[年报]小商品城(600415):2024年年度报告（英文版）
原标题:小商品城:2024年年度报告（英文版） ZhejiangChinaCommoditiesCityGroup Co.,Ltd. 2024AnnualReport ImportantNote I. TheBoardofDirectors,theBoardofSupervisorsandthedirectors,supervisorsandsenior management of the Company hereby warrant the truthfulness, accuracy andcompletenessofthecontentsoftheAnnualReport,guaranteethattherearenofalserepresentations,misleadingstatementsormaterialomissionscontainedinthisAnnualReport,andarejointlyandseverallyresponsiblefortheliabilitiesoftheCompany.II. AlldirectorsoftheCompanywerepresentattheboardmeeting. III. Pan-ChinaCertifiedPublicAccountantsLLPhasissuedanauditor'sreportwithanunqualifiedopinionfortheCompany. IV. WANGDong,HeadoftheCompany,BAOHua,Principalinchargeofaccounting,andZHAODifang,Headoftheaccountingdepartment(AccountingManager),declarethattheywarrantthetruthfulness,accuracyandcompletenessofthefinancialreportintheannualreport. V. Theprofitdistributionplanforthereportingperiodortheplanforpublicreservefundsintosharecapitalthatwasapprovedbytheboardofdirectors Based on the total share capital on the equity registration date for the 2024 profitdistribution,acashdividendofRMB3.30(includingtax)willbedistributedforevery10shares.Based on the total share capital of the Company at the end of 2024, a total of RMB1,809,603,155.58(includingtax)incashdividendswillbedistributed.IfthereisachangeinthetotalsharecapitaloftheCompanybeforetheequityregistrationdateforequitydistribution,itisproposedtomaintainthepersharedistributionplanunchangedandadjustthetotaldistributionamountaccordingly. VI. Riskstatementwithforward-lookingrepresentations √Applicable □Notapplicable The forward-looking representations involved in this Report such as future plans anddevelopmentstrategiesdonotconstitutetheCompany’ssubstantialcommitmentstoinvestors.Investorsshouldpayattentiontoinvestmentrisks. VII. Is the Company’s cash occupied by its controlling shareholder or any of otheraffiliatesfornon-operationalpurposes? No VIII. Has the Company provided external guarantee in violation of the prescribeddecision-makingprocedures? No IX. Whethermorethanhalfofthedirectorscannotwarrantthetruthfulness,accuracyandcompletenessoftheannualreportdisclosedbytheCompany No X. Reminderofmajorrisks TheCompanyhasdescribedtherisksthatmayexistinthisReportindetails.Pleasereferto“PotentialRisks”in“SectionIIIDiscussionandAnalysisofManagers”ofthisReport.XI. Other □Applicable √Notapplicable TableofContents SectionI. Definitions................................................................................................................5 SectionII. CompanyProfileandFinancialHighlights..............................................................6 SectionIII. DiscussionandAnalysisofManagers...................................................................13 SectionIV. CorporateGovernance..........................................................................................59 SectionV. EnvironmentalandSocialResponsibilities...........................................................87 SectionVI. SignificantMatters.................................................................................................89 SectionVII. ChangesinSharesandShareholders................................................................104 SectionVIII. PreferredShares..................................................................................................115 SectionIX. Bonds...................................................................................................................116 SectionX. FinancialReport...................................................................................................128
I. Definitions ForthepurposeofthisReport,unlessotherwisestatedinthecontext,thefollowingtermsshall
I. Companyprofile
