its estimates on historical experience and on various other
      assumptions that are believed to be reasonable under the circumstances. We
      believe that the following reflect the more critical accounting policies that
      currently affect our financial condition and results of operations.





The
      significant accounting policies which we believe are the most critical to aid
      in
      fully understanding and evaluating our reported financial results include the
      following:




Management
      Estimates




7




The
      preparation of financial statements in conformity with generally accepted
      accounting principals requires management to make estimates and assumptions
      that
      effect the reported amounts of assets and liabilities and the disclosure of
      contingent assets and liabilities at the date of the financial statements and
      the reported amounts of revenues and expenses during the reporting period.
      Actual results could differ from those estimates.





Concentrations
      of Credit Risks





The
      primary operations of the Company are now located in the PRC. Accordingly,
      the
      Company’s business, financial condition, and results of operations may be
      influenced by the political, economic, and legal environments in the PRC, in
      addition to the general state of the PRC economy. The Company's operations
      in
      the PRC are subject to special considerations and significant risks not
      typically associated with companies in North America and Western Europe. These
      include risks associated with, among others, the political, economic and legal
      environments legal environments and foreign currency exchange.





The
      Company’s results may be adversely affected by changes in the political and
      social conditions in the PRC, and by changes in governmental policies with
      respect to laws and regulations, anti-inflationary measures, currency conversion
      and remittance abroad, and rates and methods of taxation, among other
      things.





Cash
      and Cash Equivalents




The
      Company considers all highly liquid instruments with a maturity of three months
      or less when purchased to be cash equivalents for purposes of classification
      in
      the balance sheets and statement of cash flows. Cash and cash equivalents
      consists of cash in bank and cash on hand.




Accounts
      Receivables





Accounts
      receivables are stated at net realizable value. Any allowance for doubtful
      accounts is established based on the management’s assessment of the
      recoverability of accounts and other receivables. A considerate amount of
      judgment is required in assessing the realization of these receivables,
      including the current credit worthiness of each customer and the related aging
      analysis. Based on this assessment, the Company considers all its accounts
      receivables fully collectible and no allowance for doubtful accounts was
      provided for the three months ended March 31, 2007 and 2006.




Inventories





Inventories
      consist of the raw materials, supplies, and goods to be used in the regular
      day-to-day operations. Inventories are valued at the lower of cost or market
      with cost determined on a first-in first-out basis.




8




Fixed
      Assets and Depreciation




Fixed
      assets are stated at cost. Depreciation is calculated on a straight-line basis
      over the useful lives of the related assets, which range from five to seventeen
      years.




Advance
      to Suppliers





Advance
      to suppliers represent the payments made and recorded in advance for goods
      and
      services. Advances were also made for the purchase of the materials and
      equipments of the Company’s construction in progress.




Income
      Taxes




Income
      taxes are accounted for in accordance with Statement of Financial Accounting
      Standards No. 109, "Accounting for Income Taxes". Under SFAS No. 109, deferred
      income taxes are recognized using the asset and liability method by applying
      tax
      rates to cumulative temporary differences based on when and how they are
      expected to affect the tax return. Deferred tax assets and liabilities are
      adjusted for income tax rate changes.




Net
      Income Per Common Share




Net
      income per common share has been calculated by taking the net income for the
      current period and dividing by the weighted average shares outstanding at the
      end of the period.




Revenue
      Recognition




The
      Company now derives its primary revenue from the operations in China through
      the
      wholly owned subsidiary of AEEC, Harbin Yifeng Eco-Environment Co., Ltd. and
      Yifeng’s own subsidiary, Harbin Yifeng Zhiye Management Co., Ltd. Revenues from
      operations in China are recognized when services are provided and payments
      of
      customers and collections are reasonably assured.




Foreign
      Currency Translation





The
      functional currency for the Company’s operations in China is the Renminbi
      (“RMB”). Foreign currency transactions are translated at the applicable rates of
      exchange in effect at the transaction dates. Monetary assets and liabilities
      denominated in foreign currencies at the balance sheet date are translated
      at
      the applicable rates of exchange in effect at that date. Revenues and expenses
      are translated at the average exchange rates in effect during the reporting
      period.





Translation
      adjustments arising from the use of different exchange rates from period to
      period are included as a component of stockholders' equity as "Accumulated
      Other
      Comprehensive Income". Gains and losses resulting from foreign currency
      translations are included in Accumulated Other Comprehensive
      Income.





9





**Item
      3. Controls and Procedure**





(a)  Disclosure
      Controls and Procedures.





Mr.
      Yun
      Wang, our Chief Executive Officer and Mr. Jianhua Sun, our Chief Financial
      Officer, evaluated the effectiveness of the design and operation of our
      disclosure controls and procedures, as defined in Rules 13a-15(e) and 15d-15(e)
      under the Exchange Act, as of the end of the first three months of 2007. Based
      on that evaluation, our officers concluded that our disclosure controls and
      procedures were effective and adequately designed to ensure that the information
      required to be disclosed by us in the reports we submit under the Exchange
      Act
      is recorded, processed, summarized and reported within the time periods
      specified in the applicable rules and forms and that such information was
      accumulated and communicated to our chief executive officer and chief financial
      officer, in a manner that allowed for timely decisions regarding required
      disclosure.





(b)  Changes
      in Internal Control over Financial Reporting





During
      the three months ended March 31, 2007, there has been no change in internal
      control over financial reporting that has materially affected, or is reasonably
      likely to materially affect our internal control over financial
      reporting.




A
      control
      system, no matter how well conceived and operated, can provide only reasonable,
      not absolute, assurance that the objectives of the control systems are met.
      Because of the inherent limitations in all control systems no evaluation of
      controls can provide absolute assurance that all control issues, if any, within
      a company have been detected. Such limitations include the fact that human
      judgment in decision-making can be faulty and that breakdowns in internal
      control can occur because of human failures, such as simple errors or mistakes
      or intentional circumvention of the established process.




PART
      II -
      OTHER INFORMATION.





**Item
      6. Exhibits**





(a)
            Exhibits


**Exhibit
                  No.**
              
              **Description**31.1
              
              Certification
                  pursuant to Exchange Act Rules 13a-15(e) and 15d-15(e), as adopted
                  pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 for Yun
                  Wang;31.2
              
              Certification
                  pursuant to Exchange Act Rules 13a-15(e) and 15d-15(e), as adopted
                  pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 for Jianhua
                  Sun;32.1
              
              Certification
                  pursuant to 18 U.S.C.
                  1350.




10




SIGNATURES





Pursuant
      to the requirements of the Securities Exchange Act of 1934, the registrant
      has
      duly caused this report to be signed on its behalf by the undersigned thereunto
      duly authorized.




Eastern
                Environment Solutions, Corp.
              (Registrant)Dated:
                May 15, 2007
            
            /s/ Yun
                WangYun
                WangChief
                Executive Officer






11