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Ever-Glory International Group, Inc. – ‘10-K’ for 12/31/20 – ‘EX-101.INS’

On:  Tuesday, 3/30/21, at 4:47pm ET   ·   For:  12/31/20   ·   Accession #:  1213900-21-18685   ·   File #:  1-34124

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  As Of               Filer                 Filing    For·On·As Docs:Size             Issuer                      Filing Agent

 3/30/21  Ever-Glory Int’l Group, Inc.      10-K       12/31/20   81:4.8M                                   EdgarAgents LLC/FA

Annual Report   —   Form 10-K
Filing Table of Contents

Document/Exhibit                   Description                      Pages   Size 

 1: 10-K        Annual Report                                       HTML    587K 
 2: EX-21.1     Subsidiaries of Registrant                          HTML     18K 
 3: EX-31.1     Certification by Chief Executive Officer Pursuant   HTML     25K 
                to Sarbanes Oxley Section 302.*                                  
 4: EX-31.2     Certification by Chief Financial Officer Pursuant   HTML     25K 
                to Sarbanes Oxley Section 302.*                                  
 5: EX-32.1     Certification by Chief Executive Officer Pursuant   HTML     21K 
                to 18 U.S.C. Section 1350.*                                      
 6: EX-32.2     Certification by Chief Financial Officer Pursuant   HTML     21K 
                to 18 U.S.C. Section 1350.*                                      
13: R1          Document and Entity Information                     HTML     59K 
14: R2          Consolidated Balance Sheets                         HTML    146K 
15: R3          Consolidated Balance Sheets (Parenthetical)         HTML     29K 
16: R4          Consolidated Statements of Income and               HTML    109K 
                Comprehensive Income                                             
17: R5          Consolidated Statements of Equity                   HTML     59K 
18: R6          Consolidated Statements of Cash Flows               HTML    127K 
19: R7          Organization and Basis of Presentation              HTML     30K 
20: R8          Summary of Significant Accounting Policies          HTML     59K 
21: R9          Investments                                         HTML     29K 
22: R10         Inventories                                         HTML     26K 
23: R11         Intangible Assets                                   HTML     27K 
24: R12         Property and Equipment                              HTML     29K 
25: R13         Other Payables and Accrued Liabilities              HTML     26K 
26: R14         Bank Loans                                          HTML     34K 
27: R15         Income Tax                                          HTML     38K 
28: R16         Stockholders' Equity                                HTML     27K 
29: R17         Related Party Transactions                          HTML     47K 
30: R18         Commitments and Contingencies                       HTML     34K 
31: R19         Loss on Deconsoliation of a Subsidiary              HTML     24K 
32: R20         Risks and Uncertainties                             HTML     36K 
33: R21         Segments                                            HTML     48K 
34: R22         Summary of Significant Accounting Policies          HTML    110K 
                (Policies)                                                       
35: R23         Summary of Significant Accounting Policies          HTML     24K 
                (Tables)                                                         
36: R24         Investments (Tables)                                HTML     25K 
37: R25         Inventories (Tables)                                HTML     26K 
38: R26         Intangible Assets (Tables)                          HTML     25K 
39: R27         Property and Equipment (Tables)                     HTML     27K 
40: R28         Other Payables and Accrued Liabilities (Tables)     HTML     26K 
41: R29         Bank Loans (Tables)                                 HTML     26K 
42: R30         Income Tax (Tables)                                 HTML     35K 
43: R31         Related Party Transactions (Tables)                 HTML     43K 
44: R32         Commitments and Contingencies (Tables)              HTML     26K 
45: R33         Risks and Uncertainties (Tables)                    HTML     27K 
46: R34         Segments (Tables)                                   HTML     44K 
47: R35         Organization and Basis of Presentation (Details)    HTML     24K 
48: R36         Summary of Significant Accounting Policies          HTML     34K 
                (Details)                                                        
49: R37         Summary of Significant Accounting Policies          HTML     48K 
                (Details Textual)                                                
50: R38         Investments (Details)                               HTML     29K 
51: R39         Investments (Details Textual)                       HTML     29K 
52: R40         Inventories (Details)                               HTML     29K 
53: R41         Inventories (Details Textual)                       HTML     23K 
54: R42         Intangible Assets (Details)                         HTML     27K 
55: R43         Intangible Assets (Details Textual)                 HTML     48K 
56: R44         Property and Equipment (Details)                    HTML     38K 
57: R45         Property and Equipment (Details Textual)            HTML     23K 
58: R46         Other Payables and Accrued Liabilities (Details)    HTML     30K 
59: R47         Bank Loans (Details)                                HTML     35K 
60: R48         Bank Loans (Details Textual)                        HTML    145K 
61: R49         Income Tax (Details)                                HTML     29K 
62: R50         Income Tax (Details 1)                              HTML     29K 
63: R51         Income Tax (Details 2)                              HTML     29K 
64: R52         Income Tax (Details Textual)                        HTML     52K 
65: R53         Stockholders' Equity (Details)                      HTML     44K 
66: R54         Related Party Transactions (Details)                HTML     25K 
67: R55         Related Party Transactions (Details 1)              HTML     27K 
68: R56         Related Party Transactions (Details 2)              HTML     37K 
69: R57         Related Party Transactions (Details 3)              HTML     38K 
70: R58         Related Party Transactions (Details 4)              HTML     26K 
71: R59         Related Party Transactions (Details Textual)        HTML     54K 
72: R60         Commitments and Contingencies (Details)             HTML     42K 
73: R61         Commitments and Contingencies (Details Textual)     HTML     53K 
74: R62         Liquidation Proceeding of Yiduo (Details)           HTML     29K 
75: R63         Risks and Uncertainties (Details)                   HTML     42K 
76: R64         Risks and Uncertainties (Details Textual)           HTML     50K 
77: R65         Segments (Details)                                  HTML     61K 
78: R66         Segments (Details Textual)                          HTML     22K 
80: XML         IDEA XML File -- Filing Summary                      XML    145K 
79: EXCEL       IDEA Workbook of Financial Reports                  XLSX     96K 
 7: EX-101.INS  XBRL Instance -- evk-20201231                        XML   1.19M 
 9: EX-101.CAL  XBRL Calculations -- evk-20201231_cal                XML    179K 
10: EX-101.DEF  XBRL Definitions -- evk-20201231_def                 XML    493K 
11: EX-101.LAB  XBRL Labels -- evk-20201231_lab                      XML    932K 
12: EX-101.PRE  XBRL Presentations -- evk-20201231_pre               XML    750K 
 8: EX-101.SCH  XBRL Schema -- evk-20201231                          XSD    189K 
81: ZIP         XBRL Zipped Folder -- 0001213900-21-018685-xbrl      Zip    125K

‘EX-101.INS’   —   XBRL Instance — evk-20201231

