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Property, Plant and Equipment, net
 6 Months Ended
Mar. 31, 2016
Property, Plant and Equipment, net [Text Block]
7.

Property, Plant and Equipment, net
   
 

Property, plant and equipment as of September 30, 2015 and March 31, 2016 consisted of the following:

    September 30, 2015     March 31, 2016  
Buildings $ 18,440,000   $ 18,187,350  
Machinery and equipment   4,020,238     4,052,536  
Office equipment   37,050     51,615  
Motor vehicles   147,197     145,181  
    22,644,485     22,436,682  
Accumulated depreciation   (369,665 )   (925,783 )
Carrying amount $ 22,274,820   $ 21,510,899  

Depreciation expense for the three and six months ended March 31, 2015 and 2016 is included in the condensed consolidated statements of operations as follows:

    Three months ended March 31,     Six months ended March 31,  
    2015     2016     2015     2016  
Cost of revenues $   -   $ 148,712   $   -   $ 417,637  
Research and development expenses   -     29,152     -     29,600  
General and administrative expenses   6,750     95,158     13,259     112,141  
  $ 6,750   $ 273,022   $ 13,259   $ 559,378  
 

The Company has not yet obtained the property ownership of the buildings in its Dalian manufacture facilities with a carrying amount of $18,318,313 and $17,820,130 as of September 30, 2015 and March 31, 2016, respectively. The management expects that they will obtain the property ownership rights in June 2016.
   
 

During the course of the Company’s strategic review of its operations, the Company assessed the recoverability of the carrying value of the Company’s property, plant and equipment. The impairment charge, if any, represented the excess of carrying amounts of the Company’s property, plant and equipment over the estimated discounted cash flows expected to be generated by the Company’s production facilities. The Company believes that there was no impairment of its property, plant and equipment for the three and six months ended March 31, 2015 and 2016.