√Applicable □Notapplicable 1.TheoperatingrevenueincreasedbyRMB4.438billionYoY,mainlyduetotheYoYincreaseintherevenuefrommarketoperations,andnewbusinessessuchasChinagoodsandYiwuPay,aswellassalesofgoods. 2.ThenetprofitattributabletoshareholdersofthelistedcompanyincreasedbyRMB397millionYoY,mainlyduetoaYoYincreaseofRMB1.389billioninthenetprofitfrommarketoperationsandnewbusinesses,aYoYdecreaseofRMB805millionintheinvestmentincome,andaYoYdecreaseofRMB187millioninthenetprofitduetothereversalofanticipatedliabilitiesfromthepreviousperiodandtheexpropriationofBinwangDigitalCity.3. The net profit attributable to shareholders of the listed Company after deduction ofnon-recurring gains and losses increased by RMB 514 million YoY, mainly due to a YoYincreaseofRMB397millioninthenetprofitattributabletoshareholdersofthelistedCompanyandaYoYdecreaseofRMB117millioninnon-recurringgainsandlosses.4.ThenetcashflowgeneratedfromoperatingactivitiesincreasedbyRMB2.646billionYoY,mainlyduetoaYoYnetincreaseofRMB3.286billionincashreceivedfromthesaleofgoodsandtheprovisionofservices,andaYoYincreaseofRMB494millioninvarioustaxespaid.VIII. DifferencesinaccountingdatabetweenforeignandChineseaccountingstandards(i) DifferencesbetweenthenetprofitandnetassetsattributabletoshareholdersoftheCompanydisclosedinaccordancewithinternationalaccountingstandardsandChinaaccountingstandardsinthefinancialreport □Applicable √Notapplicable (ii) DifferencesbetweenthenetprofitandnetassetsattributabletoshareholdersoftheCompany disclosed in accordance with overseas accounting standards and Chinaaccountingstandardsinthefinancialreport □Applicable √Notapplicable (iii) Explanationofdifferencesbetweendomesticandoverseasaccountingstandards□Applicable √Notapplicable IX. Keyfinancialindicatorsbyquarterin2024
X. Non-recurringitemsandamountsthereof √Applicable □Notapplicable
thePublic-NonrecurringProfitandLossasnonrecurringprofitandlossitemswithsignificantamounts,andforcompaniesthatdefinenonrecurring profitandlossitemslistedintheExplanatoryAnnouncementNo.1onInformationDisclosureofCompaniesIssuingSecuritiestothePublic-Non recurringProfitandLossitemsasrecurringprofitandlossitems,thereasonsshouldbeexplained.□Applicable √Notapplicable XI. Itemsmeasuredatfairvalue √Applicable □Notapplicable
□Applicable √Notapplicable SectionIII. DiscussionandAnalysisofManagers I. Discussionandanalysisofoperation 2024markedatransformativeperiodforYiwuastheinauguralyear,acriticalyear,andayearofrelentlessprogressinitsmissionto"forgenewparadigmsandreinvigorateprosperity".Duringthisperiod,Yiwu'smarketssustainedrobustgrowthmomentum,withtheGlobalDigitalTrade Center unveiling five priority sectors and launching comprehensive global tenantrecruitmentinitiatives.The"OverallPlanforDeepeningComprehensiveInternationalTradeReformsinYiwu,ZhejiangProvince"(G.B.H.[2024]No.93)receivedofficialapprovalfromtheStateCouncil,presentingsignificantdevelopmentalopportunitiesfortheCompany.Withinthe reportingperiod,adheringtoitscorporate missionof"BecomingaGloballyRenownedComprehensiveInternationalTradeServiceProvider",theCompanyfocusedonfour core strategies: upgrading physical markets, enhancing trade services, building digitalecosystems,andexpandingglobalpresence.Theseeffortsdeliveredall-roundimprovementsinoperational scale, business quality, profitability, and global brand influence. In 2024, theCompanyachievedanannualrevenueofRMB15.737billion,up39.27%YoY;thenetprofitattributabletoshareholdersreachedRMB3.074billion,up14.85%YoY;andtheweightedaveragereturnonequity(ROE)stoodat16.10%,withcorefinancialindicatorscontinuouslyreachingrecordhighsyearafteryear. (i) Focus on the main business, shoulder the main responsibilities, andacceleratetheiterationandupgradationofthephysicalmarket 1. Themarketremainsprosperous Yiwu International Trade City recorded a customer flow of 224,300 person-times, up12.15% YoY; daily vehicle traffic reached 99,000 times, up 5.48% YoY; and daily foreignbusinessvisitsexceeded3,900,up17.22%YoY.Theannualmarketattractedover1millionglobal buyers from more than 230 countries and regions, with key visitor metrics