on the evening of April 18, Changyang science and technology (688299) announced that based on the good trust and long-term development strategy of both parties, Ningbo Changyang science and technology co., ltd. (hereinafter referred to as "the company" or "party a") recently signed a "joint development agreement" with Ningbo huizhixing new materials technology co., ltd. (hereinafter referred to as "huizhixing") to jointly promote the research and development and application of CPI and PET functional membrane materials, jointly promote the localization of key optical films.

Changyang Technology is a high-tech polymer functional film enterprise with original technology, core patents, core product R & D and manufacturing capabilities, and strong market competitiveness. The company is mainly engaged in reflective film, optical base film, diaphragm, and backplane base The R & D, production and sales of films and other special functional films are widely used in liquid crystal displays, power batteries and energy storage, solar photovoltaics and other fields.

According to the company's recent disclosure, the raw materials used in the development of the company's polyimide film (CPI film) are polyimide monomers purchased by the company from upstream raw material suppliers. If the product is successful, it is expected to break through the long-term monopoly of foreign enterprises on transparent CPI film materials. At present, the product is still in the development and verification stage.

and Hui star is committed to realizing the domestic substitution of high-end optical film materials, comprehensively using core technologies such as design and manufacturing technology of screen protection materials for electronic products and precision coating technology to process and compound production of base film materials such as CPI and PET, improve the physical properties of film materials, improve the optical properties of film materials, and make film materials have the functions of foldable, corrosion-resistant, anti-glare, anti-scratch, anti-fingerprint, etc, it is the only mass production enterprise in China that can realize CPI and foldable PET functional film material processing. Changyang Science and Technology said in the announcement that currently products such as Hui Star CPI and PET functional film materials have been widely used as flexible folding display cover components in folding screen mobile phones of Huawei, Glory, OPPO, vivo and other brands, and have reached cooperation intentions with many domestic mobile phone manufacturers.

optical grade CPI film on the light transmission rate, bending resistance, service life, anti-deformation and other performance requirements are very high, the technical difficulty is very large, at present, only South Korea Kolon and other a few Japanese and Korean enterprises have bulk supply capacity.

Although there are many domestic manufacturers supplying PET optical base film, but the layout time is late, there are problems such as low yield, capacity climbing and long customer import time. With China's folding screen consumer electronics shipments climbing, global panel production capacity to China's transfer of the background, China's urgent need to CPI base film, high-end PET base film and other key materials to get rid of import dependence.

according to the cooperation content disclosed in the announcement, the two parties in this agreement have carried out comprehensive cooperation on the research and development, mass production and commercial application of CPI and PET functional film materials. as strategic partners, the two parties take advantage of the upstream advantages of Changyang science and technology industry and the self-developed domestic CPI and PET base film materials and other products, as well as the application technology experience advantages of huixing in optical hardening film and the customer and market advantages in downstream industries, co-development and application promotion of products such as CPI and PET functional film materials.

Changyang Technology is responsible for the development of CPI and PET base film and other products with better performance parameters, while Huixing is responsible for the corresponding coating and processing hardening treatment, jointly promoting product validation for downstream core customers and expanding the market application of CPI and PET base film and other products in consumer electronics and other fields.

If the products such as CPI and PET functional film materials jointly developed by both parties pass the verification of the end core customers and form large-scale orders, Changyang Technology will be the preferred supplier of the base film of this product for mass production and supply, and give priority to ensuring supply and the most favored price.

The agreement also stipulates that the original intellectual property rights of both parties used in the cooperation process shall be owned by the original unit; the scientific research results and intellectual property rights independently completed by one of the parties shall be owned by the completed party; the scientific research results and intellectual property rights completed by the two parties shall be jointly owned by both parties, and the specific cooperation matters shall be agreed upon by the two parties by signing a supplementary agreement.

Changyang Science and Technology said that through this strategic cooperation, the two sides will give full play to the complementary advantages of technology, resources and industrial chain, jointly promote the research and development and application of CPI and PET functional film materials, promote the large-scale industrial application of CPI and PET base film materials and other products in the fields of smart phones, computers, televisions and other electronic products, so as to break the international monopoly of upstream "sticking neck" and get rid of dependence on raw material imports.

The company believes that through this strategic cooperation, the two sides will give full play to the complementary advantages of their respective technologies, resources and industrial chains, and jointly promote the R & D and application of CPI and PET functional film materials, and jointly promote the localization of key optical films, which is in line with the development trend of the industry and the strategic interests of both sides. This agreement is not expected to have a significant impact on the company's operating results in 2024, and the impact on the company's future performance depends on the promotion and implementation of specific projects.