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<us-gaap:DebtInstrumentMaturityDateDescription contextRef="From2020-01-01to2020-12-31_custom_EverGloryApparelMember33051916"> September 2021 </us-gaap:DebtInstrumentMaturityDateDescription>
<us-gaap:DebtInstrumentMaturityDateDescription contextRef="From2020-07-01to2020-11-30_custom_EverGloryApparelMember_custom_ShanghaiPudongDevelopmentBankMember"> Due between May 2021 and October 2021. </us-gaap:DebtInstrumentMaturityDateDescription>
<us-gaap:DebtInstrumentMaturityDateDescription contextRef="From2020-11-01to2020-12-31_custom_ShanghaiPudongDevelopmentBankMember_custom_GoldenwayMember"> Due between May 2021and December 2021. </us-gaap:DebtInstrumentMaturityDateDescription>
<us-gaap:DebtInstrumentMaturityDateDescription contextRef="From2020-01-01to2020-12-31_custom_IndustrialAndCommercialBankOfChinaMember_custom_GoldenwayMember"> August 2021 </us-gaap:DebtInstrumentMaturityDateDescription>
<us-gaap:DebtInstrumentMaturityDateDescription contextRef="From2020-01-01to2020-12-31_custom_NanjingKnittingMember_custom_EverGloryApparelMember"> March 2021 to October 2021 </us-gaap:DebtInstrumentMaturityDateDescription>
<us-gaap:DebtInstrumentMaturityDateDescription contextRef="From2020-01-01to2020-12-31_custom_LaGoGoMember"> September 2021 </us-gaap:DebtInstrumentMaturityDateDescription>
<us-gaap:LineOfCreditFacilityInterestRateDuringPeriod contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="pure" decimals="INF"> 0.036 </us-gaap:LineOfCreditFacilityInterestRateDuringPeriod>
<us-gaap:LineOfCreditFacilityInterestRateDuringPeriod contextRef="From2020-01-01to2020-12-31_custom_NanjingKnittingMember_custom_EverGloryApparelMember_srt_MinimumMember" unitRef="pure" decimals="INF"> 0.0395 </us-gaap:LineOfCreditFacilityInterestRateDuringPeriod>
<us-gaap:LineOfCreditFacilityInterestRateDuringPeriod contextRef="From2020-01-01to2020-12-31_custom_NanjingKnittingMember_custom_EverGloryApparelMember_srt_MaximumMember" unitRef="pure" decimals="INF"> 0.0435 </us-gaap:LineOfCreditFacilityInterestRateDuringPeriod>
<us-gaap:LineOfCreditFacilityInterestRateDuringPeriod contextRef="From2019-01-01to2019-12-31" unitRef="pure" decimals="INF"> 0.0460 </us-gaap:LineOfCreditFacilityInterestRateDuringPeriod>
<us-gaap:LineOfCreditFacilityInterestRateDuringPeriod contextRef="From2020-01-01to2020-12-31_custom_EverGloryApparelMember33051916" unitRef="pure" decimals="INF"> 0.0301 </us-gaap:LineOfCreditFacilityInterestRateDuringPeriod>
<us-gaap:LineOfCreditFacilityInterestRateDuringPeriod contextRef="From2020-03-01to2020-07-31_custom_EverGloryApparelMember_custom_ShanghaiPudongDevelopmentBankMember_srt_MinimumMember" unitRef="pure" decimals="INF"> 0.0375 </us-gaap:LineOfCreditFacilityInterestRateDuringPeriod>
<us-gaap:LineOfCreditFacilityInterestRateDuringPeriod contextRef="From2020-03-01to2020-07-31_custom_EverGloryApparelMember_custom_ShanghaiPudongDevelopmentBankMember_srt_MaximumMember" unitRef="pure" decimals="INF"> 0.0399 </us-gaap:LineOfCreditFacilityInterestRateDuringPeriod>
<us-gaap:LineOfCreditFacilityInterestRateDuringPeriod contextRef="From2020-07-01to2020-11-30_custom_EverGloryApparelMember_custom_ShanghaiPudongDevelopmentBankMember_srt_MinimumMember" unitRef="pure" decimals="INF"> 0.0250 </us-gaap:LineOfCreditFacilityInterestRateDuringPeriod>
<us-gaap:LineOfCreditFacilityInterestRateDuringPeriod contextRef="From2020-07-01to2020-11-30_custom_EverGloryApparelMember_custom_ShanghaiPudongDevelopmentBankMember_srt_MaximumMember" unitRef="pure" decimals="INF"> 0.0310 </us-gaap:LineOfCreditFacilityInterestRateDuringPeriod>
<us-gaap:LineOfCreditFacilityInterestRateDuringPeriod contextRef="From2020-01-01to2020-12-31_custom_ShanghaiPudongDevelopmentBankMember_custom_GoldenwayMember" unitRef="pure" decimals="INF"> 0.0385 </us-gaap:LineOfCreditFacilityInterestRateDuringPeriod>
<us-gaap:LineOfCreditFacilityInterestRateDuringPeriod contextRef="From2020-01-01to2020-12-31_custom_IndustrialAndCommercialBankOfChinaMember_custom_GoldenwayMember" unitRef="pure" decimals="INF"> 0.0457 </us-gaap:LineOfCreditFacilityInterestRateDuringPeriod>
<us-gaap:LineOfCreditFacilityInterestRateDuringPeriod contextRef="From2020-01-01to2020-12-31_custom_LaGoGoMember" unitRef="pure" decimals="INF"> 0.0455 </us-gaap:LineOfCreditFacilityInterestRateDuringPeriod>
<us-gaap:LineOfCreditFacilityInterestRateDuringPeriod contextRef="From2020-11-01to2020-12-31_custom_ShanghaiPudongDevelopmentBankMember" unitRef="pure" decimals="INF"> 0.0290 </us-gaap:LineOfCreditFacilityInterestRateDuringPeriod>
<us-gaap:InterestExpenseDebt contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 2340000 </us-gaap:InterestExpenseDebt>
<us-gaap:InterestExpenseDebt contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 1220000 </us-gaap:InterestExpenseDebt>
<us-gaap:SecuritiesBorrowed contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00_LineOfCreditFacilityAxis_NanjingBankMember_LegalEntityAxis_EverGloryApparelMember" unitRef="USD" decimals="-3"> 15300000 </us-gaap:SecuritiesBorrowed>
<us-gaap:SecuritiesBorrowed contextRef="AsOf2020-04-30_custom_IndustrialAndCommercialBankOfChinaMember_custom_GoldenwayMember" unitRef="USD" decimals="-3"> 6100000 </us-gaap:SecuritiesBorrowed>
<us-gaap:SecuritiesBorrowed contextRef="AsOf2020-04-30_custom_IndustrialAndCommercialBankOfChinaMember_custom_GoldenwayMember_custom_ChineseYuanRenminbiMember" unitRef="CNY" decimals="-3"> 40000000 </us-gaap:SecuritiesBorrowed>
<us-gaap:SecuritiesBorrowed contextRef="AsOf2020-12-31_custom_NanjingBankMember_custom_EverGloryApparelMember_custom_ChineseYuanRenminbiMember" unitRef="CNY" decimals="-3"> 100000000 </us-gaap:SecuritiesBorrowed>
<us-gaap:SecuritiesBorrowed contextRef="AsOf2020-12-31_custom_EverGloryApparelMember" unitRef="USD" decimals="-3"> 2300000 </us-gaap:SecuritiesBorrowed>
<us-gaap:SecuritiesBorrowed contextRef="AsOf2020-12-31_custom_EverGloryApparelMember_custom_ChineseYuanRenminbiMember" unitRef="CNY" decimals="-3"> 15000000 </us-gaap:SecuritiesBorrowed>
<us-gaap:SecuritiesBorrowed contextRef="AsOf2020-12-31_custom_IndustrialAndCommercialBankOfChinaMember_custom_GoldenwayMember" unitRef="USD" decimals="-3"> 6100000 </us-gaap:SecuritiesBorrowed>
<us-gaap:SecuritiesBorrowed contextRef="AsOf2020-12-31_custom_IndustrialAndCommercialBankOfChinaMember_custom_GoldenwayMember_custom_ChineseYuanRenminbiMember" unitRef="CNY" decimals="-3"> 40000000 </us-gaap:SecuritiesBorrowed>
<us-gaap:SecuritiesBorrowed contextRef="AsOf2020-12-31_custom_LaGoGoMember37447041" unitRef="USD" decimals="-3"> 2300000 </us-gaap:SecuritiesBorrowed>
<us-gaap:SecuritiesBorrowed contextRef="AsOf2020-12-31_custom_LaGoGoMember_custom_ChineseYuanRenminbiMember" unitRef="CNY" decimals="-3"> 15000000 </us-gaap:SecuritiesBorrowed>
<dei:EntityPublicFloat contextRef="AsOf2020-06-30" unitRef="USD" decimals="0"> 4200000 </dei:EntityPublicFloat>
<dei:EntityWellKnownSeasonedIssuer contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00"> No </dei:EntityWellKnownSeasonedIssuer>
<dei:EntityVoluntaryFilers contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00"> No </dei:EntityVoluntaryFilers>
<evk:NumberOfCustomer contextRef="From2019-01-01to2019-12-31_us-gaap_SalesRevenueNetMember_custom_WholesaleBusinessMember" unitRef="customer" decimals="INF"> 1 </evk:NumberOfCustomer>
<evk:NumberOfCustomer contextRef="From2020-01-01to2020-12-31_custom_WholesaleBusinessMember" unitRef="customer" decimals="INF"> 5 </evk:NumberOfCustomer>
<evk:NumberOfCustomer contextRef="From2019-01-01to2019-12-31_custom_WholesaleBusinessMember" unitRef="customer" decimals="INF"> 5 </evk:NumberOfCustomer>
<evk:NumberOfManufacturers contextRef="From2020-01-01to2020-12-31_custom_ManufacturerTwoMember" unitRef="manufacturer" decimals="INF"> 2 </evk:NumberOfManufacturers>
<evk:NumberOfManufacturers contextRef="From2019-01-01to2019-12-31_custom_ManufacturerTwoMember" unitRef="manufacturer" decimals="INF"> 2 </evk:NumberOfManufacturers>
<evk:NumberOfManufacturers contextRef="From2019-01-01to2019-12-31_custom_ManufacturerOneMember" unitRef="manufacturer" decimals="INF"> 1 </evk:NumberOfManufacturers>
