Stock code: 600415 Stock short name: 小商品城 Zhejiang China Commodities City Group Co., Ltd. Semi-annual Report for 2026 Important Statements I. The Company's board of directors, directors, and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report, ensuring there are no false records, misleading statements, or material omissions, and assume individual and joint legal responsibility. II. All directors of the Company were present at the board meeting. III. This semi-annual report is unaudited. IV. CHEN Dezhan, Head of the Company, BAO Hua, Principal in charge of accounting, and ZHAO Difang, Head of the accounting department (Accounting Manager), declare that they warrant the truthfulness, accuracy and completeness of the financial report in the semi-annual report. V. Plan for profit distribution or capital reserve into share capital for the current period approved by the board of directors On August 24, 2026, the Company convened the 9th meeting of the 10th Board of Directors, which reviewed and approved the Proposal on the 2026 Mid-Term Profit Distribution Plan. The profit distribution plan: based on the total share capital on the dividend distribution equity registration date, a cash dividend of RMB 1.00 (tax inclusive) will be distributed for every 10 shares. Based on the Company's total share capital as of June 30, 2026, a total cash dividend of RMB 548,355,922.60 will be distributed. If there is a change in the total share capital of the Company before the equity registration date for equity distribution, it is proposed to maintain the per share distribution plan unchanged and adjust the total distribution amount accordingly. VI. Risk statement with forward-looking representations √Applicable □Not applicable The forward-looking representations involved in this Report such as future plans and development strategies do not constitute the Company’s substantial commitments to investors. Investors should pay attention to investment risks. VII. Is the Company’s cash occupied by its controlling shareholder or any of the other affiliates for non-operational purposes? No VIII. Has the Company provided external guarantee in violation of the prescribed decision-making procedures? No IX. Whether there is a circumstance that more than half of the directors cannot guarantee the authenticity, accuracy and completeness of the semi-annual report disclosed by the Company No X. Reminder of major risks During the reporting period, the Company did not have any significant risks that would affect its continued operations. The Company has provided a detailed description of the potential risks it may face in the "Potential Risks" part in Section III "Discussion and Analysis of Managers" of this report. XI. Other □Applicable √Not applicable Table of Contents SECTION I. DEFINITIONS......5 SECTION II. COMPANY PROFILE AND FINANCIAL HIGHLIGHTS......6 SECTION III. DISCUSSION AND ANALYSIS OF MANAGERS......9 SECTION IV. CORPORATE GOVERNANCE, ENVIRONMENT, AND SOCIETY......35 SECTION V. SIGNIFICANT MATTERS......37 SECTION VI. CHANGES IN SHARES AND INFORMATION ON SHAREHOLDERS......44 SECTION VII. BONDS......47 SECTION VIII. FINANCIAL REPORT......51 Accounting statements with the signatures and stamps of head of the Company, principal in charge of accounting, and head of the Documents for accounting department (Accounting Manager). Inspection The originals of all company documents and announcements publicly disclosed during the reporting period Section I. Definitions For the purpose of this Repor