Advances to Suppliers

6 Months Ended

Dec. 31, 2021

Advances To Suppliers [Abstract]

ADVANCES TO SUPPLIERS

Note 6. ADVANCES TO SUPPLIERS

The Company’s advances to suppliers – third parties are as follows:

	December 31,		June 30,
	2021		2021
Freight fees (1)	$	450,239	$	880,000

(1) The advanced freight fee is the Company’s prepayment made for various shipping costs for shipments from July to December 2021. On December 1, 2020, the Company entered into a freight logistics services and import contract with a third party for equipment import. Per contract term, the Company will act as their freight carriers and in charge the import matter of such equipment. The Company agreed to pay a deposit of $580,000 which is based on 20% of the total carrying value of equipment on behalf of customer to secure the equipment. For the three and six months ended December 31, 2021, the Company completed the freight services and the deposit was used for its cost of revenue.