<evk:NumberOfManufacturers contextRef="From2020-01-01to2020-12-31_us-gaap_SalesRevenueNetMember_custom_ManufacturersMember" unitRef="manufacturer" decimals="INF"> 5 </evk:NumberOfManufacturers>
<evk:NumberOfManufacturers contextRef="From2019-01-01to2019-12-31_us-gaap_SalesRevenueNetMember_custom_ManufacturersMember" unitRef="manufacturer" decimals="INF"> 5 </evk:NumberOfManufacturers>
<evk:NumberOfRawMaterialSuppliers contextRef="From2020-01-01to2020-12-31_custom_SupplierFiveMember" unitRef="supplier" decimals="INF"> 5 </evk:NumberOfRawMaterialSuppliers>
<evk:NumberOfRawMaterialSuppliers contextRef="From2019-01-01to2019-12-31_custom_SupplierFiveMember" unitRef="supplier" decimals="INF"> 5 </evk:NumberOfRawMaterialSuppliers>
<evk:LineOfCreditExtendedMaturityDateDescription contextRef="From2019-08-02to2019-08-31"> Ever-Glory Apparel and Goldenway collectively entered into a secured banking facility agreement for a combined revolving import facility, letter of credit, invoice financing facilities and a credit line for treasury products of up to $2.5 million with the Nanjing Branch of HSBC (China) Company Limited (“HSBC”). This agreement is guaranteed by the Company and Mr. Kang. As of December 31, 2020, approximately $2.5 million was unused and available under this line of credit. </evk:LineOfCreditExtendedMaturityDateDescription>
<evk:Deferred contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 94000 </evk:Deferred>
<evk:Deferred contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> -1350000 </evk:Deferred>
<evk:DescriptionOfAppropriationsToStatutorySurplusReserve contextRef="From2020-01-01to2020-12-31_custom_TwoIndependentDirectorsMember"> Appropriations to the statutory surplus reserve are to be at least 10% of the after tax net income determined in accordance with PRC GAAP until the reserve is equal to 50% of the entities' registered capital. </evk:DescriptionOfAppropriationsToStatutorySurplusReserve>
<evk:DescriptionOfAppropriationsToStatutoryPublicWelfareFund contextRef="From2020-01-01to2020-12-31_custom_TwoIndependentDirectorsMember"> Appropriations to the statutory public welfare fund are 10% of the after tax net income determined in accordance with PRC GAAP. </evk:DescriptionOfAppropriationsToStatutoryPublicWelfareFund>
<evk:ConditionToContributeToStatutoryFundReserve contextRef="From2020-01-01to2020-12-31_custom_TwoIndependentDirectorsMember"> Effective January 1, 2006, the Company is only required to contribute to one statutory reserve fund at 10% of net income after tax per annum, and any contributions are not to exceed 50% of the respective companies' registered capital. </evk:ConditionToContributeToStatutoryFundReserve>
<us-gaap:StockIssuedDuringPeriodSharesIssuedForServices contextRef="From2019-07-01to2019-07-26_custom_TwoIndependentDirectorsMember" unitRef="shares" decimals="INF"> 1630 </us-gaap:StockIssuedDuringPeriodSharesIssuedForServices>
<us-gaap:StockIssuedDuringPeriodSharesIssuedForServices contextRef="From2019-01-01to2019-01-31_custom_TwoIndependentDirectorsMember" unitRef="shares" decimals="INF"> 1942 </us-gaap:StockIssuedDuringPeriodSharesIssuedForServices>
<us-gaap:StockIssuedDuringPeriodSharesIssuedForServices contextRef="From2020-01-01to2020-01-15_custom_TwoIndependentDirectorsMember" unitRef="shares" decimals="INF"> 3062 </us-gaap:StockIssuedDuringPeriodSharesIssuedForServices>
<us-gaap:StockIssuedDuringPeriodSharesIssuedForServices contextRef="From2020-07-01to2020-07-10_custom_TwoIndependentDirectorsMember" unitRef="shares" decimals="INF"> 4328 </us-gaap:StockIssuedDuringPeriodSharesIssuedForServices>
<us-gaap:SaleOfStockPricePerShare contextRef="AsOf2019-07-26_custom_TwoIndependentDirectorsMember" unitRef="USD_per_Share" decimals="INF"> 3.04 </us-gaap:SaleOfStockPricePerShare>
<us-gaap:SaleOfStockPricePerShare contextRef="AsOf2019-01-31_custom_TwoIndependentDirectorsMember" unitRef="USD_per_Share" decimals="INF"> 3.8 </us-gaap:SaleOfStockPricePerShare>
<us-gaap:SaleOfStockPricePerShare contextRef="AsOf2020-12-31_custom_TwoIndependentDirectorsMember" unitRef="USD_per_Share" decimals="INF"> 1.65 </us-gaap:SaleOfStockPricePerShare>
<us-gaap:SaleOfStockPricePerShare contextRef="AsOf2020-01-15_custom_TwoIndependentDirectorsMember" unitRef="USD_per_Share" decimals="INF"> 1.65 </us-gaap:SaleOfStockPricePerShare>
<us-gaap:SaleOfStockPricePerShare contextRef="AsOf2020-07-10_custom_TwoIndependentDirectorsMember" unitRef="USD_per_Share" decimals="INF"> 1.15 </us-gaap:SaleOfStockPricePerShare>
<evk:BasisForCalculationOfCalculationAverageMarketPriceForCommonStock contextRef="From2019-07-01to2019-07-26_custom_TwoIndependentDirectorsMember"> Five days before the grant date.  </evk:BasisForCalculationOfCalculationAverageMarketPriceForCommonStock>
<evk:BasisForCalculationOfCalculationAverageMarketPriceForCommonStock contextRef="From2019-01-01to2019-01-31_custom_TwoIndependentDirectorsMember"> Five days before the grant date. </evk:BasisForCalculationOfCalculationAverageMarketPriceForCommonStock>
<evk:BasisForCalculationOfCalculationAverageMarketPriceForCommonStock contextRef="From2020-01-01to2020-01-15_custom_TwoIndependentDirectorsMember"> five days before the grant date. </evk:BasisForCalculationOfCalculationAverageMarketPriceForCommonStock>
<evk:BasisForCalculationOfCalculationAverageMarketPriceForCommonStock contextRef="From2020-07-01to2020-07-10_custom_TwoIndependentDirectorsMember"> five days before the grant date. </evk:BasisForCalculationOfCalculationAverageMarketPriceForCommonStock>
<evk:NumberOfDirectors contextRef="From2019-07-01to2019-07-26_custom_TwoIndependentDirectorsMember" unitRef="Directors" decimals="INF"> 2 </evk:NumberOfDirectors>
<evk:NumberOfDirectors contextRef="From2019-01-01to2019-01-31_custom_TwoIndependentDirectorsMember" unitRef="Directors" decimals="INF"> 2 </evk:NumberOfDirectors>
<evk:NumberOfDirectors contextRef="From2020-01-01to2020-01-15_custom_TwoIndependentDirectorsMember" unitRef="Directors" decimals="INF"> 2 </evk:NumberOfDirectors>
<evk:NumberOfDirectors contextRef="From2020-07-01to2020-07-10_custom_TwoIndependentDirectorsMember" unitRef="Directors" decimals="INF"> 2 </evk:NumberOfDirectors>
<dei:EntityCommonStockSharesOutstanding contextRef="AsOf2021-03-30" unitRef="shares" decimals="INF"> 14810660 </dei:EntityCommonStockSharesOutstanding>
<us-gaap:EffectiveIncomeTaxRateReconciliationDeductions contextRef="From2019-01-01to2019-12-31_country_CN" unitRef="pure" decimals="INF"> 0.539 </us-gaap:EffectiveIncomeTaxRateReconciliationDeductions>
<us-gaap:EffectiveIncomeTaxRateReconciliationDeductions contextRef="From2020-01-01to2020-12-31_country_CN" unitRef="pure" decimals="INF"> 0.180 </us-gaap:EffectiveIncomeTaxRateReconciliationDeductions>
<us-gaap:DepositLiabilitiesCollateralIssuedFinancialInstruments contextRef="AsOf2020-07-31_custom_EverGloryApparelMember_custom_ShanghaiPudongDevelopmentBankMember" unitRef="USD" decimals="-3"> 29100000 </us-gaap:DepositLiabilitiesCollateralIssuedFinancialInstruments>
<us-gaap:DepositLiabilitiesCollateralIssuedFinancialInstruments contextRef="AsOf2020-07-31_custom_EverGloryApparelMember_custom_ShanghaiPudongDevelopmentBankMember_custom_ChineseYuanRenminbiMember" unitRef="CNY" decimals="-3"> 190000000 </us-gaap:DepositLiabilitiesCollateralIssuedFinancialInstruments>
<us-gaap:DepositLiabilitiesCollateralIssuedFinancialInstruments contextRef="AsOf2020-11-30_custom_EverGloryApparelMember_custom_ShanghaiPudongDevelopmentBankMember_custom_ChineseYuanRenminbiMember" unitRef="CNY" decimals="-3"> 190000000 </us-gaap:DepositLiabilitiesCollateralIssuedFinancialInstruments>
<us-gaap:DepositLiabilitiesCollateralIssuedFinancialInstruments contextRef="AsOf2020-11-30_custom_EverGloryApparelMember_custom_ShanghaiPudongDevelopmentBankMember" unitRef="USD" decimals="-3"> 29100000 </us-gaap:DepositLiabilitiesCollateralIssuedFinancialInstruments>
<us-gaap:DepositLiabilitiesCollateralIssuedFinancialInstruments contextRef="AsOf2020-12-31_custom_ShanghaiPudongDevelopmentBankMember_custom_GoldenwayMember" unitRef="USD" decimals="-3"> 10700000 </us-gaap:DepositLiabilitiesCollateralIssuedFinancialInstruments>
