About D&G TECH Company

D&G Technology is a leading manufacturer and service supplier of medium and large asphalt mixture mixing equipment in China. The Group's core products are mainly divided into conventional factory asphalt mixing equipment and factory asphalt mixture heat regeneration equipment. The asphalt mixtures produced by its asphalt mixture mixing equipment can be used in the construction, maintenance and maintenance of highways, all levels of highways and municipalities in China. In addition, D&G Technology provides equipment modification services and parts supply services for existing asphalt mixture mixing equipment users, and provides operating leasing services for customers with equipment needs. Established in 1999, the group is headquartered in Hong Kong, China, and its production base is located in Langfang, Hebei. Its subsidiary Langfang Deji is recognized as a high-tech enterprise in Hebei Province and is entitled to a preferential corporate income tax rate of 15% in China. D&G products are supplied to many provinces, cities and autonomous regions in China, as well as 20 overseas countries, and sold more than 400 sets of equipment in China and many emerging markets and developed countries such as Australia, Russia, India, Southeast Asia, the Middle East and some African countries. D&G Technology has also participated in a number of important infrastructure projects, including China's Beijing-Tibet Expressway, Beijing-Hong Kong-Macau Expressway, Jiaozhou Bay Bridge, and Hangzhou Bay Bridge. Business Overview Since 2003, we pioneered the development and launch of 4000 asphalt mixture mixing equipment and “double drum” recycling equipment with 50% recycling volume in the Chinese market. For more than 10 years, D&G Technology has been leading the industry and has achieved many “firsts”. The “Feiyue” fully automatic control system was successfully developed in 2004, and a remote monitoring and diagnosis system was developed in 2010 and added to the “Feiyue” fully automatic control system. Furthermore, in 2009, it pioneered the development and launch of the 5000 asphalt mixture mixing equipment and the “recycling ring” type recycling equipment in the Chinese market. In 2014, it also achieved a major breakthrough in the industry and launched the first “integrated” recycling equipment in China, making D&G Technology a model for the industry. Currently, D&G Technology has 41 registered Chinese patents, of which 3 are invention patents, 38 utility model patents, and 22 Chinese software copyrights. D&G Technology has strong R&D capabilities and has its own professional R&D team. Furthermore, the Group actively cooperates with Chinese research institutes, including the Highway Science Research Institute of the Ministry of Transport and the Hebei Tsinghua Development Research Institute. Among them, a cooperation agreement was reached with research institutions such as Hebei Tsinghua Development Research Institute in 2012 to establish the Hebei Tsinghua Development Research Institute and the Hebei Intelligent Equipment Research Center for Asphalt Pavement Intelligent Equipment Engineering Technology Research Center in 2014, and jointly established a plan with the Highway Research Institute of the Ministry of Transport and the Hebei Tsinghua Research Institute to study new recycling equipment, recycling old materials and warm mixing processing technology, new mixing equipment and multi-functional mixing equipment with regenerative and environmental protection functions. D&G Technology's products have won widespread praise from customers for their efficiency, reliability, safety and environmental protection, and were the first Chinese peers to obtain EU CE certification in 2009. The company is also the governing unit of the China Machinery Industry Association, the vice chairman unit of the Road Construction Machinery Branch of the China Construction Machinery Association, and the vice chairman unit of the China Highway Society Road Construction Machinery Branch. Its “DG” business is a famous trademark of Hebei Province. In addition, the company's high-quality products and services have received official praise, participated in a number of major infrastructure projects as an equipment supplier, and jointly carried out national science and technology support programs with the Highway Science Research Institute of the Ministry of Transport and other organizations. In 2015, the company's technology center was reviewed and recognized as a provincial enterprise technology center by seven departments including the Provincial Development and Reform Commission, which will further increase the innovation investment and role of the technology center in technological innovation. The company was rated as one of the “Top 50 Chinese (Mainland) Construction Machinery Manufacturers” by the Global Construction Machinery Industry Conference for five consecutive years. Future development D&G Technology is in a good position to seize the policies of the Chinese government to provide development opportunities. Since the second half of 2014, the National Development and Reform Commission has concentrated on approving trillions of infrastructure projects. In addition, the Chinese government will inject 40 billion US dollars to establish the Silk Road Fund to provide investment and financing support for infrastructure, resources, industrial cooperation, financial cooperation and other Asian-related projects for countries along the “Belt and Road”. These policies will continue to stimulate further growth in demand for asphalt mixture mixing equipment with regenerative functions, while D&G Technology will participate in the “Belt and Road” interconnection construction to build sustainable energy-efficient, environmentally friendly, resource-recycling and efficient green products through technological innovation, so that users can experience the excellent quality and service of Chinese national brands. Furthermore, the Ministry of Transport proposed concentrating efforts to accelerate the development of the “Four Transports.” These “four transports” refer to integrated transportation, smart transportation, green transportation, and safe transportation. Among them, the core of developing green transportation is based on the carrying capacity of resources and the environment, with the goal of saving resources, improving energy efficiency, controlling emissions, and protecting the environment, and speeding up the construction of green circular low-carbon transportation infrastructure. D&G's environmentally friendly recycling equipment can effectively play a strong and active role in highway construction, renovation and maintenance. The recycling of waste asphalt mixtures not only conforms to the country's general direction of “green transportation” and environmentally friendly circular economy, but also can very effectively reduce comprehensive costs for users and seek national policy support. Facing huge market opportunities, D&G Technology will strive to expand annual production capacity and upgrade the factory area to improve production efficiency. At the same time, the Group will also continue to promote equipment and system transformation services, particularly those relating to improving the energy efficiency of equipment and adding regenerative functions to conventional equipment. In addition, D&G Technology will focus on R&D capabilities to launch new products that meet market trends, have low energy consumption and environmental characteristics, and products suitable for the special requirements and configurations of overseas countries to meet the needs of local and overseas markets. The Group will expand its current scientific and technological research center at its production base in Langfang, Hebei, and will continue to strengthen cooperative relationships with university research institutes and other organizations to improve overall R&D capabilities and technical standards, and maintain the Group's dominant position in the asphalt mixture mixing equipment industry. Under the combined effects of various national policies, it is expected that demand for recycled equipment will increase. As the Group's production capacity expands and scientific research and development capabilities continue to improve, the Group will be able to seize market opportunities. We will focus on the development of cutting-edge technology products and the development of key components; we will focus on recycling resources and develop new asphalt mixture mixing equipment with low energy consumption, stronger environmental protection and better emission reduction functions. At the same time, in terms of our business portfolio, we will increase the proportion of revenue from component transformation and leasing operations, thereby further improving the Group's profitability. At the same time, the Group will promote business expansion upstream and downstream of the industrial chain, including industrializing key components and developing commercial recycled asphalt mixture sales business, providing the Group with a new and stable source of business revenue. In the long run, D&G Technology will become a comprehensive one-stop supplier of asphalt mixture mixing equipment and services for the leading industry in China.