Chairman’s Statement

Dear Shareholders,

I hereby report to you the operating conditions of China Huajun Group Limited (the “Company”) and its subsidiaries (together, the “Group”) for the year ended 31 December 2020.

Highlights

For the Current Year, revenue was approximately RMB3,5155 million, representing a decrease of approximately RMB1841 million, or approximately 50%, compared to revenue of approximately RMB3,6996 million for the year ended 31 December 2019. The overall decrease in revenue was attributable to the decrease in sales of petrochemical product trading and the printing business of the Group, mainly due to the uncertain marco-economic environment caused by COVID-19 during the Current Year.

Time goes swiftly on its way. Looking back to the year of 2020, the global environment changed dramatically and became more and more challenging. At the beginning of the year, the unexpected COVID-19 epidemic was severe and a difficult challenge to the society, enterprises and even the Company.

Prospects

The year of 2021 is a crucial year for the Group. We shall continue to assess the situation and implement suitable plans when appropriate. The global economic prospect remains uncertain as the overseas COVID-19 epidemic has not been under control. The domestic reformation is complicated and formidable when the competition between China and the United States has been intensified in multiple aspects. The profound changes in environment leads to new opportunities and challenges. All of us in Huajun shall adhere to the core enterprise value ‘Committed to Stepping Forward”. To continue serving our shareholders and customer with the quality services, we shall strengthen and develop our enterprise by taking advantage of policy of the Greater Bay area and leveraging the superior brand effect of the listing platform. At the same time, in order to perform better results, we shall keep enhancing our ability in management and operation and retain prudent financial strategy to optimise our financial structure.

Acknowledgement

Finally, on behalf of the board of directors of the Company, I would like to express my sincere gratitude to the shareholders, customers and business partners for their trust and support, and to all employees for their dedication and hard work!

MengGuangBao

Chairman

Hong Kong, 31 March 2021