<us-gaap:DepositLiabilitiesCollateralIssuedFinancialInstruments contextRef="AsOf2020-12-31_custom_ShanghaiPudongDevelopmentBankMember_custom_GoldenwayMember_custom_ChineseYuanRenminbiMember" unitRef="CNY" decimals="-3"> 70000000 </us-gaap:DepositLiabilitiesCollateralIssuedFinancialInstruments>
<evk:DescriptionOfBankLoan contextRef="From2020-04-02to2020-04-30"> Ever-Glory Apparel entered into a line of credit agreement for approximately $4.6 million (RMB30.0 million) with Bank of China and guaranteed by Jiangsu Ever-Glory. These loans are also collateralized by assets of Jiangsu Ever-Glory’s equity investee, Chuzhou Huarui, under a collateral agreement executed by Ever-Glory Apparel, Chuzhou Huarui and Bank of China. As of December 31, 2020, approximately $4.6 million was unused and available under this line of credit. </evk:DescriptionOfBankLoan>
<us-gaap:BasisOfAccounting contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b>NOTE 1 ORGANIZATION AND BASIS OF PRESENTATION</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Ever-Glory International Group, Inc. (the “Company”), together with its subsidiaries, is an apparel manufacturer, supplier and retailer in The People’s Republic of China (“China or “PRC”), with a wholesale segment and a retail segment. The Company’s wholesale business consists of recognized brands for department and specialty stores located in China, Europe, Japan and the United States. The Company’s retail business consists of flagship stores and store-in-stores for the Company’s own-brand products. The following are the Company’s subsidiaries as of December 31, 2020:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Perfect Dream Limited (“Perfect Dream”), a wholly-owned subsidiary of Ever-Glory, was incorporated in the British Virgin Islands in 2004.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Ever-Glory International Group (HK) Ltd. (“Ever-Glory HK”), a wholly-owned subsidiary of Perfect Dream, was incorporated in Samoa in 2009. Ever-Glory HK is principally engaged in the import and export of apparel, fabric and accessories.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Goldenway Nanjing Garments Co. Ltd. (“Goldenway”), a wholly-owned subsidiary of Perfect Dream, was incorporated in the PRC in 1993.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Nanjing Catch-Luck Garments Co, Ltd. (“Catch-Luck”), a wholly-owned subsidiary of Perfect Dream, was incorporated in the PRC in 1995.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Nanjing New-Tailun Garments Co. Ltd. (“New-Tailun’), a wholly-owned subsidiary of Perfect Dream, was incorporated in the PRC in 2006.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Ever-Glory International Group Apparel Inc. (“Ever-Glory Apparel”), a wholly-owned subsidiary of Goldenway, was incorporated in the PRC in 2009.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Shanghai LA GO GO Fashion Company Limited (“Shanghai LA GO GO”), a wholly-owned subsidiary of Ever-Glory Apparel, was incorporated in the PRC in 2008.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Nanjing Tai Xin Garments Trading Company Limited (“Tai Xin”), a wholly-owned subsidiary of Ever-Glory Apparel, was incorporated in the PRC in 2012.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Jiangsu LA GO GO Fashion Company Limited (“Jiangsu LA GO GO”), a joint venture of Ever-Glory Apparel and Catch-Luck, was incorporated in the PRC in 2013.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Haian Tai Xin Garments Trading Company Limited (“Haian Tai Xin”), a wholly-owned subsidiary of Ever-Glory Apparel, was incorporated in the PRC in 2019.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Nanjing Rui Lian Technology Company Limited (“<b>Nanjing Rui Lian</b>”) , a wholly-owned subsidiary of Ever-Glory Apparel, was incorporated in the PRC in 2020.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Shanghai Ya Lan Fashion Company Limited (“Ya Lan”), a wholly-owned subsidiary of Shanghai LA GO GO, was incorporated in the PRC in 2014.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Xizang He Meida Trading Company Limited (“He Meida”), a wholly-owned subsidiary of Ever-Glory Apparel, was incorporated in the PRC in 2014. </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in">  </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Tianjin LA GO GO Fashion Company Limited (“Tianjin LA GO GO”), a joint venture of Ever-Glory Apparel and Catch-Luck, was incorporated in the PRC in 2014.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">ChuzhouHuirui Garments Co. Ltd. (“Huirui”), a wholly-owned subsidiary of Ever-Glory Apparel, was incorporated in the PRC in 2014.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Shanghai LA GO GO acquired 78% of the shares of Shanghai Yiduo Fashion Company Limited (“Shanghai Yiduo”) in March 2015 (Note 4). Shanghai Yiduo was incorporated in the PRC in 2011. The Company deconsolidated Yiduo due to its bankruptcy in December 2020. Fortunately, the Company retained Yiduo developed brand “idole” as the brand was transferred to La Go Go long before Yiduo’s bankruptcy.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Ever-Glory Supply Chain Service Co., Limited (“Ever-Glory Supply Chain”), a wholly-owned subsidiary of Ever-Glory Apparel, was incorporated in Hongkong in 2017. Ever-Glory Supply Chain is principally engaged in the import and export of apparel, fabric and accessories.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company’s wholesale operations are provided primarily through the Company’s PRC subsidiaries, Goldenway, Catch-Luck, New Tailun, Haian TaiXin, Ever-Glory Apparel, TaiXin, Huirui, the Company’s Hongkong subsidiary, Ever-Glory Supply Chain and the Company’s Samoa subsidiary, Ever-Glory HK. The Company’s retail operations are provided through its subsidiaries, Shanghai LA GO GO, Jiangsu LA GO GO, Tianjin LA GO GO, Ya Lan, He Meida and 78% owned Shanghai Yiduo.</p>
</us-gaap:BasisOfAccounting>
<us-gaap:InvestmentHoldingsScheduleOfInvestmentsTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b>NOTE 3 INVESTMENTS</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b>Trading securities</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Investments in equity securities of certain US public companies are accounted for as trading securities and measured subsequently at fair value in the consolidated balance sheets. Net gains and losses recognized during the periods are summarized as follows (In thousands of U.S. Dollars).</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">  </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"> </p> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31, <br /> 2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31, <br /> 2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%; text-align: left">Net gains and (losses) recognized during the period on equity securities</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">131</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">Less: Net gains and (losses) recognized during the period on equity securities sold during the period</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">77</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-indent: -0.125in; text-align: left; padding-bottom: 4pt; padding-left: 0.25in">Unrealized gains and (losses) recognized during the reporting period on equity securities still held at the reporting date</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">54</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">-</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b>Equity security investment </b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In August 2020, Ever-Glory Apparel invested $2.9 million (RMB 20.0 million) for 2.38% ownership in a partnership (“Partnership”). In December 2020, the Partnership invested in a public company in China. As a limited partner, the Company does not have ability to exercise significant influence due to lack of kick-out rights through voting interests. In the meantime, the Company entered an agreement with the general partner of the Partnership (GP) and an individual that the Company has the privilege to sell the ownership interests in the Partnership to GP or the individual for the consideration of the average net asset value ten trading days prior to the closing date, if the Company is not able to withdraw any part of the original investment from the Partnership in the twelve months period beginning the third year of the initial investment (“optional withdrawal period”). If the Company opts to withdraw entire investment during the optional withdrawal period, the GP will compensate up to 8% of annual return on investment. If the return on investment is in excess of 8% for any portion of the investment withdrawn during the optional withdrawal period, then 20% of the return in excess of 8% will be shared with the individual. The Company may also continue to invest in the Partnership beyond the optional withdrawal period, but none of above agreement with the GP and the individual is in place.