Recognition of Costs Related to Certain Cargo in Solar Panel Exports to the United States
Consolidated subsidiary Vietnam Sunergy Joint Stock Company (VSUN)
Certain cargo of solar panels exported to the United States, covering the first vessel and the remaining 2 vessels
U.S. Customs and Border Protection did not confirm sufficient evidence to grant an exception under the Uyghur Forced Labor Prevention Act and did not permit the cargo to enter the United States
Approximately ¥2.08 billion was recognized as cost of sales in the fiscal year ending March 2026. Approximately ¥430 million in costs is expected to be recognized from the first quarter of the fiscal year ending March 2027 onward. These are not extraordinary losses
Consolidated financial statements for the fiscal year ending March 2026. Additional costs will be recognized from the first quarter of the fiscal year ending March 2027 onward
The impact on the earnings forecast is Not disclosed. No extraordinary loss or similar item is expected to arise
Related procedures
Notification from U.S. Customs and Border Protection concerning the denial of entry into the United States
U.S. Customs and Border Protection
Approximately ¥430 million in demurrage and other costs is expected to be recognized from the first quarter of the fiscal year ending March 2027 onward. If circumstances arise requiring additional disclosure regarding this matter, the Company will promptly make the disclosure
If circumstances arise requiring additional disclosure, the Company will promptly make the disclosure
| Item | Details |
|---|---|
| Event name | Recognition of Costs Related to Certain Cargo in Solar Panel Exports to the United States |
| Date recognized / date notice received | Receipt of the notification was disclosed on 17 April 2026 (the specific date of receipt is Not disclosed) |
| Subject Entity | Consolidated subsidiary Vietnam Sunergy Joint Stock Company (VSUN) |
| Target Locations / Products | Certain cargo of solar panels exported to the United States, covering the first vessel and the remaining 2 vessels |
| Cause | U.S. Customs and Border Protection did not confirm sufficient evidence to grant an exception under the Uyghur Forced Labor Prevention Act and did not permit the cargo to enter the United States |
| Amount of Impact on Business Performance | Approximately ¥2.08 billion was recognized as cost of sales in the fiscal year ending March 2026. Approximately ¥430 million in costs is expected to be recognized from the first quarter of the fiscal year ending March 2027 onward. These are not extraordinary losses |
| Accounting period in which recognized | Consolidated financial statements for the fiscal year ending March 2026. Additional costs will be recognized from the first quarter of the fiscal year ending March 2027 onward |
| Impact on Earnings Forecast | The impact on the earnings forecast is Not disclosed. No extraordinary loss or similar item is expected to arise |
| Type of litigation or proceeding | Notification from U.S. Customs and Border Protection concerning the denial of entry into the United States |
| Court or authority | U.S. Customs and Border Protection |
| Outlook | Approximately ¥430 million in demurrage and other costs is expected to be recognized from the first quarter of the fiscal year ending March 2027 onward. If circumstances arise requiring additional disclosure regarding this matter, the Company will promptly make the disclosure |
| Planned follow-up disclosure | If circumstances arise requiring additional disclosure, the Company will promptly make the disclosure |
Items this document does not state (13)
These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.
The reasons the company gives
The company's own explanation, not something inferred from the numbers.The cargo was not permitted to enter the United States because U.S. Customs and Border Protection determined that it could not confirm sufficient evidence to grant an exception under the Uyghur Forced Labor Prevention Act. As a result, demurrage and certain return shipping costs were incurred in the United States.