Tinergy Chemical Co.,Ltd.

Tinergy Chemical Co., Ltd. is a large conglomerate listed on the Shenzhen Stock Exchange since 2007, specializing in the manufacturing of raw chemical materials and chemical products. The company focuses on the green coupling and circular development of three primary industries: titanium chemicals, phosphorus chemicals, and new energy materials. Tinergy aims to establish a green circular industrial economy by strategically expanding its operations through inorganic growth and mergers and acquisitions. The company's main business lines include the production of titanium dioxide, phosphate ore, yellow phosphorus, and lithium iron phosphate, with sales from these products accounting for a significant portion of its revenue. Tinergy operates industrial bases in five cities across four provinces in China, where it has developed industry-leading production capacities. The company has established a sulfur-phosphorus-iron-titanium-lithium green circular industrial model and leverages its first-mover advantages, strong technical capabilities, and strategic raw material sourcing to maintain a competitive position in the market.

1. First-mover Advantages The Company was formerly the Titanium Dioxide Branch of Factory 404, China National Nuclear Corporation, located in China’s largest nuclear production and scientific research base. At the end of the 1980s, in accordance with the national policy of converting military production to civilian use, the Company adjusted its industrial structure and introduced and constructed the titanium dioxide project. After years of technology digestion, absorption and independent innovation, the Company has accumulated solid technical strength and strong innovation capacity, reputed as the Huangpu Military Academy of the titanium dioxide industry. By optimizing production workflows, upgrading manufacturing processes and leveraging overall collaborative production advantages, the Company has achieved economies of scale, effectively lowered production costs of core products, and built a moat of differentiated cost advantages. Benefiting from superior product quality and low manufacturing costs, the Company has formed prominent first-mover advantages through rapid development in recent years:(1) When competitors began capital investment in the titanium dioxide sector, the Company already adopted large-scale production and advanced technological processes to manufacture high-quality titanium dioxide, cutting production costs and strengthening cost-performance competitiveness.(2) The Company achieved large-scale production and sales of titanium dioxide at an early stage. Through years of market cultivation and brand building, it has established a sound reputation and corporate image among high-quality domestic and overseas downstream clients, built stable sales channels, and ensured balanced production and sales. 2. Raw Material Advantages The main raw materials for the Company’s core product rutile titanium dioxide are titanium concentrate and sulfuric acid, jointly accounting for over 60% of total production costs.The Company secures cost advantages of titanium concentrate through strategic cooperation with producers in Northwest China, and reduces sulfuric acid procurement costs via the circular economy model of its industrial parks. Details are as follows:(1) Titanium concentrate: Relying on its proprietary production technologies, the Company has established long-term strategic cooperation with titanium concentrate manufacturers in Northwest China, obtaining raw materials at a notably lower cost compared with mainstream outsourced domestic titanium concentrate.(2) Sulfuric acid: Its core production base Dongfang Titanium Industry sources sulfuric acid from by-products of smelting enterprises within the industrial park. This realizes on-site consumption and conversion of hazardous chemicals in the park while substantially reducing external procurement costs of sulfuric acid. 3. Brand & Market Advantages Dongfang Titanium Industry, a wholly-owned subsidiary of the Company, ranks 9th among the Top 100 Private Enterprises in Gansu Province and was recognized as an Excellent Provincial Enterprise Technology Center of Gansu in 2025. Jinxing Titanium Dioxide is listed among Anhui Top 100 Private Enterprises and is a registered Anhui Provincial Academician Workstation. The Company’s trademarks Tai Aohua and Jinxing are rated as Famous Trademarks of Gansu Province and Anhui Province respectively, enjoying high reputation and visibility across the industry and domestic customers. With a 30-year presence in the titanium dioxide market, the Company’s flagship products entered domestic and international markets much earlier than most domestic peers, boasting remarkable market first-mover edges. After years of development, its titanium dioxide products have been exported to numerous countries and regions, with major domestic and overseas clients being industry leaders. Supported by long-term stable quality, sufficient supply and professional services, the Company has gained high customer credibility and reached long-term cooperation intentions with multiple large overseas clients. Based on sustained strategic partnerships with major downstream customers, a number of customized products exclusively developed for key clients have become important suppliers for leading enterprises in the decorative paper industry. Leveraging its brand and market strengths, the Company will further expand overseas business in the future. 4. Green Circular Economic Advantages During the reporting period, closely following the national dual-carbon strategy and seizing development opportunities in the new energy industry, the Company took a forward-looking layout of the sulfur-phosphorus-iron-titanium-lithium green coupled circular industrial system. By integrating the industrial chains of titanium dioxide, phosphorus chemical industry and new energy materials, the Company efficiently converts by-products such as ferrous sulfate from titanium dioxide production into raw materials for lithium iron phosphate manufacturing. Through continuous R&D and improvement of the green industrial circular chain, the Company has built itself into an industry benchmark for clean production of sulfuric acid-process titanium dioxide. It not only reduces waste emissions and environmental protection costs, but also creates new profit growth points through value-added utilization of by-products, forming a virtuous cycle of resource recycling, industrial collaboration, cost reduction and efficiency improvement. The initial establishment of the green coupled circular industrial system marks the substantial implementation of the Company’s green development strategy and lays a solid foundation for long-term sustainable development. 5. Technology, R&D and Innovation Advantages Adhering to the tenet of accelerating the development of new quality productive forces and promoting high-quality development in a down-to-earth manner, the Company relies on multiple provincial-level innovation platforms including Provincial Enterprise Technology Center, Collaborative Innovation Base, and Provincial Technology Innovation Center for Titanium Dioxide Green Manufacturing & Resource Comprehensive Utilization.Upholding the dominant role of enterprises in technological innovation and innovation-driven development strategy, the Company continuously increases R&D investment, makes sustained efforts in new product development, industrial transformation and industrial chain extension, and provides core impetus for developing high value-added products, cost reduction, efficiency improvement and green circular development.