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In December 2020, the Partnership invested in a public company in China. Since there is now readily determinable fair value of the equity investment, the Company started to measure its equity investment using the public company’s stock price and the Company’s share. The Company reported this investment at fair value since at December 31, 2020. At each reporting period, the Company made a qualitative assessment considering impairment indicators to evaluate whether the investment is impaired. There is no significant adverse change in the regulatory, economic, or technological environment of the investee. So the investment was not impaired at December 31, 2020.</p>
</us-gaap:InvestmentHoldingsScheduleOfInvestmentsTextBlock>
<us-gaap:IntangibleAssetsDisclosureTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>NOTE 5 INTANGIBLE ASSETS</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b><u>Land use rights</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In 2006, the Company obtained a fifty-year land use right on 112,442 square meters of land in the Nanjing Jiangning Economic and Technological Development Zone.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In 2014, the Company obtained a fifty-year land use right on 23,333 square meters of land in the Suzhou Kunshan Jinxi Tower Jinxing Road.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In 2015, the Company obtained a fifty-year land use right on 33,427 square meters of land in the Tianjin Wuqing Development Zone.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Land use rights at December 31, 2020 and 2019 consisted of the following:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%; text-align: left">Land use rights</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">5,727</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">5,456</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">Less: accumulated amortization</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(1,321</td><td style="padding-bottom: 1.5pt; text-align: left">)</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(727</td><td style="padding-bottom: 1.5pt; text-align: left">)</td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Land use rights, net</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">4,406</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">4,729</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Amortization expense was $0.11 million and $0.12 million for the years ended December 31, 2020 and 2019, respectively. Future expected amortization expense for land use rights is approximately $0.11 million for each of the next five years.</p>
</us-gaap:IntangibleAssetsDisclosureTextBlock>
<us-gaap:AccountsPayableAndAccruedLiabilitiesDisclosureTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>NOTE 7 OTHER PAYABLES AND ACCRUED LIABILITIES</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Other payables and accrued liabilities at December 31, 2020 and 2019 consisted of the following:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%; text-align: left">Advance from customers</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">2,054</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">2,497</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Accrued wages and welfare</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">5,028</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">7,459</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Supplier quality assurance deposits</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2,217</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2,431</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">Other payables</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">6,774</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">6,750</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Total other payables and accrued liabilities</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">16,073</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">19,137</td></tr></table>
</us-gaap:AccountsPayableAndAccruedLiabilitiesDisclosureTextBlock>
<us-gaap:InvestmentHoldingsScheduleOfInvestmentsTableTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31, <br /> 2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31, <br /> 2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%; text-align: left">Net gains and (losses) recognized during the period on equity securities</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">131</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">Less: Net gains and (losses) recognized during the period on equity securities sold during the period</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">77</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-indent: -0.125in; text-align: left; padding-bottom: 4pt; padding-left: 0.25in">Unrealized gains and (losses) recognized during the reporting period on equity securities still held at the reporting date</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">54</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">-</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
</us-gaap:InvestmentHoldingsScheduleOfInvestmentsTableTextBlock>
<us-gaap:ScheduleOfInventoryCurrentTableTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31, <br /> 2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31, <br /> 2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 70%; text-align: left">Raw materials</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">1,297</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">1,468</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Work-in-progress</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">8,130</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">8,025</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1.5pt">Finished goods</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">44,466</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">57,862</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 4pt; padding-left: 10pt">Total inventories</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">53,893</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">67,355</td></tr></table>
</us-gaap:ScheduleOfInventoryCurrentTableTextBlock>
<us-gaap:ScheduleOfFiniteLivedIntangibleAssetsTableTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td></td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%; text-align: left">Land use rights</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">5,727</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">5,456</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">Less: accumulated amortization</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(1,321</td><td style="padding-bottom: 1.5pt; text-align: left">)</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(727</td><td style="padding-bottom: 1.5pt; text-align: left">)</td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Land use rights, net</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">4,406</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">4,729</td></tr></table>
