Property, plant and equipment as of September 30, 2016, December 31, 2016 and 2017 consisted of the following:

		September 30,			December 31,			December 31,
		2016			2016			2017
Buildings	$	17,569,328		$	16,877,909		$	24,979,022
Machinery and equipment		4,388,160			4,473,631			12,967,576
Office equipment		82,722			96,655			183,956
Motor vehicles		168,240			193,165			206,190
		22,208,450			21,641,360			38,336,744
Accumulated depreciation		(1,473,241	)		(1,630,457	)		(3,371,234	)
Carrying amount	$	20,735,209		$	20,010,903		$	34,965,510

During the year ended September 30, 2016, three months ended December 31, 2016 and year ended December 31, 2017, the Company incurred depreciation expense of $1,144,866, $228,335 and $1,569,768, respectively.

The Company has not yet obtained the property ownership certificates of the buildings in its Dalian manufacturing facilities with a carrying amount of $16,958,674, $16,178,549 and $23,670,773 as of September 30, 2016, December 31, 2016 and 2017, respectively. The Company built its facilities on the land for which it had already obtained the related land use right. The Company has submitted applications to the Chinese government for the ownership certificates on the completed buildings located on these lands. However, the application process takes longer than the Company expected and it has not obtained the certificates as of the date of this report. However, since the Company has obtained the land use right in relation to the land, the management believe the Company has legal title to the buildings thereon albeit the lack of ownership certificates.

During the course of the Company’s strategic review of its operations in the year ended September 30, 2016, three months ended December 31, 2016 and year ended December 31, 2017, the Company assessed the recoverability of the carrying value of certain property, plant and equipment which resulted in impairment losses of approximately nil, nil and $1.0 million, respectively. The impairment charge considered by management in performing this assessment include current operating results, trends and prospects, the manner in which the property is used, and the effects of obsolescence, demand, competition, and other economic factors.