ZTE projects 3.4 bn yuan in connected transactions for 2026

ZTE Corporation and its subsidiaries have announced estimated daily connected transactions for 2026, totaling up to 3.4 billion yuan. This includes an anticipated maximum aggregate transaction amount of 400 million yuan (excluding VAT) for raw material procurement from ZTE New Telecommunications Co., Ltd. and its affiliates. Additionally, the company plans to entrust Shenzhen Zhigang Technology Industrial Co., Ltd. with raw material procurement, with a maximum aggregate transaction amount estimated at 3 billion yuan (excluding VAT) for 2026.

These transactions were approved at the company's eighteenth meeting of the tenth board of directors on December 23, 2025. Related directors, including Mr. Zhuo Weimin and Mr. Zhang Hong, recused themselves from the vote concerning ZTE New, while Ms. Fang Rong recused herself from the vote regarding Zhigang Technology. Independent directors also approved the proposals on December 16, 2025.

The company states that pricing for these connected transactions is determined through fair negotiation and standard commercial terms, based on market prices. ZTE New is selected as a supplier due to its ability to consistently manufacture required products at competitive prices, while Zhigang Technology is chosen for its efficient procurement services, logistics, and financial assurance. The company affirms that these transactions will not compromise its independence or create undue reliance on related parties.