Forging Excellence, Creating Greatness Together

As time flows and the year turns a new page, we stand at the threshold of the old and new when the last page of the 2025 calendar is flipped. Looking back on the journey Shanghai Rongchuang Kaixun Special Materials Co., Ltd. has taken this year, our hearts are filled with emotion and pride.
 
This year has been one of dedicated cultivation and determined advancement in the field of special materials for Rongchuang Kaixun; a year of unity and perseverance through challenges for all employees; and more importantly, a year of substantial breakthroughs in technological innovation, market expansion, and management optimization.
 
I. Technology as the Cornerstone: Innovation-Driven Breakthroughs to Strengthen Core Competitiveness
 
Phased achievements have been made in core technology research. In 2025, the company's R&D team focused on the cutting-edge demands of special ceramic materials, continuously making efforts in key links such as material formulation, sintering processes, and performance optimization. We successfully optimized the sintering process of boron Carbide Ceramics, improving the toughness index by approximately 15% while maintaining high hardness. This breakthrough has laid a solid foundation for the application of our products in more harsh environments.
 
The R&D of new products has yielded fruitful results. During the year, the company completed laboratory R&D of three series of new special ceramic materials, two of which have entered the pilot scale-up stage. Targeting emerging fields such as high-end equipment and precision manufacturing, these new materials are expected to open up a brand-new growth curve for the company. The proportion of R&D investment in operating income has remained at an industry-leading level, demonstrating the company's firm commitment to technological innovation.
 
Industry-university-research cooperation has been further expanded. The company has established stable cooperation mechanisms with research institutions such as Shanghai Institute of Materials Research and East China University of Science and Technology, jointly undertaking two municipal-level key R&D projects. By integrating "bringing in advanced technologies" and "going out for exchanges", we have built an open and collaborative innovation ecosystem, accelerating the industrialization process of scientific research achievements.
 
II. Market Deepening: Customer-Centric Approach to Expand Industry Influence
 
The market share in key areas has steadily increased. In 2025, the company further consolidated its market position in traditional advantageous fields such as safety protection and precision components, with the order volume from key customers increasing by 30% year-on-year. By providing customized solutions and full-cycle technical services, we have established strategic partnerships with a number of industry-leading enterprises.
 
The development of emerging application scenarios has achieved initial results. We have keenly grasped the industrial development trend, developed adaptive product series targeting the demand for special materials in emerging fields such as new energy and semiconductor equipment, and successfully entered the supplier list of two industry benchmark customers, realizing the initial layout in emerging markets.
 
Brand and qualification building has achieved remarkable results. The company passed the review of National High-tech Enterprise and obtained the certification of "Shanghai Specialized, Refined, Differentiated and Innovative Enterprise". The company's product quality management system has been continuously improved, and the performance indicators of some products have reached the international advanced level, accumulating capital for participating in higher-level international competition.
 
III. Internal Capacity Building: Management Efficiency Improvement to Consolidate the Foundation for Development
 
Talent team construction has been steadily promoted. The company launched the "Kaixun Talents" training program, helping employees grow through various forms such as internal mentorship, special skill training, and industry exchanges. During the year, the retention rate of talents in key technical positions exceeded 95%, and a talent echelon with reasonable structure, solid professional skills and full passion is taking shape.
 
Corporate culture and cohesion building have been strengthened. Adhering to the principle of "striving for the people-oriented", we have optimized the performance and incentive mechanism to ensure that value creators receive due rewards. Through organizing technical competitions, family day activities, and assistance for employees in need, we have enhanced the sense of belonging and cohesion of the team. The core values of "professionalism, responsibility, collaboration and innovation" have gradually integrated into every aspect of daily work.
 
IV. Gratitude for Companionship: Every Effort Lights the Way Forward
 
The achievements made are attributed to the hard work and wisdom of every Rongchuang Kaixun person. The focused figures in the workshop, the lights that stayed on all night in the laboratory, the footsteps braving wind and rain in the market, and the sparks of ideas colliding in the meeting room... It is the accumulation of these bit by bit efforts that has forged the solid footprint of the company's progress in 2025.
 
Here, we extend our sincere gratitude to all employees and their families who have silently supported them behind the scenes! The company will also continue to work hard to create a platform where everyone can better display their talents, feel more care, and share the fruits of development.
 
V. Outlook for 2026: Working Together with One Heart to Write a New Chapter
 
Looking forward to the upcoming 2026, challenges and opportunities coexist. The global economic situation is still complex, and the competition in the industrial chain is becoming increasingly fierce. However, as an important part of the national strategic emerging industry, the new material industry is ushering in a historic development window.
 
In the new year, we will:
 
- Be more focused on technology: Aim at the international frontier, continue to invest in material system innovation and key performance breakthroughs, and create 2-3 "star" products.
- Be more aggressive in the market: Deepen penetration in key industries, accelerate layout in emerging fields, and build a more balanced market structure with stronger anti-risk capabilities.
- Be more refined in management: Comprehensively promote digital upgrading, optimize operational processes, improve organizational efficiency, and make management a booster of productivity.
- Be more attentive to talents: Broaden career development channels, enrich incentive methods, and create a more open, inclusive and dynamic organizational atmosphere.
 
Among hundreds of boats vying for speed, those who paddle vigorously will take the lead. Let us uphold the reverence for technology, passion for the market, and trust in each other, continue to maintain the perseverance and passion of our entrepreneurial original aspiration, and rely on the "specialty" of materials to forge the "sharpness" of development, and jointly write a new chapter for Rongchuang Kaixun in 2026!
 
Finally, we wish all colleagues and their families a happy new year, good health and a happy family!
 
Shanghai Rongchuang Kaixun Special Materials Co., Ltd.
December 2025