Bank Loans

6 Months Ended

Jun. 30, 2022

Debt Disclosure [Abstract]

Bank Loans

14. Bank Loans

The outstanding balances on bank loans consisted of the following:

Lender	Maturities	Weighted average interest rate			06/30/2022		12/31/2021
Rural Credit Cooperatives of Jilin Province, Jilin Branch	Due in November 2023		7.83	%		3,725,005		3,921,138
Loan from Anhui Langxi Rural Commercial Bank Of China	Due in December 2021		3.85	%		2,624,715		2,900,916
Tonghua Dongchang Yuyin Village Bank	Due in June 2025		8.00	%		298,000		-

Buildings and land use rights in the amount of $10,178,520 are used as collateral for Jiling Branch. The short-term bank loan which is denominated in Renminbi was primarily obtained for general working capital.

The loan from Anhui Langxi Rural Commercial Bank Of China, Ansheng Branch was credit line obtained for general working capital. As of June 30, 2022, the loan was overdue and the Company proposed to extend maturities on this loan. During the subsequent period, the Company is negotiating a loan extension with its bankers and it is probable that the bank routinely keeps rolling over debt to keep the Company’s liquidity.

The loan from Tonghua Dongchang Yuyin Village Bank, as a three years long term debt, was denominated in Renminbi was primarily obtained for general working capital. On June 15, 2022, the Company authorized Mr.Chen Yongsheng and Mr.Cai Xiaodong pledged 56,930,000 shares of stocks of Jilin Chuangyuan Chemical Co., Ltd to the pledgee-Tonghua Dongchang Yuyin Village Bank. The pledgee, Tonghua Dongchang Yuyin Village Bank has custody of these stocks, which accounted for 100% of the total shares of stocks of Jilin Chuangyuan Chemical Co., Ltd during the entire term of the pledge outlined in this loan agreement. As of June 30, 2022, the Company completed the finance with equity in the pledge.