Announcement on Partial Debt Default and Guarantee Progress of a Subsidiary

Securities Code: 002388 Securities Abbreviation: Xinya Process Announcement No.: 2026-010 Xinya Process (Zhejiang) Co., Ltd. Announcement on Partial Debt Default and Guarantee Progress of a Subsidiary The Company and all members of the Board of Directors guarantee the truthfulness, accuracy, and completeness of the information disclosed in this announcement, and shall bear joint and several liability for any false representations, misleading statements, or material omissions. Xinya Process (Zhejiang) Co., Ltd. (hereinafter referred to as the "Company" or "this Company") announces that its wholly-owned subsidiary, Zhejiang Xinya Zhongning New Energy Co., Ltd. (hereinafter referred to as "Xinya Zhongning"), has experienced partial debt maturity. In accordance with the "Shenzhen Stock Exchange Stock Listing Rules" and other relevant regulations, the specific situation is hereby announced as follows: I. Progress on Partial Debt Default and Guarantee In January 2025, Xinya Zhongning, a wholly-owned subsidiary of the Company, applied to Quzhou Industrial Investment Group Co., Ltd. (hereinafter referred to as "Quzhou Industrial Investment") for an entrusted loan of RMB 280 million. Quzhou Industrial Investment entrusted China Construction Bank Corporation Quzhou Chemical Branch to issue the entrusted loan to Xinya Zhongning, and signed the "Corporate Entrusted Loan Contract" (hereinafter referred to as the "Entrusted Loan Contract"). Xinya Zhongning pledged 51% of its equity in Xinya Shanshan New Materials Technology (Quzhou) Co., Ltd. (hereinafter referred to as "Xinya Shanshan") to Quzhou Industrial Investment as a maximum amount of pledge guarantee for the aforementioned loan. The Company provided a maximum amount of mortgage guarantee for the aforementioned loan by mortgaging its real estate properties and corresponding land use rights located in Huizhou City, Guangdong Province. For specific details, please refer to the "Announcement on Providing Guarantee for Subsidiary Financing" disclosed by the Company on Juchao Information Network (www.cninfo.com.cn) on January 22, 2025 (Announcement No.: 2025-007). In July 2025, due to the Company's business development needs, Xinya Zhongning applied to the bank for a six-month extension for the aforementioned loan. Xinya Zhongning provided joint and several liability guarantee for the extension of this loan by pledging its 51% equity in Xinya Shanshan and the Company's relevant real estate properties. For specific details, please refer to the "Announcement on Continuing to Provide Guarantee for Subsidiary Financing Extension" disclosed by the Company on Juchao Information Network (www.cninfo.com.cn) on July 22, 2025 (Announcement No.: 2025-049). As of the date of this announcement, the principal of the aforementioned partial loan has matured and has not yet been repaid. Xinya Zhongning pledged its 51% equity in Xinya Shanshan to Quzhou Industrial Investment, and the Company mortgaged its relevant real estate properties and corresponding land use rights to Quzhou Industrial Investment. Xinya Zhongning and Quzhou Industrial Investment have clarified a repayment plan, and are currently negotiating the details. The two parties have not yet signed a formal contract. As of the date of this announcement, Xinya Zhongning still has a loan principal of RMB 240 million (accounting for 24.77% of the net assets as of the latest audited period) that has matured and has not been repaid. II. Proposed Measures and Risk Warning As of the date of this announcement, Xinya Zhongning and Quzhou Industrial Investment have clarified a repayment plan and are currently negotiating the details. The Company will strive to sign the relevant contracts and other legal documents as soon as possible. The Company will fulfill its disclosure obligations in a timely manner according to relevant laws, regulations, and normative documents based on the progress of the matter. The Company's designated information disclosure media are Securities Times, Shanghai Securities News, Economic Information Daily, and Juchao Information Network (www.cninfo.com.cn). All of the Company's relevant information shall be subject to the announcements published on the aforementioned designated information disclosure media. Due to the overdue repayment of the debt, the Company's subsidiary may incur expenses such as late fees and overdue fines, thereby increasing financial expenses and potentially facing litigation risks. Investors are kindly requested to pay attention to the Company's relevant announcements, invest rationally, and be aware of investment risks. Hereby announced. Xinya Process (Zhejiang) Co., Ltd. Board of Directors March 5, 2026