Huagong Technology: Facing higher demand growth in the downstream market next year, the company will make advance preparations.

An investor asked Hua Gong Technology about the current tight supply of time module chips and upstream components. He asked if the company has sufficient inventory to meet production capacity demand. Hua Gong Technology responded on the interactive platform that, in terms of upstream materials, the company has established long-term stable cooperation relationships with core chip manufacturers both domestically and abroad. They will communicate with upstream chip manufacturers in advance, place orders half a year in advance, and their current inventory can cover about three months. In addition, the company has initiated the establishment of upstream chip manufacturers such as Yunling Optoelectronics and CW Light Source, which are currently under verification and can be used as backup solutions. In anticipation of higher downstream demand growth next year, the company will make early preparations.