| RELATED PARTY TRANSACTIONS |
| 9. |
RELATED PARTY TRANSACTIONS |
The table below sets forth the major related parties
and their relationships with the Company as of December 31, 2025 and 2024, and for the years ended December 31, 2025, 2024 and 2023:
| Name of related parties | | Relationship with the Company | | Fujian Bafang Shengfeng Logistics Co., Ltd (“Fujian Bafang”) | | An equity investee of the Company | | Fuzhou Tianyu Shengfeng Industrial Co., Ltd (“Fuzhou Tianyu”) | | A company controlled by Yongxu Liu, CEO and Chairman of the Company | | Fuzhou Tianyu Shengfeng Property Management Co., Ltd (“Fuzhou Tianyu Management”) | | A company under the control of a shareholder | | Fuzhou Tianyu Yuanmei Catering Co., Ltd (“Fuzhou Tianyu Catering”) | | A company under the control of a shareholder | | Fujian Desheng Logistics Co., Ltd (“Fujian Desheng”) | | A company under the control of a shareholder | | Yongxu Liu | | The Company’s CEO and Chairman | | Xiying Yang | | CEO’s spouse | | Yongteng Liu | | CEO’s brother | | Fujian Yunlian Shengfeng Industry Co., Ltd., (“Fujian Yunlian”) | | Shengfeng VIE’s shareholder | | Fuzhou Puhui Technology Co., Ltd | | Non-controlling shareholder of Ningde Shengfeng Logistics Co. Ltd. | | Chongqing Changjiang River Moulding Material (Group) Co., Ltd. (“Chongqing Changjiang”) | | Non-controlling shareholder of Liaoning Tianyu Changsheng Supply Chain Management Co., Ltd. | | Pingtan SF | | An equity method investee of the Company | | Mid-Castle Development Ltd. (“Mid-Castle”) | | The Company’s shareholder | | i) | Significant transactions with related parties were as follows: |
| | |
Years ended December 31, | |
| | |
2025 | | |
2024 | | |
2023 | |
| Transportation services to Fujian Bafang | |
$ | 40 | | |
$ | - | | |
$ | - | |
| Transportation services to Fujian Desheng | |
| 28 | | |
| 157 | | |
| 37 | |
| Transportation services to Chongqing Changjiang and its subsidiaries | |
| 13,307 | | |
| 575 | | |
| - | |
| Total | |
$ | 13,375 | | |
$ | 732 | | |
$ | 37 | |
| | |
Years ended December 31, | |
| | |
2025 | | |
2024 | | |
2023 | |
| Transportation services from Fujian Bafang | |
$ | 2,796 | | |
$ | 1,799 | | |
$ | 1,108 | |
| Lease services from Fuzhou Tianyu | |
| 274 | | |
| 227 | | |
| 228 | |
| Lease services from Fuzhou Tianyu Management | |
| 17 | | |
| 47 | | |
| 17 | |
| Catering services from Tianyu Catering | |
| - | | |
| 1 | | |
| 2 | |
| Total | |
$ | 3,087 | | |
$ | 2,074 | | |
$ | 1,355 | |
The Company’s shareholder, CEO and Chairman,
Yongxu Liu, his spouse, Xiying Yang, his brother, Yongteng Liu, Fujian Yunlian and Fuzhou Puhui Technology Co., Ltd, were the guarantors
of the Company’s bank loans.
| iii) | Significant balances with related parties were as follows: |
| | |
As of
December 31,
2025 | | |
As of
December 31,
2024 | |
| Due from related parties | |
| | |
| |
| Fuzhou Tianyu | |
$ | 42 | | |
$ | 41 | |
| Fujian Desheng | |
| - | | |
| 39 | |
| Fujian Bafang | |
| 31 | | |
| - | |
| Pingtan SF (a) | |
| 6,971 | | |
| - | |
| Mid-Castle | |
| 472 | | |
| - | |
| Chongqing Changjiang and its subsidiaries | |
| 4,642 | | |
| 621 | |
| Total | |
$ | 12,158 | | |
$ | 701 | |
| | |
As of
December 31,
2025 | | |
As of
December 31,
2024 | |
| Due to related parties | |
| | |
| |
| Fujian Bafang (a) | |
$ | 1,699 | | |
$ | 1,662 | |
| Fuzhou Tianyu | |
| 21 | | |
| 18 | |
| Yongteng Liu | |
| 110 | | |
| - | |
| Fuzhou Tianyu Management | |
| - | | |
| 7 | |
| Total | |
$ | 1,830 | | |
$ | 1,687 | |
| (a) | On December 10, 2007, the Company entered into an interest-free loan agreement with Fujian Bafang for a principal amount of approximately $1.4 million (RMB 9.6 million). Such loan is due on demand. |
|