Designated procurement of functional parts is a common practice in precision injection molding industry, and the above situation exists in comparable companies in the same industry. According to the designation of Konica Minolta, the company purchased electronic components and other functional parts from its Hong Kong subsidiary Konica Minolta for assembly and production of precision injection products. Jinri was promoted to be a professional supply chain enterprise in the injection molding industry under Jinhu Chemical, and the company purchased raw materials from Konica Minolta. The company mainly purchases raw materials such as modified plastic particles produced by Kumho Chemical, which are used to produce precision injection molded parts sold by the company. Konica Minolta mainly purchases various means of production including the company's products from it. During the reporting period, the company sold some precision injection parts to its end customer Konica Minolta.
Expand:
It is worth noting that Konica Minolta and Rijinsheng are not only the top five customers of Sibo Precision, but also its top five suppliers. From 20 17 to 20 19, Rijinsheng was the company's largest supplier for three consecutive years, with purchase amounts of 27.4043 million yuan, 3,0051000 yuan and 29.9499 million yuan respectively, and Konica Minolta was the company's third largest supplier for three consecutive years, with purchase amounts of/kloc respectively. Being both a customer and a supplier has attracted the attention of the regulatory authorities. In the inquiry letter, the regulatory authorities asked Sibo to reply to the necessity and commercial rationality of purchasing from Konica Minolta and Rijinsheng at the same time, whether it conforms to the characteristics of the industry, and the company's independent decision-making ability and business model in sales and procurement.