Zhongwang Fabric's wholly-owned subsidiary Z-Wovens, LLC recently received cumulative US tariff refunds totaling 1.43 million US dollars, equivalent to approximately 9.68 million yuan, comprising 1.37 million US dollars in tariffs and 56,200 US dollars in interest, together accounting for 13.36% of the company's latest audited net profit attributable to the parent. The refund stems from a February 2026 US Supreme Court ruling that the government lacked statutory authority to impose the tariffs, rendering the relevant tariff measures void from the outset, with US Customs and Border Protection officially commencing refunds on April 20, 2026. Based on the central parity rate of the renminbi exchange rate on August 11, 2026, this amount will be recognized in the current period's profit or loss for 2026, with no adjustment to prior-year profit or loss. In the first quarter of 2026, Zhongwang Fabric achieved revenue of 124 million yuan and net profit attributable to the parent of 13.69 million yuan.
ZhongWang Fabric Co. Ltd.US Supreme Court ruling voids tariffs, leading to refund of RMB 9.68 million, boosting current-period profit.
