Jiangsu Xinquan Auto Trim Co., Ltd. Announcement of the resolution of the fifth meeting of the fourth board of directors

Stock code: 603179 Stock abbreviation: Xinquan Stock Announcement number: 2021-081

The Board of Directors and all Directors of the Company warrant that the contents of this announcement are free from any misrepresentation, misleading statement or material omission and accept sole and several liability for the truthfulness, accuracy and completeness of the contents.

1. The convening of the board of directors meeting

The notice and meeting materials of the fifth meeting of the fourth board of directors of Jiangsu Xinquan Automobile Trim Co., Ltd. (hereinafter referred to as the "Company") were sent out by personal delivery, email, etc. on October 7, 2021. The meeting was held on October 13, 2021 in the company's conference room in a combination of on-site and communication. The meeting shall be attended by 9 directors and 9 directors shall be physically present. The company's supervisors and senior management attended the meeting as observers. The notification, convocation and voting procedures of this meeting comply with the provisions of the Company Law and other relevant laws and regulations and the Articles of Association of the Company.

The meeting was presided over by Mr. Tang Zhihua, Chairman of the Board.

2. Deliberations of the board of directors meeting

(1) Deliberate and pass the "Proposal on < the Second Phase of the Employee Stock Ownership Plan (Draft) of Jiangsu Xinquan Automobile Trim Co., Ltd. > and its Summary"

In order to establish and improve the benefit sharing mechanism between workers and owners, so that the interests of employees and the long-term development of the company more closely integrated, further improve the level of corporate governance, improve the cohesion and competitiveness of the company, promote the long-term, sustainable and healthy development of the company, and fully mobilize the enthusiasm and creativity of the company's employees, in accordance with the Company Law of the People's Republic of China, the Securities Law of the People's Republic of China, the Guiding Opinions on the Pilot Implementation of Employee Stock Ownership Plans by Listed Companies and other relevant laws, administrative regulations, normative documents and other relevant laws, administrative regulations, normative documents and the " The relevant provisions of the Articles of Association of the Company, and combined with the actual situation of the company, the company intends to implement the second phase of the employee stock ownership plan and formulates the "Jiangsu Xinquan Automobile Trim Co., Ltd. Phase II Employee Stock Ownership Plan (Draft)" and its summary.

Mr. Tang Zhihua, Mr. Gao Hailong, Mr. Wang Bo, Mr. Zhou Xiong, Mr. Jiang Meixia and Ms. Li Xinfang, directors of the Company, are affiliated directors and have recused themselves from voting. Other non-affiliated directors participate in the voting on the proposal.

The independent directors expressed a concurring independent opinion.

For details, please refer to the "Jiangsu Xinquan Automobile Trim Co., Ltd. Phase II Employee Stock Ownership Plan (Draft)" disclosed by the company on the same day in the designated information disclosure media and its summary.

Voting result: 3 votes in favour, 0 votes against, 0 abstentions.

The proposal has yet to be submitted to the Company's first Extraordinary General Meeting of Shareholders in 2021 for consideration.

(2) Deliberate and pass the "Proposal on the < of the Administrative Measures for the Second Phase of the Employee Stock Ownership Plan> of Jiangsu Xinquan Automobile Trim Co., Ltd."

In order to standardize the implementation of the second phase of the company's employee stock ownership plan and ensure the effective implementation of the employee stock ownership plan, in accordance with the relevant laws, administrative regulations, rules, normative documents and the provisions of the Articles of Association, the "Jiangsu Xinquan Automobile Trim Co., Ltd. Phase II Employee Stock Ownership Plan Management Measures" were formulated.

For details, please refer to the "Administrative Measures for the Second Phase of the Employee Stock Ownership Plan of Jiangsu Xinquan Automobile Trim Co., Ltd." disclosed by the company in the designated information disclosure media on the same day.

(III) Deliberate and pass the "Proposal on Requesting the General Meeting of Shareholders to Authorize the Board of Directors to Handle Matters Related to the Second Phase of the Company's Employee Stock Ownership Plan"

In order to ensure the smooth progress of the Company's second phase of the employee stock ownership plan, the Board of Directors intends to request the General Meeting of Shareholders to authorize the Board of Directors to handle the relevant matters of the Company's Employee Stock Ownership Plan, including but not limited to the following matters:

1. Authorize the board of directors to be responsible for formulating and revising the employee stock ownership plan;

2. Authorize the board of directors to implement the employee stock ownership plan;

3. Authorize the Board of Directors to formulate and implement the change and termination plan of the employee stock ownership plan, including but not limited to disqualifying the holders and terminating the stock ownership plan in advance in accordance with the provisions of the stock ownership plan;

4. Authorize the board of directors to make a decision on the extension and early termination of the existence period of the employee stock ownership plan;

5. After the employee stock ownership plan is deliberated and approved by the shareholders' general meeting, if the relevant laws, regulations and policies change during the implementation period, the board of directors is authorized to make corresponding adjustments to the employee stock ownership plan in accordance with the new laws, regulations or relevant policies; if in the process of implementation, due to the suspension of trading of the company's stocks or the sensitive period of information, etc., the employee stock ownership plan cannot complete the trading of the company's stocks within the specified time, the board of directors of the company is authorized to extend the corresponding implementation period of the employee stock ownership plan;

6. Authorize the Board of Directors to handle all matters of locking, unlocking and allocating the shares purchased by the employee stock ownership plan;

7. Authorize the board of directors to draft and sign the relevant agreement documents with the employee stock ownership plan;

8. Authorize the board of directors to handle other necessary matters required for the employee stock ownership plan, except for the rights that need to be exercised by the shareholders' general meeting as expressly stipulated in the relevant documents.

Except for the above-mentioned authorized matters, except for the matters that are clearly stipulated by laws, administrative regulations, rules of the China Securities Regulatory Commission, normative documents, the employee stock ownership plan or the articles of association of the company that need to be passed by the board of directors, other matters may be directly exercised by the chairman of the board of directors or an appropriate person authorized by him.

The above authorization shall be effective from the date of approval by the Company's General Meeting of Shareholders to the date of termination of the second phase of the Company's ESOP.

(4) Deliberate and pass the "Proposal on Changing the Investment Direction of Part of the Raised Funds"

In order to improve the efficiency of the use of the raised funds and promote the development of R&D projects, it is agreed that the company will change the remaining uninvested raised funds of the Shanghai R&D center project of the non-public stock offering project to permanent supplementary working capital, and the Shanghai R&D center project will continue to be implemented and changed to its own capital investment. The Company will sign the Supplement to the Tripartite Supervision Agreement on the Storage of Funds Raised in Special Accounts with Bank of Suzhou Co., Ltd. Changzhou Branch and the sponsoring institution to clarify the above changes.