hittingdecade-highrecords.TheprocurementsharefromemergingmarketssuchastheMiddleEast,SoutheastAsia,andLatinAmericacontinuedtorise. (Figure1.YiwuInternationalTradeCityCustomerFlowfrom2021to2024)The Company persistently promoted product standardization and innovation-drivendevelopment in the market. It deepened the implementation of the national-level serviceindustrystandardizationpilotprogram,added5newindustrygroupstandardsand10Englishstandardsforsmallcommodities,whilecompletingcertificationforover20,000products.The7thInternationalSmallCommoditiesCreativeDesignCompetitionattractedparticipationfrom355 universities worldwide, collecting over 5,900 entries. It incubated over 50 blockbusterdesigns,drivingsalesgrowthexceedingRMB10millionincategorieslikehouseholditemsandfashionaccessories,demonstratingremarkabledesignpremiumeffects.2. The construction of the Global Digital Trade Center has been comprehensivelyaccelerated The Global Digital Trade Center project integrates five functional modules: markets,commercialofficebuildings,DigitalBrain,apartments,andcommercialdistrict.Itincorporatesdigitalinfrastructureandservices,integratingdesign,manufacturing,exhibition,trading,tradefulfillment,andupstream/downstreamlinksofthesmallcommodityindustrychaintojointlyformanewdigitaltradeecosystem.Duringthereportingperiod,theconstructionoftheGlobalDigitalTradeCenterhasbeencomprehensivelyaccelerated,withkeyprogressmilestonesasfollows:(1)Market:Mainstructureshavebeenfullycapped.Industriallayoutplanninghasbeencompleted.ItsopeningisscheduledforOctober2025. (2) Commercial Office Buildings: Buildings 3-7 made their debut in November 2024,creatingasensationwithasold-outperformanceimmediatelyuponlaunch.(3)DigitalBrain:Basicinfrastructurehasbeenestablished.Designedasaglobalsmall commoditytradedatatradingcenter,digitaltradescenarioexhibitioncenter,andnewproduct launchcenter,itisscheduledtobeputintooperationinApril2026. (4)Apartments:Mainstructureshavebeencapped.Itisscheduledtobeputintoserviceby Q12026. (5)Commercialdistrict:63%ofthetotalconstructionworkhasbeencompleted.Allprimary andsecondarystructureshavebeenfullycompleted.Itsfinalcompletionisscheduledforearly2026. (Figure2.DiagramofFiveFunctionalSectorsofGlobalDigitalTradeCenter)(ii) Focus on transformation, seize opportunities in digital trade, and speed upempowermentthroughnewtechnologiesandapplications Duringthereportingperiod,theChinagoodsplatformsawitsregisteredbuyersexceed4.8million.TheCompanyleveragedAI-generatedcontent(AIGC)toempowersmallcommoditytradingapplications,coveringkeytradelinkssuchasproductdisplay,tradematching,andtrafficmarketing,helpingmerchantsreducecostsandincreaseefficiencywhilepromotingdeepintegrationoftraditionalmarketswithforeigntradeecosystems. TheAI-powered"DigitalLadyBoss"persona,createdbyAI-empoweredphysicalbusinessoperators,hasbecomeawell-knownIP,recognizedbyCCTVasarepresentativecaseofneweconomictransformation.Over19,000newmerchantshaveadoptedAIproductsdevelopedbytheCompany,withover220,000servicedeliveriesprovided.Sixdigitaltoolssuchas"intelligentproductrecommendation"and"AImultilingualcustomerservice"wereindependentlydevelopedbytheCompany. SinceOctober2023,theChinagoodsplatformhasreleasedaseriesofAI-powereddigitalapplications,includingXiaoshangAIVideoTranslation,XiaoshangAITranslator,XiaoshangAIStoreAssistant,XiaoshangAIDesigner,AIIndependentWebsite,XiaoshangAIBusinessCard, andXiaoshangAIVideoCreation.Theseapplicationshaveaccumulatedover1billionusage andaccessinstances,withover200,000users.Privatedomaintrafficactivityamongbusiness operators increased by 72%, and orders from intensive users grew by over 20%. The Chinagoods platformhas established a unified member system,linking the Company'ssix businessscenariosincludingthemarketsector,exhibitionsector,hotelsector,ICMALLand FingerCanteenbrands,aswellasforeignbusinessrestaurantservices,anddevelopedthe "Yiwu CCC Membership" series of service applications. In 2024, Yiwu China Small CommoditiesCityBigDataCo.,Ltd.