August quietly departs with the summer heat, and September arrives gracefully with the feeling of autumn. The everyone of BASR, with their unwavering perseverance and proactive spirit, steadily advance toward their predetermined goals.

1.Business Activities

1.1. Yangguang Sunshine Industry （Hungary）Kft. Base Phase I Delivery and Phase II Construction

July 2024: BASR's wholly-owned subsidiary, Yangguang Sunshine Industry （Hungary）Kft. (YSI), was established. In September of the same year, the construction of the base factory commenced. Over the past year, the Hungarian project team demonstrated exceptional execution capabilities, successfully breaking the ice, establishing connections with numerous clients, and passing the TISAX security certification to a high standard, providing a solid guarantee for the base construction to progress on schedule.Early September 2025: Phase I of the base was completed. The acceptance and business teams promptly arrived to conduct wrap-up and reception activities. Visiting clients highly praised the results of Phase I and provided valuable suggestions, laying the foundation for deeper cooperation. On September 10, 2025, YSI grandly held the Phase I delivery and Phase II initiation ceremony. Partners from various sectors gathered together, jointly participated in the ribbon-cutting ceremony, and delivered speeches. The ceremony was a complete success.

The success of YSI Phase I marks a milestone in BASR's journey in Europe. In the future, YSI will tackle multiple OEM projects in Hungary and expand to neighboring areas. BASR will also leverage Hungary as a strategic hub to further deepen synergistic effects with its partners.

1.2.August 28, 2025: General Manager Xie Jinqiang and his team from Hunan Jinci visited our Tianjin Airport Base for an exchange. General Manager Guan, along with the BU2, warmly welcomed them and accompanied them on a tour.

The base staff provided a systematic introduction to our Airport Base’s temperature- and humidity-controlled warehouse, simulated stamping machine, TMS transportation management system, and Phase I and Phase II laboratories, and explained in detail various operational processes and management mechanisms. General Manager Xie highly praised our warehouse management, transportation management, TMS system, and laboratories, and expressed the hope that logistics and laboratory personnel from both companies could be exchanged for mutual learning and improvement.

During subsequent business discussions, both parties held in-depth exchanges on three major domestic businesses — joint ventures, market-based operations, and Hunan Jinci’s supply chain — as well as overseas market development, and reached a consensus on collaborative development. They clarified the integration of resources and complementary advantages (Hunan Jinci’s full industry chain and R&D along with our supply chain management experience and system) to create a new pattern of mutual benefit and win-win cooperation.

1.3.September 4 and 16, 2025: The laboratory team respectively visited China Automotive Technology & Research Center Co., Ltd. (CATARC) and Tianjin Leize Technology for business exchanges. The team toured the laboratories, learned about cutting-edge technologies and developments, and introduced our laboratory's capabilities and strengths, expressing a willingness to collaborate. The other parties acknowledged our capabilities and stated that they would contact us promptly if there are relevant needs, exploring cooperation potential together to achieve mutual benefits and win-win outcomes.

1.4.September 18, 2025: At the invitation of the Industrial and Commercial Bank of China, our BU3 represented the company to visit Nanning, Guangxi, to attend the ASEAN-China-Japan-Korea Industrial Chain and Supply Chain Conference. The conference focused on the theme of "Strengthening Regional Coordination and Promoting Sustainable Development of Industrial and Supply Chains," aiming to enhance regional industrial connectivity and resilience through multi-party communication and cooperation, and to promote the upgrading of industrial and supply chains toward sustainability. During the conference, relevant leaders, experts, and enterprise representatives held in-depth discussions on key topics such as regional industrial layout optimization, supply chain efficiency improvement, and innovative cooperation model construction. They clearly emphasized the need to fully leverage the respective strengths of ASEAN, China, Japan, and Korea in the industrial and supply chains, with a focus on strengthening cooperation in key areas such as new energy, high-end manufacturing, and the digital economy to address the uncertainties and challenges of global industrial and supply chains. In addition, the conference also highlighted the important role of small and medium-sized enterprises in the industrial chain and explored ways to build dedicated cooperation platforms to help SMEs better integrate into the regional industrial chain.

Participating in this conference not only broadened our team's industry insights but also strengthened our judgment that, with the continued implementation of policies by ASEAN partner countries, this sector will see broader development prospects and more opportunities for cooperation in the future.

2.Management Improvement

2.1. September 2025: After four months of meticulous renovation, Area C of the company's Tianjin Airport Base has been completely revitalized. The completion of the Area C renovation has further enhanced the company's storage and management capabilities, laying a solid foundation for business expansion. The company will continue to upgrade and renovate the entire plant area, introducing AR technology to further improve operational efficiency and reduce operating costs.

3.Cultural Development

3.1 September 5, 2025: The third book sharing session was held in a collaborative format between the Beijing headquarters and the airport base, with participants reading the Bible together. Led by Cai Chunhui, the discussion began, followed by an exchange session where colleagues shared their insights based on personal experiences. Some reflected on the feelings of "reverence" and "peace," while others appreciated the philosophies of "contentment" and "balance." This book club allowed the wisdom of the classics to take root in the hearts of colleagues, who will apply what they have learned to contribute to the company's development.

In the future, BASR will continue to maintain a courageous and resolute attitude, facing various challenges with fearless bravery and steadfastly pressing forward towards its established goals.