For details, please refer to the "Announcement of Jiangsu Xinquan Automobile Trim Co., Ltd. on Changing the Investment Direction of Part of the Raised Funds" disclosed by the company on the same day in the designated information disclosure media.

Voting result: 9 votes in favour, 0 votes against, 0 abstentions.

(5) Deliberate and pass the "Proposal on Changing the Registered Capital of the Company and Amending the > of the Articles of Association of the < Company"

As the Company's convertible bonds were redeemed and delisted from the Shanghai Stock Exchange on August 18, 2021, and the Company's Convertible Bonds were converted into shares, it was agreed to amend the relevant provisions of the Articles of Association on registered capital and the total number of shares in the Articles of Association of the Company and register the change of industry and commerce, after the completion of the registration of the change of industry and commerce, the registered capital of the Company will be changed to RMB374,847,670, and the total number of shares of the Company will be changed to 374,847,670 shares. In addition, in accordance with the relevant provisions of laws and regulations such as the Company Law, the Securities Law, the Guidelines for the Articles of Association of Listed Companies, and the Rules Governing the Listing of Stocks on the Shanghai Stock Exchange, and in light of the actual situation of the company, it was agreed to amend some provisions of the Articles of Association.

For details, please refer to the "Announcement of Jiangsu Xinquan Auto Trim Co., Ltd. on Changing the Registered Capital of the Company, Amending the Articles of Association of the < and the > of the Rules of Procedure of the Board of Directors and > of the Rules of Procedure of< the Board of Directors" and the "Amendment to the Articles of Association of jiangsu Xinquan Automobile Trim Co., Ltd." disclosed by the company on the same day in the designated information disclosure media.

(VI) Deliberate and pass the "Proposal on Amending the Rules of Procedure > of the Board of Directors of the board of directors of the < of the company"

As an annex to the Articles of Association, the Rules of Procedure of the Board of Directors are annexed to the Articles of Association of the Company, and the Company intends to amend the relevant provisions of the Rules of Association of the Board of Directors at the same time as it intends to amend the Articles of Association.

For details, please refer to the "Announcement of Jiangsu Xinquan Automobile Trim Co., Ltd. on Changing the Registered Capital of the Company, Amending the Articles of Association of the < and the> > of the Rules of Association of< the Board of Directors" and the "Rules of Procedure of the Board of Directors (Revised in October 2021)" disclosed by the Company on the same day in the designated information disclosure media.

(VII) Deliberate and pass the "Proposal on Convening the First Extraordinary General Meeting of Shareholders in 2021"

Agreed to convene the Company's first Extraordinary General Meeting of Shareholders in 2021 to consider the above-mentioned proposals to be submitted to the General Meeting of Shareholders for consideration.

The specific time, place, topics and other contents of the meeting can be found in the "Notice on Convening the First Extraordinary General Meeting of Shareholders in 2021" disclosed by the Company on the same day in the designated information disclosure media.

This is hereby announced.

Board of Directors of Jiangsu Xinquan Auto Trim Co., Ltd

October 13, 2021

Stock code: 603179 Stock abbreviation: Xinquan Stock Announcement number: 2021-082

Jiangsu Xinquan Auto Trim Co., Ltd

The resolution of the third meeting of the fourth session of the Board of Supervisors was announced

The Supervisory Board and all the Supervisors of the Company warrant that the contents of this announcement are free from any false records, misleading statements or material omissions, and assume individual and joint liability for the truthfulness, accuracy and completeness of the contents.

1. The convening of the meeting of the board of supervisors

The notice of the third meeting of the fourth session of the Supervisory Board of Jiangsu Xinquan Auto Trim Co., Ltd. (hereinafter referred to as the "Company") and the meeting materials were sent out by personal delivery and email on October 7, 2021. The meeting was held on October 13, 2021 in the company's conference room in a combination of on-site and communication. This meeting should be attended by 3 supervisors, and 3 supervisors should actually attend the meeting. The meeting was convened and presided over by Mr. Gu Xinhua, Chairman of the Supervisory Board of the Company. The convocation, convocation and voting procedures of this meeting conform to the provisions of the Company Law of the People's Republic of China and other relevant laws, regulations and the articles of association of the company, and the meeting is legal and valid.

2. Deliberations at the meeting of the board of supervisors

(1) Deliberate the "Proposal on the < of the Second Phase of the Employee Stock Ownership Plan (Draft) of Jiangsu Xinquan Automobile Trim Co., Ltd. > and its Summary"

The Supervisory Board considers that:

1. The Second Phase of the Employee Stock Ownership Plan (Draft) of Jiangsu Xinquan Automobile Trim Co., Ltd. and its summary comply with the provisions of the Company Law of the People's Republic of China, the Securities Law of the People's Republic of China, the Guiding Opinions on the Pilot Implementation of Employee Stock Ownership Plans by Listed Companies (hereinafter referred to as the "Guiding Opinions") and other laws and regulations, normative documents and the Articles of Association of the Company, and there is no harm to the rights and interests of the company and its shareholders.

2. The company does not have the prohibition of the implementation of employee stock ownership plans stipulated in laws and regulations such as the Guiding Opinions and relevant normative documents.

3. The implementation of the employee stock ownership plan is the participation of employees in accordance with the law, voluntary participation, and risk-bearer, and there is no violation of laws and regulations, there is no situation of apportionment, forced distribution, etc., and there is no plan or arrangement for the company to provide loans, loan guarantees or any other financial assistance to the holders of the employee stock ownership plan.

4. The list of holders of the employee stock ownership plan and the distribution of their shares comply with the provisions of relevant laws and regulations, and their qualifications as the holders of the company's employee stock ownership plan are reasonable and legal.

5. The company's implementation of the employee stock ownership plan is conducive to further establishing and improving the benefit sharing mechanism between workers and owners, improving the level of corporate governance, improving the company's long-term and effective incentive and constraint mechanism, improving the cohesion of employees and the company's competitiveness, effectively mobilizing the enthusiasm and creativity of employees, attracting and retaining excellent management talents and business backbones, and promoting the long-term, sustainable and healthy development of the company, which will not harm the interests of the company and all shareholders, and meet the needs of the company's long-term development.

Mr. Gu Xinhua, Mr. Zhang Jinggang and Mr. Qiao Qidong, supervisors of the company, participated in the employee stock ownership plan, are related supervisors, have recused themselves from voting, the board of supervisors can not form a resolution, this proposal is directly submitted to the shareholders' general meeting for consideration.

(2) Deliberate the "Proposal on the < of the Administrative Measures for the Second Phase of the Employee Stock Ownership Plan> of Jiangsu Xinquan Automobile Trim Co., Ltd."