(operatoroftheChinagoodsplatform)achievedoperating revenueofRMB341millionandoperatingnetprofitofRMB165million,aYoYgrowthof 102.05%.(Figure3.ChronologyofYiwuas"AIForeignTradeCapital") (iii) Focusonservices,expandscenarios,andstrengthenthecoordinationandsupportofrelatedbusinesses 1. Exhibitionbusiness Duringthereportingperiod,YiwuChinaCommoditiesCityExhibitionCo.,Ltd.(hereafterreferredtoas"CCCExhibition")achievedoperatingrevenueofRMB141millionandnetprofitof RMB 32 million. Adhering to the business philosophy of "two-way empowerment andintegratedexhibitionhosting",CCCExhibitiondeepeneddomestic-foreignlinkageanddigitalinnovation, achieving dual breakthroughs in scale expansion and quality improvement.Throughouttheyear,55exhibitioneventswereheldwithatotalexhibitionareaexceeding1millionsquaremeters,attractingover1.8millionbuyersandgeneratingintendedtransactionvolumeexceedingRMB30billion,furtherenhancingYiwu'sreputationasaleadingcityintheexhibition industry. Major domestic exhibitions such as the China Yiwu InternationalCommoditiesFair,China Yiwu CulturalandTourismProductsTradeFair,andChinaYiwuInternationalHardware&ElectricalAppliancesTradeFairwereheld.Amongthem,the30thChinaYiwuInternationalCommoditiesFairsetup3,900internationalstandardbooths,withover 2,500 exhibiting enterprises, covering 100,000 square meters of exhibition area, andattracting174,000professionalbuyers(including19,000overseasbuyers),generatingintendedtransaction volume of RMB 20.472 billion, marking a record high in exhibition scale. Theinfluenceofdomesticallycultivatedprojectshasbeenenhanced,within-depthdevelopmentofcultural derivatives serving leading clients such as Yiwu Museum and Jinchuan Group.ProductslikeHuangshanBamianHallSachetsandJimingPavilionFoldingLampswonthe"ZhejiangStyleGift"BronzeAwardandZhejiangCulturalandCreativeDesignEmergingAward,promotingtheformationofanintegrated"exhibition+culturalcreativity"ecosystem.In2024,CCCExhibitionwasratedasa"LeadingEnterpriseinZhejiang'sServiceIndustry".2. Hotelbusiness During the reporting period, the Company's hotel business focused on "resourceintegration, platform empowerment, and innovative breakthroughs", deepening businesssynergyanddigitalupgradestoenhancebrandvalueandoperationalquality.In2024,thehotelbusiness(including entrusted hotels)achieved revenue ofRMB 464 million. Through ESGactivities,IPderivativedevelopment,andbeveragescenariomarketing,thebrandimagewasstrengthened.Servicequalitywasupgradedwiththelaunchofacustomizedservicemodel,refining service standards to 300 itemsand completing the filming of 200 visualized SOPprocesses,establishingabenchmarkforservicecultureinthehotelindustry.Thetotalnumberofhotelmembersexceeded150,000,anincreaseof32%YoY.Memberdayactivities,privatedomainmarketing,anddirecte-commercechannelconnectionscontributedRMB10milliontothe hotel business revenue, with a 21% increase in channel marketing. The centralizedprocurementplatformachievedsignificantcostreduction,within-depthdigitaloperationsandPMSsystemupgrades.Themarket's"One-codePass"andChinagoodsplatformcoveredallscenarios,settinganewbenchmarkforplatformuseroperations.Basedontheconceptof"culture+tourism+food",the"OneStore,OneSpecialty;OneStore,OneDelicacy"themedactivitieswerelaunchedtobuildthe"YandooFood"brandandcontributetotheconstructionofaglobalfoodiecity.TheFingertipCanteenecologicalchainachievedstandardizedandscaledupgrades,withtheonlineconsumptionratioincreasingto49.24%. (iv) Focus on innovation, improve quality and upgrade, and accelerate thedeploymentofnewcommercialfacilities 1. Upgradingsmartlogisticssystem In2024,theCompany'scross-bordere-commercelogisticspark,spanningover300,000squaremeters,commencedfull-capacityoperations.The"SharedCloudWarehouse"modelachievedabusinessvolumegrowthexceeding70%.TheZhijieYuangangdigitalsupplychainplatformofficiallylaunchedits"Zuhuopai"serviceinMarch.In2024,itprovidedYiwumarketwithover100,000TEUofinternationallogisticsservicesfeaturingenhancedqualityandstablecapacity,markingaYoYgrowthofover100%.Thedigitalcross-bordersupplychainservicefulfillmentplatformwaslistedasa"2024KeyProjectforHigh-QualityDevelopmentofDigitalTradeinZhejiangProvince." 