</us-gaap:ScheduleOfFiniteLivedIntangibleAssetsTableTextBlock>
<us-gaap:ScheduleOfAccountsPayableAndAccruedLiabilitiesTableTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td></td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%; text-align: left">Advance from customers</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">2,054</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">2,497</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Accrued wages and welfare</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">5,028</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">7,459</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Supplier quality assurance deposits</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2,217</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2,431</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">Other payables</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">6,774</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">6,750</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Total other payables and accrued liabilities</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">16,073</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">19,137</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
</us-gaap:ScheduleOfAccountsPayableAndAccruedLiabilitiesTableTextBlock>
<us-gaap:EquityMethodInvestmentOwnershipPercentage contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="pure" decimals="INF"> 0.78 </us-gaap:EquityMethodInvestmentOwnershipPercentage>
<us-gaap:BusinessAcquisitionPercentageOfVotingInterestsAcquired contextRef="AsOf2020-12-31_custom_LaGoGoMember" unitRef="pure" decimals="INF"> 0.78 </us-gaap:BusinessAcquisitionPercentageOfVotingInterestsAcquired>
<us-gaap:PropertyPlantAndEquipmentUsefulLife contextRef="From2020-01-01to2020-12-31_us-gaap_VehiclesMember"> P5Y </us-gaap:PropertyPlantAndEquipmentUsefulLife>
<us-gaap:PropertyPlantAndEquipmentUsefulLife contextRef="From2020-01-01to2020-12-31_us-gaap_LeaseholdImprovementsMember_srt_MaximumMember"> P2Y </us-gaap:PropertyPlantAndEquipmentUsefulLife>
<us-gaap:PropertyPlantAndEquipmentUsefulLife contextRef="From2020-01-01to2020-12-31_us-gaap_LeaseholdImprovementsMember_srt_MinimumMember"> P0Y10M0D </us-gaap:PropertyPlantAndEquipmentUsefulLife>
<us-gaap:PropertyPlantAndEquipmentUsefulLife contextRef="From2020-01-01to2020-12-31_us-gaap_MachineryAndEquipmentMember_srt_MaximumMember"> P10Y </us-gaap:PropertyPlantAndEquipmentUsefulLife>
<us-gaap:PropertyPlantAndEquipmentUsefulLife contextRef="From2020-01-01to2020-12-31_us-gaap_MachineryAndEquipmentMember_srt_MinimumMember"> P5Y </us-gaap:PropertyPlantAndEquipmentUsefulLife>
<us-gaap:PropertyPlantAndEquipmentUsefulLife contextRef="From2020-01-01to2020-12-31_us-gaap_OfficeEquipmentMember_srt_MaximumMember"> P5Y </us-gaap:PropertyPlantAndEquipmentUsefulLife>
<us-gaap:PropertyPlantAndEquipmentUsefulLife contextRef="From2020-01-01to2020-12-31_us-gaap_OfficeEquipmentMember_srt_MinimumMember"> P3Y </us-gaap:PropertyPlantAndEquipmentUsefulLife>
<us-gaap:PropertyPlantAndEquipmentUsefulLife contextRef="From2020-01-01to2020-12-31_srt_MaximumMember_us-gaap_PropertyPlantAndEquipmentMember"> P20Y </us-gaap:PropertyPlantAndEquipmentUsefulLife>
<us-gaap:PropertyPlantAndEquipmentUsefulLife contextRef="From2020-01-01to2020-12-31_srt_MinimumMember_us-gaap_PropertyPlantAndEquipmentMember"> P15Y </us-gaap:PropertyPlantAndEquipmentUsefulLife>
<us-gaap:FiniteLivedIntangibleAssetUsefulLife contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00"> P50Y </us-gaap:FiniteLivedIntangibleAssetUsefulLife>
<us-gaap:FiniteLivedIntangibleAssetUsefulLife contextRef="From2006-12-28to2006-12-31_custom_TechnologicalDevelopmentZoneMember"> P50Y </us-gaap:FiniteLivedIntangibleAssetUsefulLife>
<us-gaap:FiniteLivedIntangibleAssetUsefulLife contextRef="From2006-12-28to2006-12-31_custom_NanjingJiangningEconomicMember"> P50Y </us-gaap:FiniteLivedIntangibleAssetUsefulLife>
<us-gaap:FiniteLivedIntangibleAssetUsefulLife contextRef="From2015-12-01to2015-12-31_custom_TianjinWuqingDevelopmentZoneMember"> P50Y </us-gaap:FiniteLivedIntangibleAssetUsefulLife>
<us-gaap:FiniteLivedIntangibleAssetUsefulLife contextRef="From2014-12-01to2014-12-31_custom_SuzhouKunshanJinxiTowerJinxingRoadMember"> P50Y </us-gaap:FiniteLivedIntangibleAssetUsefulLife>
<evk:AssetsAndLiabilityReportingCurrencyTranslationRateDescription contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00"> Assets and liabilities at December 31, 2020 and 2019 were translated at RMB6.52 and RMB6.98 to $1.00 respectively. </evk:AssetsAndLiabilityReportingCurrencyTranslationRateDescription>
<evk:AverageTranslationRateInIncomeStatementAccountsAndStatementOfCashFlows contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00"> The average translation rates applied to income statement accounts and consolidated statements of cash flows for the years ended December 31, 2020 and 2019 were RMB6.90 and RMB6.90 to $1.00, respectively. </evk:AverageTranslationRateInIncomeStatementAccountsAndStatementOfCashFlows>
<us-gaap:AllowanceForDoubtfulAccountsReceivable contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00_ConcentrationRiskByBenchmarkAxis_AccountsReceivableMember" unitRef="USD" decimals="-3"> 6500000 </us-gaap:AllowanceForDoubtfulAccountsReceivable>
<us-gaap:AllowanceForDoubtfulAccountsReceivable contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00_ConcentrationRiskByBenchmarkAxis_AccountsReceivableMember933615375" unitRef="USD" decimals="-3"> 5300000 </us-gaap:AllowanceForDoubtfulAccountsReceivable>
<us-gaap:OperatingCostsAndExpenses contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 3900000 </us-gaap:OperatingCostsAndExpenses>
<us-gaap:OperatingCostsAndExpenses contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 3200000 </us-gaap:OperatingCostsAndExpenses>
<us-gaap:ResearchAndDevelopmentExpense contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 1100000 </us-gaap:ResearchAndDevelopmentExpense>
<us-gaap:ResearchAndDevelopmentExpense contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 1000000 </us-gaap:ResearchAndDevelopmentExpense>
<us-gaap:DefinedBenefitPlanForeignCurrencyExchangeRateChangesBenefitObligation contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 2500000 </us-gaap:DefinedBenefitPlanForeignCurrencyExchangeRateChangesBenefitObligation>
<us-gaap:DefinedBenefitPlanForeignCurrencyExchangeRateChangesBenefitObligation contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 700000 </us-gaap:DefinedBenefitPlanForeignCurrencyExchangeRateChangesBenefitObligation>
<us-gaap:BankOverdrafts contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 40000000 </us-gaap:BankOverdrafts>
<us-gaap:IncomeLossFromEquityMethodInvestments contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 131000 </us-gaap:IncomeLossFromEquityMethodInvestments>
<us-gaap:IncomeLossFromEquityMethodInvestments contextRef="From2019-01-01to2019-12-31" unitRef="USD" xsi:nil="true"/>
<evk:LessNetGainsAndLossesRecognizedDuringPeriodOnEquitySecuritiesSoldDuringPeriod contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> -77000 </evk:LessNetGainsAndLossesRecognizedDuringPeriodOnEquitySecuritiesSoldDuringPeriod>
<evk:LessNetGainsAndLossesRecognizedDuringPeriodOnEquitySecuritiesSoldDuringPeriod contextRef="From2019-01-01to2019-12-31" unitRef="USD" xsi:nil="true"/>
<us-gaap:UnrealizedGainLossOnMarketableSecuritiesCostMethodInvestmentsAndOtherInvestments contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 54000 </us-gaap:UnrealizedGainLossOnMarketableSecuritiesCostMethodInvestmentsAndOtherInvestments>
<us-gaap:UnrealizedGainLossOnMarketableSecuritiesCostMethodInvestmentsAndOtherInvestments contextRef="From2019-01-01to2019-12-31" unitRef="USD" xsi:nil="true"/>
<evk:InvestedAmount contextRef="From2020-08-01to2020-08-31_custom_EverGloryMember" unitRef="USD" decimals="-3"> 2900000 </evk:InvestedAmount>
<evk:InvestedAmount contextRef="From2020-08-01to2020-08-31_custom_EverGloryMember_custom_ChineseYuanRenminbiMember" unitRef="USD" decimals="-3"> 20000000 </evk:InvestedAmount>