The Board of Supervisors believes that the Administrative Measures for the Second Phase of the Employee Stock Ownership Plan of Jiangsu Xinquan Automobile Trim Co., Ltd. conforms to the provisions of the Company Law of the People's Republic of China, the Securities Law of the People's Republic of China, the Guiding Opinions on the Pilot Implementation of Employee Stock Ownership Plans by Listed Companies and other relevant laws, administrative regulations, rules, normative documents and the Articles of Association of the Company, adheres to the principles of fairness, justice and openness, and can ensure the smooth implementation of the company's employee stock ownership plan.

(III) Deliberate and pass the "Proposal on Changing the Investment Direction of Part of the Raised Funds"

The Board of Supervisors believes that the company's change in the investment of some of the raised funds, the content and procedures comply with the provisions of relevant laws, regulations and rules and regulations, which is conducive to improving the efficiency of the use of the raised funds. There is no harm to the interests of shareholders. The company's behavior of changing the investment direction of part of the raised funds is in line with the needs of the company's development interests and the need to safeguard the interests of all shareholders. The Supervisory Board of the Company agreed to change the investment direction of some of the raised funds.

The proposal has yet to be submitted to the Company's General Meeting of Shareholders for consideration.

Supervisory Board of Jiangsu Xinquan Auto Trim Co., Ltd

Stock code: 603179 Stock abbreviation: Xinquan Stock Announcement number: 2021-083

Summary of the second phase of the employee stock ownership plan (draft).

February 21, October

statement

The Company and all members of the Board of Directors warrant that the ESOP and its summary are free from misrepresentation, misleading statements or material omissions, and assume sole and joint liability for its truthfulness, accuracy and completeness.

Risk Warning

1. The company's employee stock ownership plan can only be implemented after being approved by the company's shareholders' general meeting, and there is uncertainty about whether the employee stock ownership plan can be approved by the company's shareholders' meeting;

2. The source of funds, capital contribution ratio, implementation plan, etc. of the employee stock ownership plan are preliminary results, and there is still uncertainty;

3. If the employee subscription fund is low, there is a risk that the employee stock ownership plan will not be established;

4. The stock price is affected by a variety of complex factors such as the company's operating performance, macroeconomic cycle, international/domestic political and economic situation and investor psychology. Therefore, stock trading is an investment activity with certain risks, and investors should be fully prepared for this.

Investors are advised to make prudent decisions and be aware of investment risks.

Special tips

1. The Second Phase of the Employee Stock Ownership Plan (Draft) of Jiangsu Xinquan Auto Accessories Co., Ltd. (hereinafter referred to as the "Employee Stock Ownership Plan") is formulated in accordance with the Company Law of the People's Republic of China, the Securities Law of the People's Republic of China, the Guiding Opinions on the Pilot Implementation of The Employee Stock Ownership Plan by Listed Companies, the Guidelines for the Disclosure of Information on the Employee Stock Ownership Plans of Listed Companies on the Shanghai Stock Exchange, and other relevant laws, regulations, normative documents, and the Articles of Association of Jiangsu Xinquan Automobile Trim Co., Ltd.

2. Jiangsu Xinquan Automobile Trim Co., Ltd. (hereinafter referred to as the "Company") employee stock ownership plan (hereinafter referred to as the "employee stock ownership plan") participates in the following objects: the company's directors (excluding independent directors), supervisors, senior management, the company and its subsidiaries' core business, technology, management and other employees identified by the board of directors, the total number of employees does not exceed 600 people, the specific number of participants is determined according to the actual contributions of employees. The board of directors of the company may adjust the list of employees participating in the employee stock ownership plan and the distribution ratio according to the change of employees and the assessment of the situation.

3. Source of funds for the employee stock ownership plan: The self-financing source of the holder of the employee stock ownership plan is its legal remuneration and other methods permitted by laws and regulations, and the amount of capital contribution shall not exceed 150 million yuan, the actual controller shall provide no more than 150 million yuan to the employee stock ownership plan in accordance with the ratio of 1:1, and the total amount of funds raised by the employee stock ownership plan shall not exceed 300 million yuan.

Fourth, the employee stock ownership plan adopts a self-management model, and the employee stock ownership plan has a management committee to be responsible for the specific management of the employee stock ownership plan.

5. The ESOP will acquire and hold the underlying shares through secondary market purchases (including but not limited to auction transactions, block trades, etc.) or other methods permitted by laws and regulations, and complete the purchase of the underlying shares within 6 months after the approval of the ESOP by the shareholders' general meeting.

6. The duration of the employee stock ownership plan is 36 months, calculated from the date of deliberation and approval of the employee stock ownership plan by the shareholders' general meeting. After the expiration of the existence period, the current shareholding plan is terminated, and it can also be extended after the employee stock ownership plan management committee submits it to the board of directors for consideration and approval.

7. The lock-up period of the employee stock ownership plan is 12 months, calculated from the date when the company announces the registration and transfer of the last subject stock to the name of the employee stock ownership plan.

8. The total number of shares held in this employee stock ownership plan shall not exceed 10% of the total share capital of the company, and the number of shares corresponding to the shares of the employee stock ownership plan held by a single employee shall not exceed 1% of the total share capital of the company. The total number of shares held by the ESOP excludes shares acquired by employees prior to the listing of the Company's initial public offering, shares purchased on their own initiative through the secondary market, and shares acquired through equity incentives.

9. Before the company implemented the employee stock ownership plan, it has solicited the opinions of employees through the employee representative assembly. After the Board of Directors of the Company has deliberated on the ESOP and has no objections, the Company will issue a notice of convening a general meeting of shareholders to consider the ESOP. The company's shareholders' meeting to consider the employee stock ownership plan will adopt a combination of on-site voting and online voting. After approval by the general meeting of shareholders, the company's management is authorized to implement it.

10. After the implementation of the employee stock ownership plan, it will not lead to the company's equity distribution not meeting the requirements of the listing conditions.

paraphrase

Unless otherwise indicated, hereinafter referred to herein, the following interpretations are made:

In this article, if the total does not match the sum of the sub-values, it is due to rounding.

First, the purpose of the employee stock ownership plan

In order to establish and improve the benefit sharing mechanism between workers and owners, so that the interests of employees and the long-term development of the company more closely combined, further improve the company's corporate governance structure, promote the company to establish, improve the long-term effective incentive and constraint mechanism, fully mobilize the enthusiasm and creativity of managers and employees, attract and retain outstanding talents and business technology backbone, improve the cohesion of the company's employees and the company's competitiveness, and ensure the company's long-term and stable development.

2. Participants and Criteria for Determination

(1) Participants and criteria for determination

1. According to the Relevant Provisions of the Company Law, the Securities Law, the Guiding Opinions, the Work Guidelines and other relevant laws, regulations, normative documents and the Articles of Association of the Company, the participants of the employee stock ownership plan shall be the formal employees of the company or the subsidiaries within the scope of the company's consolidated statements, and the participants should work full-time in the company or its subsidiaries, sign labor contracts and receive remuneration. The board of directors of the company may adjust the list of employees participating in the employee stock ownership plan and the distribution ratio according to the employee changes and assessments.