2. CapacityimprovementoftheComprehensiveBondedZone(CBZ) In2024,Yiwu ComprehensiveBondedZoneachievedanimportvolumeofRMB51.3billion,up35%YoY,ranking3rdamongCBZsinZhejiangProvinceandranking1stamongCBZsapprovedin2020.Fivenewbondedprocessingprojectsand15leadingcross-bordere-commerceplatformsweresigned.Fivemajorsupplychainbrandwarehouses,eachwithaninvestmentexceedingRMB100million,wereestablished.TheYiwuComprehensiveBondedZoneGlobalCentralWarehouseDigitalSupervisionPlatformprojectwasincludedinthe"2024Zhejiang Province Import High-Quality Development Project Plan." The ComprehensiveBondedZonecontinuedexpandingits"One-TimeInspection"initiative,involving27enterprisesand completing pre-inspections for 86 batches of imported food. Inspection efficiency wasenhancedthroughoptimizedprocesses,enablinglocalizedtestingofbird'snestandcoffee,significantly reducing turnaround time (localized testing rate increased by over 70%, andexternaltestingwasshortenedfrom30daystounder10days).PhaseIIoftheComprehensiveBondedZonesuccessfullypassedthefinalacceptanceinspectionforcustomslockdown,layingasolidfoundationforfutureimporttradeexpansion. 3. Re-upgradingcross-borderpaymentsystem By the end of the reporting period, Yiwu Pay achieved multiple breakthroughs incross-borderfinance.In2024,totalcross-bordercollectionexceededUSD4billion,up233%YoY,withnetprofitreachingRMB61.044million,a274.67%increase,surpassingoperationalexpectations.Sincelaunchingcross-borderpaymentservicesin2023,theplatformhasbuiltaglobalnetworkcoveringover160countriesandregions,openingcross-borderaccountsfor23,000 foreign trade enterprises and completing over 37,000 cross-border paymenttransactions,withcumulativetransactionvolumeexceedingUSD5billion.Incross-borderfinancialinnovation,YiwuPaypartneredwithBankofChinatoestablishChina'sfirst "e-CNY B2B Cross-Border Settlement Platform," upgrading cross-border tradesettlementstoadigitalcurrencysystem.CollaborationwithIndustrialandCommercialBankofChinacompletedthefirstreal-timesettlementtransactionconvertingUAEDirham(AED)toChineseYuan(CNY)viatheMonetaryBridge,markinganeweraof"zeroexchangeloss,real-timesettlement"forcross-bordertradebetweentheMiddleEastandChina.Intermsoftechnologicalinnovationsystem,theplatformintegratesbigdataandmachinelearningalgorithmstobuilda"Trinity"intelligentpaymentecosystem.Attheinfrastructurelayer,encryptiontechnologyensuressecureend-to-endtransactiondatatransmission.Attheriskcontrollayer,anintelligentriskmanagementsystemswiftlyidentifiessuspicioustransactions.At theoperationalsupportlayer,acompliance,riskcontrol,andanti-moneylaunderingexpert teamprovides7×24emergencyresponse,safeguardingpaymentsecurity. TheseinnovationsdemonstratethatYiwuPayhasestablishedafull-chaindigitalfinancial ecosystem covering cross-border settlements, currency hedging, trade financing, and data services,providingrobustfinancialinfrastructureforSMEs'globalexpansion.(Figure4.GlobalcurrenciesonYiwuPayandlocalaccount-supportedcurrencies)(v) Focusonopenness,expandscopeandincreaseefficiency,andacceleratethepaceofmarketbrandsglobalization In2024,theCompanyfurtheradvancedtheYiwuMarketProject,preciselyaligningwithinternational market dynamics to fully promote the reach of small commodities to broadermarkets: 1. ContinuouslyexpandinggloballayoutofYiwuMarketProject.In2024,therewere23newoverseasprojects,including4overseaswarehousesinLosAngeles(U.S.),Tokyo(Japan),Madrid(Spain),etc.;5overseasshowroomsinMoscow(Russia),S?oPaulo(Brazil),etc.;7internationalexhibitionsheldinSouthKorea,Cambodia,Mexico,etc.,withover300exhibitorsandexhibitionareasexceeding12,000squaremeters;and5overseaswebsitesofSouthKorea,Russia,Brazil,Vietnam,andTanzanialaunched.Duringthereportingperiod,atotalof46YiwuMarketProjectsweredeployedacross20countriesandregions,cumulativelyassistingover5,000businessestoaccessglobalmarketsandenablingpreciseproductexposureof700,000+SKUstooverseasbuyers. 