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Risks
6 Months Ended
Jun. 30, 2025
Risks [Abstract]  
Risks

17. Risks

 

A. Credit risk

 

The Company’s deposits are made with banks located in the PRC. Cash maintained in banks within the People’s Republic of China of less than RMB0.5 million (equivalent to $69,797) per bank are covered by “deposit insurance regulation” promulgated by the State Council of the People’s Republic of China.

 

Since the Company’s inception, the age of account receivables has been less than one year, indicating that the Company is subject to the minimal risk borne from credit extended to customers.

 

B. Interest risk

 

The Company is subject to interest rate risk when short-term and long-term loans become due and require refinancing.

 

C. Economic and political risks

 

The Company’s operations are conducted in the PRC. Accordingly, the Company’s business, financial condition, and results of operations may be influenced by changes in the political, economic, and legal environments in the PRC.