2. The participants of the employee stock ownership plan shall meet one of the following criteria:

(1) Directors (excluding independent directors), supervisors and senior management of the company;

(2) The core business, technology, management and other personnel of the company and its subsidiaries;

(3) Other employees identified by the board of directors of the company.

3. Participants who meet the above standards participate in the employee stock ownership plan in accordance with the principles of legal compliance, voluntary participation, self-financing of funds and self-risk.

(2) The participation in the subscription of the employee stock ownership plan

The ESOP shall take "shares" as the subscription unit, with a total share of not more than 300 million shares, each share of 1 yuan, and the total amount of funds raised by the ESOP shall not exceed 300 million yuan. The total number of employees participating in the subscription shall not exceed 600, including 11 directors, supervisors and senior management personnel of the company who intend to participate in the subscription of the employee stock ownership plan, and the share to be subscribed is 48.6 million, accounting for 16.20% of the share of the employee stock ownership plan.

The specific shares of the Plan held by the participants and the proportion of the total shares are as follows:

The company's employees' final subscription share of the employee stock ownership plan is subject to the actual contribution paid by the employee, and the employee becomes the holder of the plan after the actual payment of the capital, if the subscription fund is not paid in full and on time, it is deemed to automatically waive the corresponding subscription right to subscribe and be subscribed by other eligible participants. The board of directors of the company may adjust the list of participants and their subscription shares according to the actual contributions of employees, and the final number of participants, the list and the share of subscription to the employee stock ownership plan shall be determined by the actual contributions of employees.

(3) Verification of the holder

The Supervisory Board of the Company will verify the list of holders and explain the verification at the General Meeting of Shareholders. The company hired a lawyer to express a clear opinion on whether the participants of the employee stock ownership plan, the source of funds and shares, the term and scale, the management model, etc. were legal and compliant, and whether the necessary review procedures were performed.

3. Sources and scale of funds and stocks

(1) The source of funds for the employee stock ownership plan

The self-financing source of the holder of the employee stock ownership plan is its legal remuneration and other methods permitted by laws and regulations, and the amount of capital contribution shall not exceed 150 million yuan, the actual controller shall provide a loan of not more than 150 million yuan to the employee stock ownership plan in accordance with the ratio of 1:1, and the total amount of funds raised by the employee stock ownership plan shall not exceed 300 million yuan. The Company does not provide financial assistance to employees or guarantee their loans.

(2) The source of shares in the employee stock ownership plan

The ESOP will acquire and hold the underlying shares through secondary market purchases (including but not limited to auction transactions, block transactions, etc.) or other means permitted by laws and regulations, and the purchase of the underlying shares shall be completed within 6 months after the approval of the ESOP by the general meeting of shareholders.

(3) The size of the underlying stock

Based on the maximum amount of funds raised by the ESOP of RMB300 million and the closing price of the Company's shares of RMB33.80 per share on October 13, 2021 as the average purchase price, regardless of the impact of relevant taxes, the ESOP is expected to purchase approximately 8,875,739 shares of the underlying shares, representing approximately 2.37% of the Company's current total share capital.

The total number of shares involved in all effective ESOP of the Company shall not exceed 10% of the total share capital of the Company, and the number of underlying shares corresponding to the shares of the ESOP held by any one holder shall not exceed 1% of the total share capital of the Company. The total number of shares held by the ESOP excludes shares acquired by employees prior to the listing of the Company's initial public offering, shares purchased on their own initiative through the secondary market, and shares acquired through equity incentives.

There is still uncertainty about the implementation of the employee stock ownership plan, the final share purchase situation is subject to the actual implementation, and the company will fulfill the information disclosure obligation in a timely manner according to the requirements.

4. Duration, lock-up period, change and termination of the employee stock ownership plan

(1) Duration of existence

1. The duration of the employee stock ownership plan is 36 months, calculated from the date of deliberation and approval of the employee stock ownership plan by the shareholders' general meeting, and the existence period of the employee stock ownership plan will be terminated after the expiration of the employee stock ownership plan.

2. The duration of the employee stock ownership plan may be extended two months before the expiration of the employee stock ownership plan after the approval of more than 2/3 of the shares held by the representatives attending the shareholders' meeting and submitted to the board of directors for consideration and approval.

3. If the company's shares held by the company cannot be sold before the expiration of the existence period due to the suspension of trading of the company's shares or the encounter with information sensitive periods, the duration of the employee stock ownership plan may be extended after the deliberation and approval of the holders' meeting and the company's board of directors.

(2) Lock-up period

The lock-up period of the ESOP is 12 months, calculated from the date on which the Company announces the transfer of the last subject stock to the name of the ESOP. Shares derived from the company's distribution of stock dividends, conversion of capital reserves into increased share capital, etc., shall also be subject to the above share lock-up arrangement.

The ESOP will strictly abide by the market trading rules, comply with the provisions of the China Securities Regulatory Commission and the Shanghai Stock Exchange on the prohibition of stock trading during the information sensitive period, and shall not buy or sell the company's shares during the following periods:

1. If the announcement date is postponed due to special reasons within 30 days before the announcement of the company's periodic report, it shall be from 30 days before the original announcement date to the final announcement date;

2. Within 10 days before the announcement of the company's performance forecast and performance express;

3. From the date of occurrence of major events that may have a significant impact on the trading price of the company's stock or in the decision-making process, to 2 trading days after the disclosure according to law;

4. Other periods stipulated by the China Securities Regulatory Commission and the Shanghai Stock Exchange.

Before deciding to buy or sell the company's shares, the management committee should promptly consult the secretary of the board of directors of the company whether it is in a sensitive period for stock trading.

(3) Changes to the employee stock ownership plan

During the period of existence of the Shareholding Plan, if there is a change in the source of funds, the source of shares, the management mode, etc. of the Shareholding Plan, it shall be approved by more than half of the valid voting rights present at the meeting of the holders and approved by the Board of Directors of the Company before it can be implemented.

(4) Termination of the employee stock ownership plan

1. If the employee stock ownership plan is not effectively extended after the expiration of the existence period, the employee stock ownership plan shall be terminated on its own.

2. After the expiration of the lock-up period of the employee stock ownership plan, the assets are all monetary funds, the stock ownership plan may be terminated in advance.

3. The liquidation shall be completed within 30 working days after the expiration of the existence period or early termination of the employee stock ownership plan, and the distribution shall be carried out in accordance with the provisions of this plan.

Fifth, the management model

The highest internal management authority of the ESOP is the shareholders' meeting; the ESOP has a management committee to supervise the day-to-day management of the ESOP; the shareholders' meeting authorizes the management committee to exercise shareholder rights on behalf of the ESOP; the company's board of directors is responsible for formulating and revising the draft ESOP and handling other related matters of the ESOP within the scope of the authorization of the shareholders' general meeting.

