Core Viewpoint - The establishment of a wholly-owned factory in Thailand by the company represents a strategic advantage over joint ventures, allowing for greater control over production, research, and sales, which can enhance responsiveness to market demands and product iteration [2]. Group 1: Advantages of the Thailand Factory - The Thailand factory allows the company to fully control the entire production chain, enabling more flexible responses to market needs and quicker product iterations [2]. - A wholly-owned factory ensures the uniform execution of the company's strategy, maintaining consistent technology standards and minimizing product quality fluctuations [2]. Group 2: Financial Implications - The local production in Thailand is expected to significantly reduce logistics costs, avoid international trade tariffs, and mitigate financial risks associated with currency fluctuations [2]. - The company aims to increase the gross profit margin in the ASEAN market to over 25% from the current export gross margin of 17.54% through localized production [2].

Group 1 - In the first quarter, Jiangsu's import and export with other BRICS countries reached 175.4 billion yuan, a year-on-year increase of 0.7% [1] - Aike (Changzhou) Agricultural Machinery Co., Ltd. exported 23 tractors to South Africa, with an export value of 14.74 million yuan in the first quarter of 2025, representing a year-on-year increase of 212.1% [1] - The total export to BRICS countries exceeded 37 million yuan, accounting for 23% of the total export in the same period [1] Group 2 - The company benefits from AEO (Authorized Economic Operator) certification, which provides customs clearance convenience in 57 countries and regions, including South Africa and Brazil [1] - Jiangsu's cooperation with BRICS countries is deepening, with Nantong Bawdy Electric Co., Ltd. exporting copper wires worth 2.2043 million yuan to India [2] - In the first quarter, the total export of Nantong Bawdy Electric Co., Ltd. reached 31.3195 million yuan, with exports to BRICS countries accounting for 69.99% of the total [2]