18 August 2025

The Fourth Meeting of the Second Board of Directors Successfully Convened

On the morning of August 13, 2025, the fourth meeting of the second Board of Directors of Hubei Shengda Power Technology Co., Ltd. was successfully held in the main conference room of the company’s office building.

Board members Jiang Mengjie, Li Ligang, Lü Huai, Wang Zhao, and Yuan Shida attended the meeting. Supervisory Board members Sun Xiaocui, Luo Xinmin, and Zhao Shaoqing, along with Board Secretary Xu Zhi, Deputy General Managers Liu Wei and Zhang Mingming, Finance Director Wang Min, and Tao Jin from the Special Business Company, were also in attendance. The meeting was chaired by Chairman of the Board, Mr. Jiang Mengjie.

The meeting reviewed three reports:

• General Manager’s Work Report for the First Half of 2025 and Work Plan for the Second Half of 2025

• Mid-Year Financial Report 2025

• Report on Investment Execution for the First Half of 2025 and Supplementary Investment Budget

In addition, the meeting heard the Supplementary Report on Rebate Adjustments of Dongfeng Off-road Vehicle Company.

During the meeting, Chairman Jiang Mengjie and the Board members analyzed and evaluated the company’s current operations, and made specific requirements for the company’s key work in the second half of the year, as follows:

1. Business Performance
   In the first half of 2025, the company’s operating results fell short of the initial budget targets and did not outperform the overall industry. However, the overall trend remains positive. The medium- and heavy-duty truck market is forecasted to show growth in the second half of the year. All employees must seize opportunities, work together, and strive to elevate the company to new heights and create further success.

2. Quality & Market Development
   Product quality must be the cornerstone, with comprehensive efforts to enhance quality and strengthen customer trust and confidence. The marketing team should shift closer to the frontlines of the market, focus on key markets and core products, and work with full force to expand market share.

3. R&D and Innovation
   Strengthen the R&D system and pursue comprehensive breakthroughs. Accelerate the application of new technologies and the development and promotion of new products. Ensure early achievement of results and scale benefits in major scientific projects, new energy projects, off-road vehicle projects, EHB projects, and fully hydraulic brake projects.

4. Cost Reduction & Efficiency Improvement
   Carry out cost reduction and efficiency improvement initiatives across the entire value chain to enhance profitability. This includes analyzing and adjusting product profitability structures, optimizing the supply chain system, reducing costs in procurement, technology, manufacturing, and quality, and advancing product standardization to raise overall profitability.

5. Corporate Management & Human Resources
   Strengthen corporate management, optimize human resources, and accelerate improvements in performance management. Implement company-wide performance evaluations and link employee income to performance in order to stimulate work efficiency and enhance the comprehensive combat effectiveness and core competitiveness of all teams.

The Board acknowledged the tremendous efforts made by all employees in the first half of the year and recognized the company’s positive development trend. At the same time, it expressed the hope that the management team will continue to lead all employees in the second half of the year with high morale, unity, and determination to strive for progress. Together, they should spare no effort to achieve the company’s full-year sales and net profit targets and drive the enterprise toward rapid and sustainable development.

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