The ESOP is managed by the Company itself, and the Management Committee is the management body of the ESOP, which manages the ESOP in accordance with the relevant documents of the ESOP, and safeguards the legitimate rights and interests of the ESOP to ensure the property safety of the ESOP. During the existence of the ESOP, the Management Committee may engage professional institutions such as securities companies and law firms to provide relevant consulting services for the ESOP.

6. Asset composition and equity disposal methods of the employee stock ownership plan

(1) The asset composition of the interests of the employee stock ownership plan

1. The corresponding rights and interests of the company's stock: the rights and interests corresponding to the company's stock held by the employee stock ownership plan;

2. Cash deposits and accrued interest;

3. Assets formed by other investments in the employee stock ownership plan.

The assets of the ESOP are independent of the inherent property of the company, and the company may not delegate the assets of the ESOP to its inherent property. Property and income obtained as a result of the management, use or other circumstances of the ESOP are included in the assets of the ESOP.

(2) Distribution of rights and interests during the existence of the employee stock ownership plan

1. During the lock-up period, the holder shall not request the distribution of the rights and interests of the employee stock ownership plan.

2. During the lock-up period, when the company converts the capital reserve fund into share capital and distributes stock dividends, the newly acquired shares are locked together and may not be sold or otherwise transferred in the secondary market, and the unlock date of these shares is the same as that of the corresponding stocks. During the term, when the company pays dividends, the cash dividends received by the ESOP as a result of holding the company's shares will not be distributed during the ESOP period.

(3) Measures for the disposal of employee stock ownership plan shares

1. During the period of existence of the employee stock ownership plan, except for the compulsory transfer of shares stipulated in the employee stock ownership plan and the company's "Measures for the Administration of Employee Stock Ownership Plans", the shares of the employee stock ownership plan held by the holder shall not be transferred, used for guarantee, debt repayment or other similar disposal.

2. During the period of existence of the employee stock ownership plan, unless otherwise specified, the holder shall not request the distribution of the assets of the stock ownership plan.

3. After the expiration of the lock-up period of the ESOP, the Management Committee shall sell the underlying shares held by the ESOP during the existence of the ESOP.

(4) Disposal of the rights and interests of the holders

1. The rights and interests held by the holder are not changed:

(1) Change of position

During the period of existence, the holder's position in the company (including subsidiaries) changes, and the interest in the employee stock ownership plan held by the holder will not be changed.

(2) Retirement

If a holder reaches the retirement age prescribed by the state and leaves his job, the interest in the employee stock ownership plan held by him or her will not be changed.

(3) Incapacity to work

If the holder loses the ability to work due to injury in the performance of his duties, the interest in the employee stock ownership plan held by the holder shall not be changed.

(4) Death

In the event of the death of the holder, the shares of the ESOP held by the holder shall not be affected, and the relevant rights and interests shall continue to be enjoyed by their legitimate heirs. Such heirs are not subject to the requirement to participate in the ESOP.

(5) Other circumstances determined by the Management Committee.

2. In any of the following circumstances, the Management Committee has the right to cancel the holder's qualification to participate in the employee stock ownership plan and require it to forcibly transfer the shares of the employee stock ownership plan held by it according to the self-financing subscription cost:

(1) The holder resigns or leaves the company without authorization;

(2) The holder refuses to renew the labor contract with the company after the expiration of the labor contract;

(3) After the expiration of the labor contract of the holder, the company and its subsidiaries do not renew the labor contract with them;

(4) The holder has a major fault or performance appraisal that does not meet the standards and is demoted or demoted, resulting in him not meeting the conditions for participation in the employee stock ownership plan;

(5) The holder is terminated from the labor contract by the company due to violation of laws, administrative regulations or serious violations of internal rules and regulations;

(6) Violating laws and regulations and being pursued for criminal responsibility;

(7) Violation of professional ethics, disclosure of company secrets, dereliction of duty or dereliction of duty and other acts that harm the interests or reputation of the company;

(8) Other circumstances that have been determined by the board of directors of the company to have a material negative impact on the company.

During the existence of the ESOP, if the above circumstances occur, the Management Committee shall decide on the transferee of its share. When the Management Committee requests the compulsory transfer of its shares, the holder shall cooperate with the Management Committee in handling the relevant transfer matters, and if the company pays dividends during the period when the transferor holds the shares, the transferor has no right to request the distribution.

Other outstanding matters shall be decided by the Management Committee.

(5) Measures for disposing of rights and interests after the expiration of the employee stock ownership plan

After the expiration of the lock-up period of the ESOP, all the underlying shares held by the ESOP are sold, and the ESOP may be terminated early when the ESOP is monetary funds. The duration of the ESOP may be extended 2 months before the expiration of the period of existence of the ESOP, after the approval of more than 2/3 of the shares held by the holders present at the shareholders' meeting and submitted to the board of directors of the company for consideration and approval.

If the existence of the employee stock ownership plan is not extended or terminated in advance, the management committee authorized by the shareholders' meeting shall complete the liquidation within 30 working days after deducting relevant taxes and fees in accordance with the law, and the liquidation assets shall be distributed by the management committee in the following manner:

1. If the income realized by the employee stock ownership plan does not exceed 10% annualized, the liquidation assets shall be used to repay the principal of the loan and distribute them in proportion to the shares held by the holders. The actual controller is obliged to make up the difference between the final distributable amount and the difference between the holder's self-financing funds subscribed to the ESOP;

2. If the income realized by the employee stock ownership plan exceeds 10% of the annualized, the part of the income obtained that exceeds the annualized 10% is used to pay the actual controller the interest of 5% of the annualized principal of the loan (if the part of the income obtained by the employee stock ownership plan exceeding 10% of the annualized is less than the annualized 5% interest, there is no need to make up for it to the actual controller), and the remaining distributable assets are distributed according to the proportion of the holder's share held in the employee stock ownership plan after the repayment of the principal of the loan in priority.

After the expiration of the existence period of the ESOP, if the assets held in the ESOP still contain the underlying stocks, the Management Committee shall determine the disposal method.

7. Participation in the shareholding plan at the time of the company's financing

During the existence of the employee stock ownership plan, when the company raises funds by means of allotment, additional issuance, convertible bonds, etc., the holders' meeting shall deliberate and decide whether the employee stock ownership plan will participate in the relevant financing in the current period, and the management committee shall formulate a specific participation method and submit it to the holders' meeting for deliberation and approval.

