The board of directors Deewin Tianxia Co. Ltd. announced that, on 8 December 2022, the Company and Giant Haul New Energy Automotive Co.,Ltd (Giant Haul New Energy) entered into a strategic cooperation agreement (Strategic Cooperation Agreement). Pursuant to the Strategic Cooperation Agreement, the Company and Giant Haul New Energy will be able to tap fully into their respective resources and experiences, to cooperate in the new energy battery-swapping heavy-duty truck sector on projects covering battery-swapping heavy-duty truck, the sales of power batteries for heavy-duty trucks and IoV data service, thereby serves to achieve the strategic goals of resource integration, complementary development and mutual benefits.

As part of the ongoing promotion of China's "dual carbon" strategy, the electrification of heavy- duty trucks are a key direction for carbon reduction in the commercial vehicle industry. Compared to conventional charging, battery-swapping approach is able to effectively address the issues that include the shortage or even the lack of charging space for heavy-duty trucks and long charging time and serves as an effective solution for the electrification of the energy supply for heavy-duty trucks. With the advancement of the pilot work of the application of the battery swap mode for new energy vehicles, battery-swapping heavy-duty trucks are set to embrace a promising future.

The Directors of the Company are of the view that, by entering into the Strategic Cooperation Agreement with Giant Haul New Energy, both parties will be able to fully tap into their respective resources and experiences, to cooperate in the new energy battery-swapping heavy-duty truck sector on projects covering battery-swapping heavy-duty truck, the sales of power batteries for heavy-duty trucks and IoV data service, thereby serves to achieve the strategic goals of resource integration, complementary development and mutual benefits. It is also beneficial for the Company to continue pushing forward the implementation of and executing the new energy battery-swapping heavy-duty truck business, broaden the scope of cooperation between the Company and Giant Haul New Energy, and subsequently opening a new pathway to venture into the business in new energy commercial vehicles, and expanding the Company's influence in the commercial vehicle area, and realizing sustainable development in the long term.