{"url_path":"/sec/xch/10-k/2026/item-7","section_key":"item-7","section_title":"Item 7 MAJOR SHAREHOLDERS AND RELATED PARTY TRANSACTIONS","topic":"sec","document":{"doc_type":"20-F","doc_date":"2026-04-27","source_url":"https://www.sec.gov/Archives/edgar/data/1979887/0001193125-26-182198-index.html","accession_number":"0001193125-26-182198","cik":"0001979887","ticker":"XCH","issuer_name":"XCHG Ltd","edgar_url":"https://www.sec.gov/Archives/edgar/data/1979887/0001193125-26-182198-index.html","primary_entity_key":"0001979887","primary_entity_name":"XCHG Ltd"},"word_count":788,"has_tables":true,"body_markdown":"## ITEM 7. MAJOR SHAREHOLDERS AND RELATED PARTY TRANSACTIONS\n\n7.A. Major Shareholders\n\nPlease refer to “Item 6. Directors, Senior Management and Employees—6.E. Share Ownership.”\n\n7.B. Related Party Transactions\n\nTransactions with Other Related Parties\n\nTransactions with Mr. Yifei Hou\n\nMr. Yifei Hou is one of our founders and shareholders. We provide Mr. Yifei Hou interest free advances from time to time for fund support. In 2023, we provided an interest-free advance of RMB2.9 million (US$0.4 million) to Mr. Yifei Hou, which was fully collected by the end of April 2024.\n\nAs of December 31, 2023, 2024 and 2025, there were no amounts due to Mr. Yifei Hou. As of December 31, 2023, 2024 and 2025, the balance of amounts due from Mr. Yifei Hou was US$0.4 million, nil and nil, respectively.\n\nTransactions with Mr. Rui Ding\n\nMr. Rui Ding is one of our founders and shareholders. We and Mr. Rui Ding provide each other interest free advances from time to time for fund support. In 2023, we provided an interest-free advance of RMB1.9 million (US$0.3 million) to Mr. Ding Rui, which was collected in January 2024. In 2022, we provided an interest-free advance of RMB1.7 million (US$0.2 million) to Mr. Rui Ding, which was fully collected in September 2023.\n\nAs of December 31, 2023, 2024 and 2025, there were no amounts due to Mr. Rui Ding. As of December 31, 2023, 2024 and 2025, the balance of amounts due from Mr. Rui Ding was US$0.3 million, nil and nil, respectively.\n\nTransactions with Other Members of Management\n\nWe provide other members of management interest free advances from time to time for fund support. In 2023, we provided two other members of management an interest-free advance of RMB0.2 million (US$27 thousand), which was fully collected in September 2023. As of December 31, 2023, 2024 and 2025, there were no amounts due to or due from such members of management.\n\nTransactions with Zhichong Technology (Shenzhen) Co., Ltd\n\nWe purchased inventories of US$71 thousand, US$0.4 million and US$0.1 million from Zhichong Technology (Shenzhen) Co., Ltd., of which we own 49% equity interest, in 2023, 2024 and 2025, respectively.\n\nWe also sold certain types of EV chargers to Zhichong Technology (Shenzhen) Co., Ltd., in the amount of US$10 thousand for the years ended December 2025.\n\nAs of December 31, 2023, 2024 and 2025, the amounts due to Zhichong Technology (Shenzhen) Co., Ltd was nil, US$0.1 million and US$0.2 million, respectively. As of December 31, 2023, 2024 and 2025, the balance of amounts due from Zhichong Technology (Shenzhen) Co., Ltd was US$85 thousand, nil and US$12 thousand, respectively.\n\nTransactions with Beijing Puyan Enterprise Management Co., Ltd\n\nAs a related party of one of our shareholders, Beijing Puyan Enterprise Management Co., Ltd is a related party of our company. On March 22, 2021, we provided a two-year loan to Beijing Puyan Enterprise Management Co., Ltd in the amount of RMB30.3 million (US$4.2 million) bearing interest at a rate of 3.85% per annum.\n\nProceeds from repayment of loans to Beijing Puyan Enterprise Management Co., Ltd. were US$2.9 million, US$55 thousand and nil million in 2023, 2024 and 2025, respectively; and interest income from Beijing Puyan Enterprise Management Co., Ltd. was US$7 thousand, US$2 thousand and US$31 thousand in 2023, 2024 and 2025, respectively.\n\nAs of December 31, 2023, 2024 and 2025, there were no amounts due to Beijing Puyan Enterprise Management Co., Ltd. As of December 31, 2023, 2024 and 2025, the balance of amounts due from Beijing Puyan Enterprise Management Co., Ltd was US$0.4 million, US$0.3 million and US$0.3 million, respectively.\n\n74\n\n \n\nTransactions with Beijing Zhichong New Energy Technology Co., Ltd\n\nWe sold products of US$0.4 million, US$1.7 million and US$0.7 million to Beijing Zhichong New Energy Technology Co., Ltd., of which we own 12% equity interest, in 2023, 2024 and 2025, respectively.\n\nIn October 2023, we provided a loan in the amount of RMB0.7 million (equivalent to US$95 thousand) to Beijing Zhichong New Energy Technology Co., Ltd. with a simple interest rate of 6% per annum. The principal and accrued interest shall be due within a year. Proceeds from repayment of the loan to Zhichong New Energy Technology Co., Ltd. was nil thousand in 2025.\n\nAs of December 31, 2023, 2024 and 2025, there were no amounts due to Beijing Zhichong New Energy Technology Co., Ltd. As of December 31, 2023, 2024 and 2025, the balance of amounts due from Beijing Zhichong New Energy Technology Co., Ltd was US$0.6 million, US$1.9 million and US$2.7 million, respectively.\n\nShare Incentive Plans\n\nSee “Item 6. Directors, Senior Management and Employees—6.B. Compensation—Share Incentive Plans.”\n\nEmployment Agreements and Indemnification Agreements\n\nSee “Item 6. Directors, Senior Management and Employees—6.B. Compensation—Employment Agreements and Indemnification Agreements.”\n\n7.C. Interests of Experts and Counsel\n\nNot applicable."}