8. Procedures for implementing employee stock ownership plans

1. The board of directors is responsible for formulating the draft employee stock ownership plan and the employee stock ownership plan;

2. Convene a staff congress to solicit employees' opinions;

3. The board of directors deliberates the draft employee stock ownership plan, the company's board of supervisors is responsible for verifying the list of holders, and the independent directors and the board of supervisors shall express their opinions on whether the employee stock ownership plan is conducive to the sustainable development of the company, whether it harms the interests of the company and all shareholders, and whether there is apportionment, forced distribution, etc. to force employees to participate in the employee stock ownership plan.

4. Within 2 trading days after the board of directors deliberates and approves the employee stock ownership plan, the resolution of the board of directors, the resolution of the board of supervisors, the draft and summary of the employee stock ownership plan, and the opinions of independent directors are announced.

5. The company engaged a law firm to issue a legal opinion on whether the employee stock ownership plan and its related matters are legal and compliant, whether the necessary decision-making and approval procedures have been fulfilled, and whether the information disclosure obligation has been fulfilled in accordance with the relevant provisions of the China Securities Regulatory Commission and the stock exchange, and announced the legal opinion before the general meeting of shareholders on the review of the employee stock ownership plan.

6. The employee stock ownership plan can only be implemented after being deliberated and approved by the company's shareholders' general meeting, and the shareholders' meeting will adopt a combination of on-site voting and online voting to vote.

7. Other procedures required to be performed by the China Securities Regulatory Commission and the stock exchange.

9. Specific matters authorized by the general meeting of shareholders to the board of directors

In order to ensure the smooth progress of the ESOP, the Board of Directors intends to request the General Meeting of Shareholders to authorize the Board of Directors to handle the relevant matters of the Company's ESOP, including but not limited to the following matters:

The above authorization shall be effective from the date of approval by the Company's general meeting of shareholders to the date of termination of the Company's ESOP.

10. Miscellaneous

1. The company's financial, accounting treatment and taxation issues of the implementation of the employee stock ownership plan shall be implemented in accordance with the relevant financial system, accounting standards and tax system regulations;

2. The approval of the employee stock ownership plan by the board of directors of the company does not mean that the holder has the right to continue to serve in the company or subsidiary, does not constitute the commitment of the company or the subsidiary to the employment period of the employee, and the labor relationship between the company or the subsidiary and the employee is still implemented in accordance with the labor contract signed by the company or the subsidiary and the holder.

3. The Plan shall take effect from the date of deliberation and approval of the Company's General Meeting of Shareholders;

4. The right to interpret the employee stock ownership plan belongs to the board of directors of the company.

Stock code: 603179 Stock abbreviation: Xinquan Stock Announcement number: 2021-085

Announcement on the change of the registered capital of the company, the amendment of the Articles of Association and the Rules of Procedure of the Board of Directors

Jiangsu Xinquan Auto Trim Co., Ltd. (hereinafter referred to as the "Company") held the fifth meeting of the fourth board of directors in the company's conference room on October 13, 2021, and deliberated and passed the "Proposal on Changing the Registered Capital of the Company and Amending the > of the Articles of Association of the <" and the "Proposal on Amending the Rules of Procedure of the Board of Directors of the Company <>". As the Company's convertible bonds were redeemed and delisted from the Shanghai Stock Exchange on August 18, 2021, and the Company's Convertible Bonds were converted into shares, it was agreed to amend the relevant provisions of the Articles of Association on registered capital and the total number of shares in the Articles of Association of the Company and register the change of industry and commerce, after the completion of the registration of the change of industry and commerce, the registered capital of the Company will be changed to RMB374,847,670, and the total number of shares of the Company will be changed to 374,847,670 shares. In addition, in accordance with the relevant provisions of the Company Law, the Securities Law, the Guidelines for the Articles of Association of Listed Companies, the Rules Governing the Listing of Stocks on the Shanghai Stock Exchange and other laws and regulations, combined with the actual situation of the company, the board of directors of the company agreed to amend some provisions of the Articles of Association of the Company; the Rules of Procedure of the Board of Directors, as an annex to the Articles of Association of the Company, the Company intends to amend the Articles of Association of the Company at the same time as the relevant provisions of the Rules of Procedure of the Board of Directors. The specifics are as follows:

1. Change of registered capital

Before change: RMB 367,817,237.

After change: RMB 374,847,670.

From 1 January 2021 to 17 August 2021 (the redemption record date of the New Springs Bonds), a total of RMB107,359,000 of the New Springs Bonds have been converted into shares of the Company, and the number of shares formed as a result of the conversion is 7,030,433 shares, and the total share capital of the Company has been changed from 367,817,237 shares to 374,847,670 shares. The registered capital of the Company increased from RMB367,817,237 to RMB374,847,670. For details, please refer to the "Announcement on the Redemption Result and Change of Shares of "Xinquan Bond" disclosed by the Company on august 19, 2021 on the website of the Shanghai Stock Exchange (www.sse.com.cn) and the designated information disclosure media.

II. Amendment of the Articles of Association

III. Amendment of the Rules of Procedure of the Board of Directors

The above amendments have yet to be submitted to the Company's General Meeting of Shareholders for consideration and approval.

Stock code: 603179 Stock abbreviation: Xinquan Stock Announcement number: 2021-087

Announcement on the resolution of the Workers' Congress

Jiangsu Xinquan Auto Trim Co., Ltd. (hereinafter referred to as the "Company") employee representatives held a staff meeting (hereinafter referred to as the "Meeting") in the Company's conference room on October 13, 2021, and the convocation, convocation and voting procedures of the meeting complied with the relevant provisions of the Employee Congress.

After democratic discussion by all the employee representatives attending the meeting, the relevant matters of the "Jiangsu Xinquan Auto Trim Co., Ltd. Phase II Employee Stock Ownership Plan (Draft)" were deliberated and approved. The delegates to the Workers' Congress agreed that:

The content of the employee stock ownership plan implemented by the company complies with the provisions of relevant laws, regulations and normative documents, and there is no situation that harms the interests of the company and all shareholders, nor does it force employees to participate in the stock ownership plan by means of apportionment, forced distribution, etc. Agreed to the "Jiangsu Xinquan Auto Trim Co., Ltd. Phase II Employee Stock Ownership Plan (Draft)" and summary formulated by the Company, and the "Administrative Measures for the Second Phase of the Employee Stock Ownership Plan of Jiangsu Xinquan Auto Trim Co., Ltd."

The implementation of the employee stock ownership plan of the company is conducive to the establishment and improvement of the benefit sharing mechanism between workers and owners, so that the interests of employees and the long-term development of the company are more closely integrated, further improve the company's corporate governance structure, promote the company to establish and improve the long-term effective incentive and constraint mechanism, fully mobilize the enthusiasm and creativity of managers and employees, attract and retain outstanding talents and business technology backbones, improve the cohesion of the company's employees and the competitiveness of the company, and is conducive to the long-term and stable development of the company.