2. OptimizingandupgradingYiwuMarketProjectwitha"comboapproach"Focusedonexploringthewarehouse-styleexhibitionandsalescentermodel,theCompanynewlyopened2centersinDubai(UAE)andHoChiMinhCity(Vietnam).TheCompanyalsoorganizedover9,000SKUsamplesacross2,500+m2,introduced"YiwuGoodProducts"brands,attractedinnovativeindustries,optimizedbusinessmodels,andunlockednewgrowthpotential.(Figure5.GlobalLayoutofYiwuMarketProjects) (vi) FocusonYiwuIndex,iteratemodels,anddeepentheopenutilizationofdataresources In 2024, the “Yiwu Index” model underwent optimization and upgrade By integratinginternalandexternalresources,theYiwuIndexteamexpandedmodelindicators,optimizedweighting, formulated sampling product rotation rules, and adjusted the commodityclassificationsystem.Theupgraded"YiwuIndex"modelbroadeneddatasources,enrichingitwith over30 modelindicators, expanding small commoditycategoriesfromthe original 15Level-1categoriesand1,964Level-4categoriesto16Level-1categoriesand3,508Level-4categories,providingamorecomprehensiveandaccuratereflectionofsmallcommoditypricesandmarketconditions. By the end of the reporting period, the upgraded index information newsletter hadpublished2issues,featuringover20originalin-deptharticlesand1industry-specificresearchreport, with over 6,000 copies distributed to relevant government departments, researchinstitutions,ChinaYiwuInternationalCommoditiesFairclients,marketchambersofcommerce,purchasers,andbusinessoperators.TheYiwuIndex2.0websitewasconstructedtofurthercategorize and classify data granularity and access permissions. The Yiwu Index officialWeChat account was restructured to achieve precise content delivery and efficientdissemination through the platform, providing comprehensive business information togovernmententitiesandtradeprofessionalstohelpthemstayupdatedonglobalmarkettrends.In 2023, the Company signed a strategic cooperation agreement with People's Data,successfullycompletingdatarightsconfirmationforYiwuIndex-relateddatawiththesupportofthe"People'sChain"andobtainingthe"FirstCertificateforDataonSmallCommodities."In2024,theGroupcollaboratedwiththird-partyinstitutionstosortoutdataassetcardsacrossvariousbusinesslinesandconductedmeasurementandanalysisforon-balancesheetdataresources. By the end of the reporting period, recognized data resource of the CompanyamountedtooverRMB26million. (vii) Focusonsharing,leveragepilotprograms,andenhancetheinnovativedevelopmentofimporttrade In2024,theCompanyproactivelyadvancedthepilotprogramforinnovativedevelopmentofimporttrade, launching the "Positive ListSupervision PlatformforImported Goods."OnDecember 25, the first transaction under the import trade innovation pilot program wassuccessfullyexecuted.Withintheyear,theCompanyobtainedqualificationsforusedvehicleexports,integratedautomotivebrandresourcestoestablishurbanshowrooms,andsteadilyincreased business volumes. Additionally, the "ICMALL Global Goods Collection Stores"expandedby11locations,reachingatotalof24stores. (viii) Focusongreeninitiatives,energyconservation,andconsumptionreduction,andstrengthenthefoundationforsustainableandstabledevelopment.Throughout2024,98internalcontrolprocesseswereoptimized,and100%ofpaymentoperationspassedthecentralbank'santi-moneylaunderingaudit,withnocomplianceincidentsreported. Significant progress was made in establishing the Environmental, Social, andGovernance(ESG)managementsystem.Bytheendofthereportingperiod,theCompany'srooftopdistributedphotovoltaicpowerstationshadaninstalledcapacityof65MWp,generatingover46.9millionkWhofelectricityandreducingCO?emissionsby38,500tons.Annualgreenelectricitypurchasesexceeded120millionkWh,andrecycledwaterusagesurpassed1milliontons,demonstratingtheintegrationofgreendevelopmentprinciplesintoalloperationalaspects.Forthefiscalyear2024,theCompanyproposedadividendofRMB3.30per10shares(tax-inclusive),reflectingadividendpayoutratioof58.87%.Overthethree-yearperiodfrom2022 