On October 26th, Gelonhui|Regarding the question of "How to view the rapid increase in the current penetration rate of electric wheel loaders and the increasingly intense price wars? Will it affect the company's gross margin of electric products," Liugong stated at the performance briefing that, guided by national policies and the continuous maturity of electric products, the domestic electric penetration rate has rapidly increased from 3% two years ago to around 25% this year. Many non-traditional construction machinery enterprises have successively entered the field of electric wheel loaders, leading to inevitable price wars. However, due to differences in their respective purposes, medium to long-term goals, and capabilities, such competition is unlikely to last long, and the market is bound to undergo rapid elimination. As evidenced by the fact that last year, there were as many as dozens of electric equipment manufacturing companies, but the number has rapidly decreased this year, and it is expected to continue decreasing in the future. In the first few years when electric equipment was introduced to the market, the gross margin was higher than that of traditional fuel-powered equipment. However, from last year to this year, due to the cutthroat market competition, the gross margin of electric wheel loaders has sharply declined, with the gross margins of most competitors plummeting to extremely low levels. The company has always adhered to a long-term approach, not actively engaging in price wars, but also unafraid to do so if necessary. Based on the product competitiveness and brand advantages of electric wheel loaders, the company has always maintained prices at a relatively high level within the industry. Although the overall competition in the domestic electric equipment market has deteriorated, causing some impact on the overall gross margin, the company has implemented measures such as improving the gross margin of fuel-powered equipment and comprehensive cost reduction, resulting in the overall gross margin of loaders being maintained at the same level as the same period last year.