Stock code: 603179 Stock abbreviation: Xinquan Stock Announcement number: 2021-084

Announcement on changing the investment direction of part of the raised funds

Important Content Tips:

● Original project name: Shanghai R&D center construction project

● Change of the amount of funds raised: 149.358 million yuan

First, the basic situation of funds raised

With the approval of the China Securities Regulatory Commission's Reply on Approving the Non-Public Offering of Shares of Jiangsu Xinquan Auto Trim Co., Ltd. (Securities Regulatory Approval [2020] No. 2838), Jiangsu Xinquan Auto Trim Co., Ltd. (hereinafter referred to as the "Company") issued 49,810,515 RMB ordinary shares (A shares) to specific targets at an issue price of RMB 24.07 per share, raising a total of RMB 1,198,939,096.05. After deducting the offering expenses (excluding tax) of RMB11,167,862.72, the actual net proceeds raised were RMB1,187,771,233.33. The availability of the above-mentioned raised funds was verified by Fong's Certified Public Accountants (Special General Partnership) and issued the "Capital Verification Report" of No. ZA16086 [2020] of Xinhuishi Baozi.

2. The issuance of application documents promises to raise funds for investment projects

According to the "Preliminary Plan for Non-public Issuance of Shares" disclosed by the company, the funds raised from this non-public offering of shares will be fully invested in the following projects after deducting the issuance fees:

Unit: 10,000 yuan

The actual net amount of funds raised in this non-public offering is less than the total amount of funds raised in the above-mentioned projects, and the company will adjust and finally decide on the specific investment projects, priorities and specific investment amounts of each project according to the actual net amount of funds raised and according to the priority of the project. The insufficient part of the funds raised shall be solved by the company with its own funds or through other financing methods.

Before the funds raised in this non-public offering of shares are in place, the company will invest in advance with self-raised funds according to the actual needs of the project progress, and replace them in accordance with the procedures stipulated in relevant laws and regulations after the funds are in place.

3. Change the specific circumstances of the investment direction of part of the raised funds

(1) The planned investment and actual investment of the Construction Project of Shanghai R&D Center

The construction project of Shanghai R&D Center was originally planned to use the raised funds to invest 154.15 million yuan, which was divided into three parts: construction investment, equipment investment and R&D investment. As of the date of this announcement, the project has invested a total of 4.792 million yuan in funds raised. The details are as follows:

(2) Change the specific reasons for the investment of some of the funds raised in the construction project of the Shanghai R&D Center

Since the implementation of this non-public offering of shares, the company has actively promoted the construction of fundraising projects. For the construction project of Shanghai R&D center, the company has carried out network and field research many times, and sought R&D sites with suitable prices, good locations, convenient transportation, complete surrounding facilities and location advantages in the automotive industry, but has not been able to find the ideal R&D site so far, and most of the funds raised are therefore idle. In order to improve the efficiency of capital utilization and promote the development of R&D projects, the company intends to change the 149.358 million yuan of raised funds and its interest (financial income, etc.) that have not yet been actually invested in the construction project of Shanghai R&D center to permanent supplementary working capital, and the project will continue to be implemented and invested with its own funds. The company will temporarily transition in the form of leasing and continue to seek high-quality R&D sites for the Shanghai R&D center, and the total budget for project construction investment, equipment investment and R&D expense investment will remain unchanged. After this change, the company's 2020 non-public issuance of shares to raise funds investment projects and the use of funds raised are as follows:

Note: Supplementary Liquidity 1 is a non-public issuance of shares to supplement the working capital project, the project funds have been used up, the special account for raising funds has been cancelled. Supplementary working capital 2 is to change the investment direction of the funds raised for the construction project of the Shanghai R&D Center.

The Company will sign the Supplement to the Tripartite Supervision Agreement on the Storage of Funds Raised in Special Accounts with Bank of Suzhou Co., Ltd. Changzhou Branch and the sponsoring institution to clarify the above changes.

(3) The impact of changing the investment direction of some of the funds raised in the construction project of the Shanghai R&D Center

The proposed changes to the fundraising project are in line with the actual situation of the company, which is conducive to the company's long-term development and improves the efficiency of the use of the raised funds, and is in line with the interests of all shareholders, and there is no harm to the interests of shareholders in this change. IV. Decision-making Procedure for Changing the Investment Direction of Part of the Raised Funds The Company held the fifth meeting of the fourth board of directors and the third meeting of the fourth session of the Board of Supervisors on October 13, 2021, deliberated and passed the "Proposal on Changing the Investment Direction of Part of the Raised Funds", and agreed to change the investment direction of the funds raised for the Construction Project of the Shanghai R&D Center and submit it to the Shareholders' General Meeting for consideration.

All the independent directors of the Company expressed their consent opinions on the above matters of the Company, believing that the investment direction and procedures of part of the raised funds in this change complied with relevant laws and regulations. V. Explanation of special opinions

1. Opinions of independent directors

The independent directors believe that the company has fulfilled the necessary decision-making procedures for the investment of part of the raised funds in this change, which is conducive to the efficiency of the use of the company's funds, thereby enhancing the overall profitability of the company and in line with the interests of the company and all shareholders, and the procedures for changing the investment of part of the raised funds are in line with the relevant laws, regulations and rules and regulations. We unanimously agreed to the Company's change in the direction of the funds raised and agreed to submit it to the Company's General Meeting of Shareholders for consideration.

2. Opinions of the Board of Supervisors

On October 13, 2021, the third meeting of the fourth session of the Supervisory Board of the Company deliberated and passed the "Proposal on Changing the Investment Direction of Part of the Raised Funds". The Board of Supervisors believes that the company's change in the investment of some of the raised funds, the content and procedures comply with the provisions of relevant laws, regulations and rules and regulations, which is conducive to improving the efficiency of the use of the raised funds. There is no harm to the interests of shareholders. The company's behavior of changing the investment direction of part of the raised funds is in line with the needs of the company's development interests and the need to safeguard the interests of all shareholders. The Supervisory Board of the Company agreed to change the investment direction of some of the raised funds.

3. Verification opinions of the sponsoring institution

The sponsor, CITIC Construction Investment Securities Co., Ltd., believes that:

The company's change in the investment direction of part of the funds raised in the construction project of the Shanghai R&D Center is in line with the actual situation of the company, which is conducive to the company's long-term development and improves the efficiency of the use of the raised funds, and is in line with the interests of all shareholders; this matter was deliberated and approved by the board of directors and the board of supervisors of the company, and all independent directors issued a consent opinion, and will be submitted to the shareholders' general meeting for consideration, and the necessary internal decision-making procedures were performed; this matter complied with the "Rules for the Listing of Stocks on the Shanghai Stock Exchange" and the "Measures for the Management of Funds Raised by Listed Companies on the Shanghai Stock Exchange" relevant laws and regulations, there is no harm to the interests of shareholders. CITIC Construction Investment agreed to change the investment direction of part of the funds raised in the Construction Project of the Shanghai R&D Center.

