During its performance briefing on April 30, Sanhua Intelligent Controls unveiled its commitment to a globalization strategy, having established production hubs in Poland, Mexico, Thailand, Vietnam, and various other locations. This strategic placement has notably fortified the company's resilience against tariff risks. By 2024, exports to the United States will constitute less than 20% of Sanhua's total business, with direct shipments from China to the US accounting for less than 5%. Additionally, the majority of orders adhere to the FOB model, wherein customers assume the responsibility for tariffs and freight expenses. Sanhua Intelligent Controls has effectively minimized the impact of tariffs through flexible capacity allocation at overseas facilities, negotiations with clients to share tariff costs, and leveraging its longstanding partnerships with leading global refrigeration, air conditioning, and automotive manufacturers. With its proactive international production base setup and a robust, diversified response mechanism, Sanhua Intelligent Controls stands poised to navigate dynamic tariff policy shifts, ensuring the stability of its operations remains within a manageable spectrum.