Announcement on the Implementation of Commodity Futures Hedging Business
Wuxi Longsheng Technology Co., Ltd. and all members of the board guarantee that the content of this information disclosure is true, accurate, and complete, with no false records, misleading statements, or significant omissions.
Important Content Reminder:
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Purpose of Trading: To avoid risks from fluctuations in the prices of bulk raw materials, Wuxi Longsheng Technology Co., Ltd. (hereinafter referred to as "the Company") and its holding subsidiaries will engage in commodity futures hedging business. This hedging mechanism aims to reduce product cost fluctuations caused by raw material price volatility, ensuring stable production and operations for the Company.
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Trading Varieties and Amounts: The Company plans to conduct commodity futures hedging business based on its production and operational plans. The futures varieties for hedging will be limited to raw materials related to the Company's and its holding subsidiaries' operations, specifically aluminum, copper, silicon steel, etc. The maximum margin balance for the hedging business will not exceed RMB 10 million, with a usage period of 12 months from the date of board approval. The maximum contract value held on any trading day during this period will not exceed RMB 50 million.
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Review Procedures Completed: The 14th meeting of the 5th Board of Directors has approved the proposal for the implementation of the commodity futures hedging business.
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Risk Warning: The hedging business carries inherent market risks, market liquidity risks, technical and operational risks, as well as policy and legal risks. The Company will actively implement management systems and risk prevention measures, prudently execute hedging operations, and remind investors to pay close attention to investment risks.
On April 7, 2026, Wuxi Longsheng Technology Co., Ltd. held the 14th meeting of the 5th Board of Directors, where the proposal for the implementation of commodity futures hedging business was approved. The relevant details are announced as follows: