Segment Information

12 Months Ended

Dec. 31, 2018

Segment Reporting [Abstract]

SEGMENT INFORMATION

NOTE 20 - SEGMENT INFORMATION

The Company produces brake systems and other related components for different types of commercial vehicles (“Commercial Vehicle Brake Systems”). On August 31, 2010, the Company through Ruian, executed an Asset Purchase Agreement to acquire, and purchased, a segment of the passenger vehicle auto parts business (“Passenger Vehicle Brake Systems”) of Ruili Group. As a result of this acquisition, the Company’s product offerings were expanded to both commercial and passenger vehicles’ brake systems and other key safety-related auto parts.

The Company has two operating segments: Commercial Vehicle Brake Systems and Passenger Vehicle Brake Systems.

All of the Company’s long-lived assets are located in the PRC. The Company and its subsidiaries do not have long-lived assets in the United States for the reporting periods.

	2018			2017
NET SALES TO EXTERNAL CUSTOMERS
Commercial vehicles brake systems	$	386,181,206		$	330,201,227
Passenger vehicles brake systems		81,868,700			60,321,342
Net sales	$	468,049,906		$	390,522,569
INTERSEGMENT SALES
Commercial vehicles brake systems	$	—		$	—
Passenger vehicles brake systems		—			—
Intersegment sales	$	—		$	—
GROSS PROFIT
Commercial vehicles brake systems	$	96,475,100		$	89,355,410
Passenger vehicles brake systems		26,040,791			14,830,792
Gross profit	$	122,515,891		$	104,186,202
Selling and distribution expenses		55,158,703			39,067,566
General and administrative expenses		26,939,370			22,023,338
Research and development expenses		16,366,393			11,004,560
Other operating income, net		10,122,416			3,039,824
Income from operations		34,173,841			35,130,562
Interest income		6,052,416			232,466
Government grants		4,307,609			2,264,055
Other income		260,448			101,475
Interest expenses		(13,570,956	)		(3,100,396	)
Other expenses		43,219			(2,883,440	)
Income before income tax expense	$	31,266,577		$	31,744,722
CAPITAL EXPENDITURE
Commercial vehicles brake systems	$	45,877,053		$	44,185,254
Passenger vehicles brake systems		9,724,756			8,074,065
Total	$	55,601,809		$	52,259,319
DEPRECIATION AND AMORTIZATION
Commercial vehicles brake systems	$	9,768,105		$	7,828,921
Passenger vehicles brake systems		2,070,587			1,430,595
Total	$	11,838,692		$	9,259,516

	December 31, 2018		December 31, 2017
TOTAL ASSETS
Commercial vehicles brake systems	$	655,435,946	$	492,348,129
Passenger vehicles brake systems		138,935,580		89,967,813
Total	$	794,371,526	$	582,315,942

	December 31, 2018		December 31, 2017
LONG LIVED ASSETS
Commercial vehicles brake systems	$	150,067,034	$	106,779,681
Passenger vehicles brake systems		31,810,355		19,512,076
Total	$	181,877,389	$	126,291,757