to 2024, a total of RMB 3.263 billion in dividends were distributed (the 2024 profitdistributionplanissubjecttoapprovalbytheCompany'sshareholders'meeting).II. DescriptionoftheindustryoftheCompanyduringthereportingperiodAccording to the definitions in the Guidelines for Industry Classification of ListedCompanies(revisedin2012)releasedbytheCSRC,theCompanyisengagedin“BusinessService”(L72)in“LeaseandBusinessService”(L). Asagloballyrenownedsmallcommoditytradingcenter,YiwuInternationalTradeCityhasmaintainedaleadingpositioninthecomprehensivemarketinChinaformanyyearsduetoitshugemarkettransactionvolumeandwidevarietyofgoods.TheYiwumarkethasnotonlyformedastrongindustrialclustersupportinthefieldofsmallcommoditycirculation,butalsodriventhedevelopmentof2.1millionsmallandmedium-sizedenterprisesandemploymentof32millionindustrialworkersthroughitsinfluencein233countriesandregionsworldwide.ThesignificantcharacteristicsoftheYiwumarketcanbesummarizedfromthefollowingaspects: 1. Active market entities: The Yiwu market is an important practical platform for theconceptof"massentrepreneurshipandinnovation".Itnotonlydrivesthedevelopmentofmorethan20industrialclustersand2.1millionsmallandmedium-sizedenterprisesacrossChina,butalsoattractsover20,000residentforeignmerchantsandnearly9,000foreign-ownedentities.ThesenumbersmakeYiwuanimportantgatheringplaceforglobalmerchants,knownasthe"WorldSupermarket".Thereareover200,000marketpractitioners,75,000operatingshops,andatotalofover1.15millionmarketentities. 2. Awiderangeofgoods:Astheworld'slargestsmallcommoditydistributioncenter,Yiwumarketgathers26majorcategoriesand2.1milliontypesofproducts,formingan"oceanofsmallcommoditiesand paradiseforshoppers". More than ten thousand newproductsarelaunchedeveryday,andthequality,brandandstandardofsmallcommoditiesareexportedtotheworld,becomingtherepresentativeof"China-chictrend"and"supplyplaceforbestsellinggoods". 3. Innovativebusinessscenarios:TheYiwumarketisanimportantbirthplaceofinnovationintradebusinessscenarios.Thepioneeringmarketprocurementtrademethod(withacustomssupervisionmethodcodeof"1039")hasdrivena7-foldgrowthinYiwu'sforeigntradeexportsinthepastdecadeandhasbeenpromotedto39pilotunitsinChina.Newbusinessformssuchasimport transshipment, internet celebrity live streaming, and cross-border e-commerce areconstantly emerging, forming an e-commerce ecosystem for the full industry chain. TheintegrationanddevelopmentoftherealeconomyanddigitaleconomyhaveenabledYiwutocontinuetoleadthenewtrendofglobaltrade. 4. High-quality trade ecology: Yiwu market is the preferred place for merchants andenterprisestotradesmallcommodities.Sincethepilotprogramofcomprehensivereformininternationaltrade,Yiwuhasformedmultiplenational-levelopenplatforms,includingtheFreeTradeZone,ComprehensiveBondedArea,Cross-borderE-commerceComprehensivePilotArea,andImportTradePromotionInnovationDemonstrationArea.InDecember2024,Yiwuwasapprovedforanewroundofpilotreformsininternationaltrade.Thelogisticsnetworkhascovered over 1,500 counties and cities across China and over 700 hub cities worldwide.Government, business, and life services are in line with international standards, providingcomprehensive "customs, taxation, currency exchange, transportation, warehousing andfinancing"services,withcontinuouslyoptimizedthebusinessenvironment.TheYiwumarket,asakeyplatformconnectingdomesticandinternationaltradesupplychains,occupiesacorepositionintheglobalsmallcommoditysupplychainandplaysacrucialrole in promoting internal circulation, enhancing external circulation, and serving the