v3.26.1
Income Taxes, Deferred Tax Assets and Deferred Tax Liabilities (Tables)
 3 Months Ended
Mar. 31, 2026
Income Taxes, Deferred Tax Assets and Deferred Tax Liabilities [Abstract]  
Schedule of Provision for Income Taxes Expenses

The Company’s provision for income taxes expenses consisted of:

 

   For the three months
ended March 31,		 
   2025   2026 
PRC income tax  $   $
Current income tax expenses, net   
-
    7,426 
Deferred income tax expenses   
-
    -
   $
-
   $7,426 
Schedule of Provision for Income Taxes Determined at the Statutory Income Tax Rate

A reconciliation of the provision for income taxes determined at the statutory income tax rate to the Company’s income taxes is as follows:

 

   For the three months
ended March 31,		 
   2025   2026 
Loss before income taxes  $(2,050,982)  $(8,954,864)
United States federal corporate income tax rate   21%   21%
Income tax expenses (credit) computed at United States statutory corporate income tax rate   (430,706)   (1,880,521)
Reconciling items:          
Rate differential for PRC earnings   (55,525)   (326,166)
Tax effect of entity at preferential tax rate   35,016    751,259 
Non-deductible (income) expenses   133,519    162,574 
Share based payments   5,684    93 
Utilization of tax loss   (593,482)   (366,080)
Valuation allowance on deferred tax assets   905,494    1,666,267 
Decrease in opening deferred tax assets resulting from a decrease in applicable tax rate   
-
    
 
 
Income tax expenses  $
-
   $7,426 
Schedule of Tax Effects of Temporary Differences Significant Portions of The Deferred Tax Assets and Liabilities

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities as of December 31, 2025 and March 31, 2026 are presented below:

 

   December 31,
2025		   March 31,
2026		 
Deferred tax assets        
Trade receivable  $662,239    676,546 
Inventories   927,350    654,451 
Property, plant and equipment   1,868,073    1,706,650 
Non-marketable equity securities   95,539    96,976 
Equity method investment   335,398    340,444 
Intangible assets   151,340    152,025 
Accrued expenses, payroll and others   865,885    996,679 
Provision for product warranty   117,854    137,622 
Net operating loss carried forward   18,761,298    20,079,128 
Valuation allowance   (23,659,551)   (24,714,584)
Deferred tax assets, non-current  $125,425    125,937 
           
Deferred tax liabilities, non-current          
Long-lived assets arising from acquisitions  $125,425   $125,937