Good News on Listing | Frost & Sullivan Assists Haoxin Holdings Limited in Successful US Listing (Nasdaq: HXHX)

Haoxin Holdings Co., Ltd. (hereinafter referred to as 'Haoxin Holdings') successfully listed on April 15, 2025, with an issue of 1.75 million shares at an issue price of $4 per share.

During the process of listing in the US, Frost & Sullivan mainly undertook the following tasks: helping the issuer accurately and objectively understand its positioning in the target market, using objective market data to discover, support, and highlight the issuer's competitive advantages, assisting the issuer, investment banks, and other intermediaries in completing the writing of relevant parts of the prospectus (such as the overview, competitive advantages and strategy, industry overview, business, and other important sections), helping the issuer communicate with the SEC and investors, assisting investors in quickly understanding the market ecosystem and competitive landscape, and assisting the issuer in completing feedback from regulatory authorities on various industry issues.

• The company has established a cold chain logistics system covering the entire country, possessing complete transportation, warehousing, and distribution capabilities to ensure the safety and efficiency of temperature-controlled goods during transportation;

   

• The company can provide stable services to customers with high requirements for transportation conditions, such as new energy materials, electronic products, pharmaceuticals, and fresh food, demonstrating strong professional service capabilities;

   

• The company has a diversified customer base and has established long-term and stable cooperative relationships with many well-known enterprises, enhancing its market risk resistance;

   

• The company's management team has many years of practical experience in the field of international logistics and cold chain transportation, possessing strong execution capabilities and the ability to respond to complex market changes.

The China highway freight industry relies on a wide network of highways, enabling the transportation, distribution, and dispatching of goods, materials, and cargo through freight vehicles. Its services cover multiple fields such as manufacturing, agriculture, retail, and e-commerce. The industry is particularly suitable for intercity, interurban, and remote area cargo transportation due to its flexibility, efficiency, and wide coverage. It supports the circulation of bulk commodities and daily consumer goods. In recent years, with continuous economic growth, accelerated urbanization, and the rapid development of e-commerce, the demand for highway freight has been climbing, driving the industry towards intelligent and modern transformation. Currently, by applying technologies such as the Internet of Things (IoT), big data, and intelligent dispatching, the industry has not only improved transportation efficiency and accuracy but also taken important steps in green environmental protection and sustainable development, gradually developing towards a more efficient and environmentally friendly direction.

The road freight market in China has been growing continuously in recent years, demonstrating strong expansion potential. From 2017 to 2023, the market size gradually increased from 5.2 trillion yuan to 7.4 trillion yuan, with a stable average annual growth. It is expected that from 2024 to 2028, with further economic development and increasing logistics demand, the market size will continue to expand, reaching 11.8 trillion yuan by 2028. This growth trend reflects the importance of the road freight industry in the overall logistics system and its potential for sustained growth in the future.

Source: Frost & Sullivan report

According to the 'Classification and Basic Requirements for Cold Chain Logistics' jointly issued by the General Administration of Quality Supervision, Inspection and Quarantine of China and the Standardization Administration of China, cold chain logistics is defined as a logistics activity based on freezing technology, using refrigeration or thermal storage technology as means to keep cold-chain items in a specified temperature environment throughout all stages from production, circulation, sales to consumers, in order to ensure the quality of cold-chain items and reduce losses.

The development of China's cold chain logistics industry has been rapid, but there are still gaps compared to developed countries in the construction of the cold chain logistics system. In recent years, under the trend of consumption upgrading, consumers have an even stronger demand for high-quality fresh products. The consumption characteristics of fresh products show frequent and high-quality consumption patterns. In addition, the accelerated integration of e-commerce and traditional retail has directly promoted the rise of fresh e-commerce, which has become a core force driving the development of cold chain logistics. At the same time, consumers' requirements for food freshness are increasing day by day, and the government's control over food hygiene and safety continues to strengthen, making the construction of the cold chain logistics system a major concern. Currently, China's cold chain logistics construction system is still not perfect, reflected in insufficient infrastructure construction, inadequate investment by enterprises in the cold chain logistics service system, low levels of cold chain logistics informatization, and overall order processing efficiency that needs improvement. To improve the development quality of the cold chain logistics industry, the Chinese government has continuously strengthened policy support in recent years, successively introducing policies to promote the development of the logistics industry and the circulation of agricultural and sideline products, effectively stimulating the rapid development of the cold chain logistics industry. In the future, China's cold chain logistics industry will continue to maintain a rapid growth momentum.

The Chinese temperature-controlled freight service market has shown a steady growth trend over the past few years, increasing from 255 billion yuan in 2017 to 492 billion yuan in 2023, reflecting the increasing demand for temperature-controlled transportation. With the rising requirements for transportation conditions for food, pharmaceuticals, and high-value goods, the market demand for temperature-controlled freight services continues to grow. It is expected that from 2024 to 2028, the market will continue to expand, with the market size expected to reach 747 billion yuan by 2028. This growth is mainly driven by the rapid development of fresh food and e-commerce, as well as the pharmaceutical industry's dependence on efficient temperature-controlled transportation, indicating that temperature-controlled freight services will play an increasingly important role in China's logistics industry and become a key part of ensuring the stability and efficient operation of supply chains.

Source: Frost & Sullivan report

● Upgraded consumer demand

With the expansion of China's middle class and the increasing health awareness of consumers, demand for fresh food, fresh e-commerce, and high-quality health products is growing day by day. Especially the rapid development of fresh e-commerce has made cold chain logistics services an important means to ensure food safety and extend the shelf life of goods, driving the continuous growth of the cold chain industry.

● Growth of the pharmaceutical industry

With the continuous increasing demand for temperature-controlled drugs such as biopharmaceuticals and vaccines, cold chain logistics plays an important role in ensuring the safety and effectiveness of pharmaceutical product transportation. The Chinese government has continuously strengthened its supervision over pharmaceutical cold chain logistics, further promoting the reliance on efficient and reliable cold chain logistics services in this field.

● Government policies and industry standards

The Chinese government has introduced a series of policies and regulations to promote the development of the cold chain logistics industry, especially through continuous improvement in food safety, drug supervision, and transportation temperature control standards. These policy measures not only promote the standardized development of the industry but also drive the construction and upgrading of cold chain infrastructure, thereby improving the overall efficiency of the industry.

● Technological innovation and intelligent development

With the introduction of technologies such as the Internet of Things, big data, and artificial intelligence, the efficiency and accuracy of cold chain logistics have been significantly improved. The application of intelligent temperature control technology and real-time monitoring systems makes cold chain logistics more precise and reliable during transportation, while also helping to reduce operating costs and enhance customer experience.