newdevelopmentpatternof"dualcirculation".Asaleaderanddemonstrationsiteofnationalmarketprocurementtrademethod,Yiwuhasmaintainedhigh-speedgrowthfor10consecutiveyears,effectivelystimulatingthevitalityofmarketentitiesandfurtherimprovingtheleveloftradefacilitation. In2024,Yiwurecordedatotalimport-exportvolumeofRMB668.93billion,surging18.2%YoY.ThiscomprisedexportsofRMB588.96billion,up17.7%YoY,andimportsofRMB79.97billion,up22.2%YoY.Thesefiguresrepresented12.7%,15.1%,and5.9%oftheprovincialtotalsforoveralltrade,exports,andimportsrespectively.Notably,Yiwucontributed26.1%toZhejiangProvince’sexportgrowth,rankingNo.1amongallregions.Yiwucontinuouslygathersnew momentum in foreign trade by exploring emerging markets, building high-level openplatforms,andcultivatingandstrengtheningadvantageousindustries.In2024,Yiwu’stradewithAfrica,LatinAmerica,andASEANreachedRMB122.09billion,RMB111.67billion,andRMB64.05billionrespectively,postingYoYgrowthratesof16.4%,24.4%,and26.2%.Overthesameperiod,totaltradewithBeltandRoadInitiative(BRI)countriesamountedtoRMB413.34billionup18.2%YoY,accountingfor61.8%ofYiwu’soverallimport-exportvalue.Themarketprocurement trade model delivered remarkable results in 2024, with exports reachingRMB471.76 billion, up 21.5% YoY, representing 80.1% of Yiwu’s total exports. Yiwu istransitioningfromanationalhubfordailyconsumergoodstradetoaregionalcomprehensivetrade hub serving member states of the Regional Comprehensive Economic Partnership(RCEP). TheCompanyintegratesmarketresourcesthroughdigitalmeans,connectsvariouslinksinthesupplychain,improvestheefficiencyofcommoditycirculation,andpromotestheiterativeupgradeofmarketprocurementtrademethodtoVersion2.0.MarketprocurementtrademethodhasbecomethemainforcedrivingthegrowthofYiwu'sexports.SoutheastAsia,theMiddleEast,andLatinAmericacontinuedtodominateYiwu’stradepartnerships,whileAfricaandASEANemergedasfast-growingmarkets.CountriesintheBeltandRoadInitiative(BRI)andRCEP regions remain key drivers of new opportunities for Yiwu. “AI Globalization”, “RMBInternationalization”and"YiwuMarketProject"havebecomenewhighlightsoftheYiwumarket.In2024,Yiwuattracted53,000collegegraduatesandadded75,000skilledworkers,bothNo.1inZhejiangProvince.Thecityalsorecorded569,000inboundforeignbusinessvisits,up55%YoY,ahistorichigh.Theexpressdeliveryvolumereached12.6billionpieces,rankingsecond in China. During the year, Yiwu opened new air-to-air customs transit routes:Yiwu-Chengdu-LosAngelesandYiwu-Manila.Itwasapprovedasa10-daytransitvisa-freeport(240hours),whileitsairportachieved3millionannualpassengersforthefirsttime,withaircargovolumeup49%andinternationalcargoup141.2%. Bytheendof2024,Yiwuhadover1.15millionregisteredmarketentities,rankingfirstamong China’s county-level cities. In terms of sectoral distribution, the majority of marketentitiesinYiwuareengagedinthewholesaleandretailtradesector,whichconstitutes74.55%ofthetotal.TheYiwuInternationalTradeCity,withover2.1millionSKUofproducts,coversnearlyeveryaspectofdailylife,providingarobustsupplyfoundationforthedevelopmentofwholesale and retail sectors. By leveraging its market advantages, diverse product range, industrialheritage,policy-drivenbusinessenvironment,logisticsconnectivity,e-commerceand digitalinnovation,andglobalizationstrategies,Yiwu’swholesaleandretailindustriesmaintain stronggrowthmomentum. Regardingtheentitytype,72.04%ofbusinessesareindividual-owned,reflectingYiwu’s vibrantgrassrootsentrepreneurialspirit.(Figure6.ClassificationofbusinessesinYiwuin2024) III. DescriptionofthebusinessoftheCompanyduringthereportingperiod(1)MainbusinessoftheCompany The Company is committed to building a shared trade service platform for small andmedium-sized enterprises in China, with a strategic positioning of a "Globally RenownedIntegratedServiceProviderforInternationalTrade",continuouslyenrichingandimprovingthethree major ecosystems: commodity display and trading ecosystem, supporting servicesecosystem,andtradeservicesecosystem,inordertoreducetradecosts,shortentradechains,improvetradeefficiency,continuouslycreatevalueforthecirculationofsmallcommodities,strengthenandconsolidatetheadvantageouspositionofChina'sdailyconsumergoodssupplychaininglobaltrade,andservethenewdevelopmentpatternofdomestic-internationaldualcirculation.（未完）  |