A year full of passion and dreams, 2022 is approaching. On behalf of Hongwang Group, I would like to express my sincere gratitude and greetings to all Hongwang’s friends, employees, and your families.

The past year has been a year of exceptional significance. Hongwang actively responds to the call of the Party and strives to contribute a solid force to social and economic development. We actively learn the management mechanism and employment mechanism of the Party and the government; learn the excellent style of party members who take the initiative to overcome all difficulties. Continuously enhancing our cohesion, execution, and combat effectiveness is a valuable asset on our way forward.

A strong motherland has provided a broader stage and more opportunities for our "Hongwang Dream". We are the witnesses of the glorious era, and we are also the strugglers and contributors in the majestic journey. In the past year, Hongwang people have worked with one heart, one mind, and one goal successfully overcome difficulties and wrote a brilliant chapter of Hongwang's high-quality development.

In 2021, Hongwang Group ranked 451st in the "Top 500 Chinese Enterprises"; 220th in the "Top 500 Chinese Manufacturing Enterprises". The second phase annual output of 500,000 tons of 1450 hot and cold annealing and pickling line with inline-four stand tandem mills and annual output of 300,000 tons of cold-rolling stainless steel project puts into trial production in Yangjiang Hongwang; The finishing surface products have further expanded in Zhaoqing Hongwang, Shandong Hongwang, and Yangjiang Hongwang; The first high-grade silicon steel project of the group's strategic layout, Hunan Hongwang New Material Technology Co., Ltd. established. Annual output of 960,000 tons of high magnetic induction, high-grade non-oriented silicon steel start construction in Hunan Hongwang. The project meets the growing demand for high magnetic induction, high-grade non-oriented silicon steel from downstream customers in industries such as automobiles, home appliances, and micro-motors. At the same time, the group has started group digital transformation work with enthusiasm for the day and night. The combination of Hongwang's excellent culture, advanced technology, and "digitization" will give us "wings" and let us fly higher and farther.

2022 will be the year of the group's management reform and digital transformation. We will find the gap between the first-class enterprises and us, unswervingly promote the comprehensive application of "digitization". We will energize management through digital transformation, improve management mechanism and management level, optimize quality and cost control system, and further establish the quality awareness of all staff. It will drive the linkage of production, sales, technology, finance, internet information, administration, and other sectors, to make production and marketing more intelligent, processes clearer, and decision-making more scientific.  At the same time, we will focus on enhancing employees' sense of gain, establish a more scientific and reasonable performance and salary system; create a more fair and open development environment; to further strengthen our core competitiveness.

In 2022, we will continue to adhere to the core concept of "green development", promote energy saving, consumption reduction and carbon reduction with a higher orientation to set an industry model for cleaner production. Based on summarizing the successful experience of Yangjiang Hongwang's smart manufacturing, we will promote smart manufacturing in the main production bases of the group and explore the construction of "lighthouse factories". We will fully implement the trial production of the new project in Indonesia as scheduled; strive for the trial production of the Phase I Hunan Hongwang project within this year; and focus on the construction of the Phase II Fujian Hongwang project and the Phase I Zhejiang Hongwang project; to further enhance the advantages of regionalization and scale.

Our happy life and Hongwang’s bright future are created by the hard work of Hongwang people. In 2022, let us continue to work together to achieve a better career and a brighter future. Wish you all a happy new year, happy family and all the best!

Chairman: Cuhui, Dai
January 1st, 2022