6. Documents for reference

1. Resolution of the fifth meeting of the fourth board of directors;

2. Resolution of the third meeting of the fourth board of supervisors;

3. Independent directors' independent opinions on matters related to the fifth meeting of the fourth board of directors;

4. Verification opinion of CITIC Construction Investment Securities Co., Ltd. on the change of the investment direction of some of the raised funds of Jiangsu Xinquan Automobile Trim Co., Ltd.

Stock code: 603179 Stock abbreviation: Xinquan Stock Announcement number: 2021-086

Notice of the Convening of the First Extraordinary General Meeting of Shareholders in 2021

● Date of the General Meeting of Shareholders: October 29, 2021

● The online voting system adopted by the shareholders' meeting: the online voting system of the shareholders' meeting of the Shanghai Stock Exchange

First, the basic situation of convening a meeting

(1) Types and sessions of the general meeting of shareholders

First Extraordinary General Meeting of Shareholders in 2021

(2) Convener of the General Meeting of Shareholders: Board of Directors

(3) Voting method: The voting method adopted at this shareholders' meeting is a combination of on-site voting and online voting

(iv) The date, time and place of the on-site meeting

Venue: Changzhou Xinquan Automobile Trim Co., Ltd. Changzhou Branch Conference Room, No. 555 Huanghe West Road, Xinbei District, Changzhou City

(v) The system, start and end dates and voting times for online voting.

Online voting system: Online voting system for shareholders' meetings of Shanghai Stock Exchange

Until October 29, 2021

Using the online voting system of the Shanghai Stock Exchange, the voting time through the voting platform of the trading system is the trading time of the day of the shareholders' meeting, that is, 9:15-9:25, 9:30-11:30, 13:00-15:00; the voting time through the Internet voting platform is 9:15-15:00 on the day of the shareholders' meeting.

(6) Voting procedures for margin, transfer financing, agreed repurchase business accounts and SSE-Connect investors

Voting involving margin lending, transfer financing business, accounts related to the agreed repurchase business and investors of SSE-Stock Connect shall be carried out in accordance with the relevant provisions of the Detailed Rules for the Implementation of Online Voting at Shareholders' Meetings of Listed Companies on the Shanghai Stock Exchange and other relevant provisions.

(7) Involving the public solicitation of shareholders' voting rights

not

Matters to be considered by the Conference

The general meeting of shareholders considers the proposals and the types of voting shareholders

1. The time when each proposal has been disclosed and the disclosure media

Proposals 1-6 have been deliberated and approved by the fifth meeting of the fourth session of the Board of Directors held by the Company on October 13, 2021, and the relevant announcements were disclosed on the Company's designated information disclosure media and the website of the Shanghai Stock Exchange (www.sse.com.cn) on October 14, 2021.

2. Special Resolutions: 5

3. Proposals for small and medium-sized investors to count votes separately: 1-6

4. Proposals involving the recusal of affiliated shareholders from voting: 1-3

Name of affiliated shareholder who should recuse himself from voting: Shareholder of the relevant company involved in this ESOP

5. Proposals involving preferred shareholders participating in voting: None

III. Notes on Voting at Shareholders' Meetings

(1) If the shareholders of the Company exercise their voting rights through the online voting system of the shareholders' general meeting of the Shanghai Stock Exchange, they can either log on to the voting platform of the trading system (through the trading terminal of the securities company designated for trading) to vote, or log on to the Internet voting platform (website: vote.sseinfo.com) to vote. For the first time to log on to the Internet voting platform to vote, investors need to complete shareholder identity verification. For specific operations, please refer to the Internet voting platform website instructions.

(2) Shareholders exercise their voting rights through the online voting system of the general meeting of shareholders of the Shanghai Stock Exchange, and if they have multiple shareholder accounts, they can use any shareholder account holding the company's shares to participate in the online voting. After voting, it is deemed that all of its shareholders' accounts have voted on the same opinion of the same class of common stock or the same variety of preferred shares.

(3) Where the same voting right is repeatedly voted through the site, the firm's online voting platform or other means, the result of the first vote shall prevail.

(4) Shareholders shall vote on all proposals before submitting them.

4. Participants in the meeting

(1) Shareholders of the Company registered with the Shanghai Branch of China Securities Depository and Clearing Co., Ltd. after the close of the market on the share registration date have the right to attend the general meeting of shareholders (for details, see the table below), and may appoint a proxy in writing to attend the meeting and participate in voting. The agent does not have to be a shareholder of the company.

(2) Directors, supervisors and senior management of the Company.

(3) Lawyers engaged by the company.

(iv) Other personnel

5. Methods of registration for meetings

1. Registration method:

(1) Individual shareholders must hold the original and copy of their id card and shareholder account card; if the agent is entrusted, they must hold the original and copy of the ID cards of both parties, the power of attorney, and the shareholder account card of the principal to go through the registration procedures.

(2) If the legal representative personally handles the matter, the legal representative must hold the legal representative's certificate, the original and copy of his/her ID card, a copy of the business license of the legal person unit, and the shareholder's account card; if the agent entrusts the agent to handle it, he must hold the original and copy of the attendee's ID card, the copy of the legal representative's ID card and the power of attorney, the copy of the legal person's business license, and the principal's shareholder account card.

(3) Non-local shareholders may register by letter or fax.

(4) The above documents shall be submitted by 17:00 on October 28, 2021.

3. Registration location: Investment Management Department, 4th Floor, Office Building, No. 555 Huanghe West Road, Xinbei District, Changzhou City, Jiangsu Province.

6. Other matters

1. Shareholders and shareholders' agents attending the meeting shall pay for transportation, food and lodging expenses.

2. Contact address: Investment Management Department, 4th Floor, Office Building, No. 555 Huanghe West Road, Xinbei District, Changzhou City, Jiangsu Province.

3. Contact: Chen Xueqian

4. Tel: [phone]

5. Fax: [phone]-2303

Annex 1: Power of Attorney

Filing documents

Resolution of the Board of Directors proposing to convene the General Meeting of Shareholders

Power of Attorney

Jiangsu Xinquan Auto Trim Co., Ltd.:

Mr. (Ms.) is hereby entrusted to represent the Unit (or himself) to attend the first Extraordinary General Meeting of Shareholders of your Company in 2021 held on October 29, 2021 and to exercise the right to vote on his behalf.

Number of ordinary shares held by the principal:

Number of Preferred Shares Held by the Principal:

Principal Shareholder Account Number:

Principal Signature (Seal): Trustee Signature:

Principal ID Number: Trustee ID Number:

Commission Date: Year Month Day

remark:

The settlor shall choose one of the "agree", "oppose" or "abstain" intentions in the power of attorney and play "√", and the trustee shall have the right to vote according to his own wishes if the principal does not give specific instructions in this power of attorney.