Taoping Selected for New US$2.8 Million Agricultural Product Supply Contract; Company Continues to Build Momentum in Important Growth Market

Rhea-AI Summary

Taoping has secured a new US$2.8 million (RMB 20 million) agricultural product supply contract with Hunan Xiuxiang Agricultural Technology. The two-year agreement involves Taoping supplying designated agricultural products from its Mengla County base in Yunnan Province. This follows an earlier major project announced this year, expected to generate US$83.3 million annual output value by 2027. The company's agricultural initiatives include advanced planting, technology application, high-tech enterprise incubation, and agricultural tourism. Taoping reports successful trials at their Mengla County base with improvements in yield and product quality. The company plans to expand planting areas, develop order-based agriculture, increase production capacity, and focus on market expansion to capitalize on China's high demand for agricultural products.

Positive

• New US$2.8 million agricultural supply contract secured with Hunan Xiuxiang Agricultural Technology
• Earlier project expected to generate US$83.3 million annual output value by 2027
• Successful trials showing improvements in yield and product quality
• Strategic expansion into high-demand agricultural market in China

Negative

• None.

SHENZHEN, China, June 2, 2025 /PRNewswire/ -- Taoping Inc. (Nasdaq: TAOP, the "Company"), a provider of innovative smart cloud platform services and solutions, today announced that it has been selected for a new RMB 20 million (US$2.8 million) sales and purchase agreement. Under the latest agreement with Hunan Xiuxiang Agricultural Technology Co., Ltd. ("Xiuxiang Agricultural"), the two parties will cooperate over a two-year period, during which Taoping will supply designated agricultural products.

Xiuxiang Agricultural, based in Changsha, Hunan Province, specializes in the sale of vegetable products. After studying Taoping's state-of-the-art agricultural base in Mengla County, Yunnan Province, the company selected Taoping to help further modernize its operations and increase supply chain efficiency.

Today's agreement follows the major agreement Taoping announced earlier this year for a project expected to generate an annual output value of RMB 600 million (US$83.3 million) by 2027 in Mengla County, Xishuangbanna Prefecture, Yunnan Province. The scope includes advanced agricultural planting, the efficient application of agricultural technologies, the incubation of high-tech enterprises, and agricultural ecological tourism.

Mr. Jianghuai Lin, Chairman and CEO of the Company, said: "I am very proud of our team for all of its hard work and continued execution. This is an exciting new growth market for us, where we can leverage our expertise to add tremendous value to our partners and, we believe, also unlock significant value for our shareholders. We are already seeing very high interest from potential partners, given the enormous demand for agricultural products, especially vegetables, in China due to its large population."

"Our team has conducted several months of successful trials at our base in Mengla County, with positive improvements in both yield and quality of the products grown. We plan to further double down on our focus and investment in this large, new growth market, given the opportunities in front of us, including the newest contract we are announcing today. Moving forward, we will expand our planting areas, vigorously develop order-based agriculture, increase production capacity, and focus on market expansion. By providing high-quality agricultural products, we aim to meet customer demand and create additional revenue streams for the company."

About Mengla County, Yunnan Province

Mengla County is located in the southeastern part of Yunnan Province, China, bordering Laos to the south. It is part of the Xishuangbanna Dai Autonomous Prefecture and is known for its tropical rainforest, rich biodiversity, and ethnic diversity, with significant Dai, Hani, and Yi populations. The county is home to parts of the Xishuangbanna National Nature Reserve, which protects endangered species like Asian elephants and gibbons. Mengla serves as an important trade hub between China and Laos, with the Mohan border crossing being a key point for cross-border commerce. The region's economy is driven by tourism, agriculture (notably tea and rubber plantations), and trade.

About Taoping Inc.

Taoping Inc. (Nasdaq: TAOP) has a long history of successfully leveraging technology in the development of innovative solutions to help customers in both the private and public sectors to more effectively communicate and market to their desired targets. The Company has built a far-reaching city partner ecosystem and comprehensive portfolio of high-value, high-traffic areas for its products, which are aligned together with Taoping's smart cloud platform, cloud services and solutions, new media and artificial intelligence. For more information about Taoping, please visit http://en.taop.com.  You can also follow us on X.

Safe Harbor Statement

This press release contains "forward-looking statements" that involve substantial risks and uncertainties. All statements other than statements of historical facts contained in this press release, such as statements regarding our estimated future results of operations and financial position, our strategy and plans, and our objectives or goals, are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. We have attempted to identify forward-looking statements by terminology including "anticipates," "believes," "can," "continue," "could," "estimates," "expects," "intends," "may," "plans," "potential," "predicts," "should," or "will" or the negative of these terms or other comparable terminology. Our actual results may differ materially or perhaps significantly from those discussed herein, or implied by, these forward-looking statements. There are a significant number of factors that could cause actual results to differ materially from statements made in this press release, including: our potential inability to achieve or sustain profitability or reasonably predict our future results, the effects of the global Covid-19 pandemic or other health crisis, the emergence of additional competing technologies, changes in domestic and foreign laws, regulations and taxes, uncertainties related to China's legal system and economic, political and social events in China, the volatility of the securities markets; and other risks including, but not limited to, those that we discussed or referred to in the Company's disclosure documents filed with the U.S. Securities and Exchange Commission (the "SEC") available on the SEC's website at www.sec.gov, including the Company's most recent Annual Report on Form 20-F as well as in our other reports filed or furnished from time to time with the SEC. The forward-looking statements included in this press release are made as of the date of this press release and the Company undertakes no obligation to publicly update or revise any forward-looking statements, other than as required by applicable law.

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SOURCE Taoping Inc.

FAQ

What is the value of TAOP's new agricultural supply contract?

The new contract is valued at RMB 20 million (US$2.8 million) over a two-year period with Hunan Xiuxiang Agricultural Technology.

What is TAOP's expected annual output value from their Mengla County project by 2027?

The Mengla County project is expected to generate an annual output value of RMB 600 million (US$83.3 million) by 2027.

Where is TAOP's agricultural base located?

Taoping's agricultural base is located in Mengla County, Xishuangbanna Prefecture, Yunnan Province, China.

What are the main components of TAOP's agricultural project?

The project includes advanced agricultural planting, efficient application of agricultural technologies, incubation of high-tech enterprises, and agricultural ecological tourism.

How is TAOP planning to expand its agricultural business?

TAOP plans to expand planting areas, develop order-based agriculture, increase production capacity, and focus on market expansion to meet customer demand.