<evk:PartnershipPercentage contextRef="From2020-08-01to2020-08-31_custom_EverGloryMember" unitRef="pure" decimals="INF"> 0.0238 </evk:PartnershipPercentage>
<evk:GeneralPartnerOfPartnershipAgreementDescription contextRef="From2020-08-01to2020-08-31_custom_EverGloryMember"> In the meantime, the Company entered an agreement with the general partner of the Partnership (GP) and an individual that the Company has the privilege to sell the ownership interests in the Partnership to GP or the individual for the consideration of the average net asset value ten trading days prior to the closing date, if the Company is not able to withdraw any part of the original investment from the Partnership in the twelve months period beginning the third year of the initial investment (“optional withdrawal period”). If the Company opts to withdraw entire investment during the optional withdrawal period, the GP will compensate up to 8% of annual return on investment. If the return on investment is in excess of 8% for any portion of the investment withdrawn during the optional withdrawal period, then 20% of the return in excess of 8% will be shared with the individual. The Company may also continue to invest in the Partnership beyond the optional withdrawal period, but none of above agreement with the GP and the individual is in place. </evk:GeneralPartnerOfPartnershipAgreementDescription>
<us-gaap:FiniteLivedIntangibleAssetsGross contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="0"> 5727 </us-gaap:FiniteLivedIntangibleAssetsGross>
<us-gaap:FiniteLivedIntangibleAssetsGross contextRef="AsOf2019-12-31" unitRef="USD" decimals="0"> 5456 </us-gaap:FiniteLivedIntangibleAssetsGross>
<us-gaap:FiniteLivedIntangibleAssetsAccumulatedAmortization contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="0"> -1321 </us-gaap:FiniteLivedIntangibleAssetsAccumulatedAmortization>
<us-gaap:FiniteLivedIntangibleAssetsAccumulatedAmortization contextRef="AsOf2019-12-31" unitRef="USD" decimals="0"> -727 </us-gaap:FiniteLivedIntangibleAssetsAccumulatedAmortization>
<us-gaap:AreaOfLand contextRef="AsOf2006-12-31_custom_TechnologicalDevelopmentZoneMember" unitRef="sqm" decimals="INF"> 112442 </us-gaap:AreaOfLand>
<us-gaap:AreaOfLand contextRef="AsOf2006-12-31_custom_NanjingJiangningEconomicMember" unitRef="sqm" decimals="INF"> 112442 </us-gaap:AreaOfLand>
<us-gaap:AreaOfLand contextRef="AsOf2015-12-31_custom_TianjinWuqingDevelopmentZoneMember" unitRef="sqm" decimals="INF"> 33427 </us-gaap:AreaOfLand>
<us-gaap:AreaOfLand contextRef="AsOf2014-12-31_custom_SuzhouKunshanJinxiTowerJinxingRoadMember" unitRef="sqm" decimals="INF"> 23333 </us-gaap:AreaOfLand>
<evk:PercentageOfRegisteredCapitalContributedToStatutoryReserveAsPerLaw contextRef="AsOf2020-12-31_custom_TwoIndependentDirectorsMember" unitRef="pure" decimals="INF"> 0.50 </evk:PercentageOfRegisteredCapitalContributedToStatutoryReserveAsPerLaw>
<evk:CompanyReceivedFromCustomers contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 16000 </evk:CompanyReceivedFromCustomers>
<evk:CompanyReceivedFromCustomers contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 71000 </evk:CompanyReceivedFromCustomers>
<evk:CompanyPaidToWubijia contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> -16000 </evk:CompanyPaidToWubijia>
<evk:CompanyPaidToWubijia contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> -58000 </evk:CompanyPaidToWubijia>
<evk:NetLossIncomeRecordedAsOtherExpensesIncome contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" xsi:nil="true"/>
<evk:NetLossIncomeRecordedAsOtherExpensesIncome contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 13000 </evk:NetLossIncomeRecordedAsOtherExpensesIncome>
<us-gaap:OperatingLeasesFutureMinimumPaymentsDueCurrent contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 706000 </us-gaap:OperatingLeasesFutureMinimumPaymentsDueCurrent>
<us-gaap:OperatingLeasesFutureMinimumPaymentsDueInTwoYears contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 706000 </us-gaap:OperatingLeasesFutureMinimumPaymentsDueInTwoYears>
<us-gaap:OperatingLeasesFutureMinimumPaymentsDueInThreeYears contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 721000 </us-gaap:OperatingLeasesFutureMinimumPaymentsDueInThreeYears>
<us-gaap:OperatingLeasesFutureMinimumPaymentsDueInFourYears contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 406000 </us-gaap:OperatingLeasesFutureMinimumPaymentsDueInFourYears>
<us-gaap:OperatingLeasesFutureMinimumPaymentsDueInFiveYears contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 406000 </us-gaap:OperatingLeasesFutureMinimumPaymentsDueInFiveYears>
<us-gaap:OperatingLeasesFutureMinimumPaymentsDueThereafter contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 12115000 </us-gaap:OperatingLeasesFutureMinimumPaymentsDueThereafter>
<us-gaap:OperatingLeasesFutureMinimumPaymentsDue contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 8307000 </us-gaap:OperatingLeasesFutureMinimumPaymentsDue>
<us-gaap:ScheduleOfIncomeBeforeIncomeTaxDomesticAndForeignTableTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td></td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%">PRC</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">5,752</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">6,032</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 1.5pt">Others</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(10</td><td style="padding-bottom: 1.5pt; text-align: left">)</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(251</td><td style="padding-bottom: 1.5pt; text-align: left">)</td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 4pt"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">5,742</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">5,781</td></tr></table>
</us-gaap:ScheduleOfIncomeBeforeIncomeTaxDomesticAndForeignTableTextBlock>
<us-gaap:ScheduleOfEffectiveIncomeTaxRateReconciliationTableTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td></td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%; text-align: left">PRC statutory rate</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">25.0</td><td style="width: 1%; text-align: left">%</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">25.0</td><td style="width: 1%; text-align: left">%</td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">Temporary difference between US GAAP and PRC tax accounting</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">18.0</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">53.9</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Effective income tax rate</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left"> </td><td style="border-bottom: Black 4pt double; text-align: right">43.0</td><td style="padding-bottom: 4pt; text-align: left">%</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left"> </td><td style="border-bottom: Black 4pt double; text-align: right">78.9</td><td style="padding-bottom: 4pt; text-align: left">%</td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
</us-gaap:ScheduleOfEffectiveIncomeTaxRateReconciliationTableTextBlock>
<us-gaap:ScheduleOfComponentsOfIncomeTaxExpenseBenefitTableTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td></td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%">Current</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">2,375</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">5,912</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 1.5pt">Deferred</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">94</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(1,350</td><td style="padding-bottom: 1.5pt; text-align: left">)</td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Income tax expense</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">2,469</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">4,562</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p>
</us-gaap:ScheduleOfComponentsOfIncomeTaxExpenseBenefitTableTextBlock>
<us-gaap:IncomeTaxDisclosureTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>NOTE 9 INCOME TAX</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company’s operating subsidiaries are governed by the Income Tax Law of the PRC concerning Foreign Investment Enterprises and Foreign Enterprises and various local income tax laws (“the Income Tax Laws”).</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">All PRC subsidiaries, except for He Meida, are subject to income tax at the 25% statutory rate.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">He Meida incorporated in Xizang (Tibet) Autonomous Region is subject to income tax at 15% statutory rate. The local government has implemented an income tax reduction from 15% to 9% valid through December 31, 2020.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Perfect Dream was incorporated in the British Virgin Islands (BVI), and under the current laws of the BVI dividends and capital gains arising from the Company’s investments in the BVI are not subject to income taxes.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Ever-Glory HK was incorporated in Samoa, and under the current laws of Samoa has no liabilities for income taxes.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Ever-Glory Supply Chain Service Co., Limited was incorporated in Hongkong on December 27, 2017. Under the current laws of Hongkong, its income tax rate is 8.25% when its profit is under HKD 2.0 million and its income tax rate is 16.5% when its profit is over HKD 2.0 million.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The PRC’s Enterprise Income Tax Law imposes a 10% withholding income tax for dividends distributed by a foreign invested enterprise in PRC to its immediate holding company outside China; such distributions were exempted under the previous income tax law and regulations. A lower withholding tax rate will be applied if there is a tax treaty arrangement between mainland China and the jurisdiction of the foreign holding company. The foreign invested enterprise became subject to the withholding tax starting from January 1, 2008. Given that the undistributed profits of the Company’s subsidiaries in China are intended to be retained in China for business development and expansion purposes, no withholding tax accrual has been made.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">  </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">After the tax liability adjustment resulted from the reevaluation of the Company’s tax position (resulting in the company allocating substantially all of the earnings of the Samoan subsidiary to the PRC and reporting such earnings as taxable in the PRC), pre-tax income for the years ended December 31, 2020 and 2019 was taxable in the following jurisdictions: </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%">PRC</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">5,752</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">6,032</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 1.5pt">Others</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(10</td><td style="padding-bottom: 1.5pt; text-align: left">)</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(251</td><td style="padding-bottom: 1.5pt; text-align: left">)</td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 4pt"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">5,742</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">5,781</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The following table reconciles the PRC statutory rates to the Company’s effective tax rate for the years ended December 31, 2020 and 2019, respectively:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%; text-align: left">PRC statutory rate</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">25.0</td><td style="width: 1%; text-align: left">%</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">25.0</td><td style="width: 1%; text-align: left">%</td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">Temporary difference between US GAAP and PRC tax accounting</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">18.0</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">53.9</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Effective income tax rate</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left"> </td><td style="border-bottom: Black 4pt double; text-align: right">43.0</td><td style="padding-bottom: 4pt; text-align: left">%</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left"> </td><td style="border-bottom: Black 4pt double; text-align: right">78.9</td><td style="padding-bottom: 4pt; text-align: left">%</td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Income tax expense for the years ended December 31, 2020 and 2019 is as follows:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%">Current</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">2,375</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">5,912</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 1.5pt">Deferred</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">94</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(1,350</td><td style="padding-bottom: 1.5pt; text-align: left">)</td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Income tax expense</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">2,469</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">4,562</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company’s deferred tax assets and liabilities arise from differences between US GAAP and PRC tax accounting for certain revenue and expense items, including timing of deduction of losses from allowances. </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company has not recorded U.S. deferred income taxes on approximately $111.3 million of its non-U.S. subsidiaries’ undistributed earnings because such amounts are intended to be reinvested outside the United States indefinitely. The U.S. Tax Reform signed into law on December 22, 2017 significantly modified the U.S. Internal Revenue Code by, among other things, reducing the statutory U.S. federal corporate income tax rate from 35% to 21% for taxable years beginning after December 31, 2017; limiting and/or eliminating many business deductions; migrating the U.S. to a territorial tax system with a one-time transition tax on a mandatory deemed repatriation of previously deferred foreign earnings of certain foreign subsidiaries; subject to certain limitations, generally eliminating U.S. corporate income tax on dividends from foreign subsidiaries; and providing for new taxes on certain foreign earnings. The Company measured the current and deferred taxes based on the provisions of the Tax legislation. After the Company’s measurement, no deferred tax expense (income) relating to the Tax Act changes for the year ended December 31, 2020.</p>
</us-gaap:IncomeTaxDisclosureTextBlock>
<us-gaap:StockholdersEquityNoteDisclosureTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>NOTE 10 STOCKHOLDERS’ EQUITY</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Stock Issued to Independent Directors</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">On January 31, 2019, the Company issued 1,942 shares of Company’s common stock to two of the Company’s independent directors as compensation for their services rendered during the third and fourth quarter of 2018. The shares issued in 2019 were valued at $3.8 per share, which was the average market price of the common stock for the five days before the grant date. </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">On July 26, 2019, the Company issued 1,630 shares of Company’s common stock to two of the Company’s independent directors as compensation for their services rendered during the first and second quarter of 2019. The shares issued in 2019 were valued at $3.04 per share, which was the average market price of the common stock for the five days before the grant date. </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">On January 15, 2020, the Company issued 3,062 shares of Company’s common stock to two of the Company’s independent directors as compensation for their services rendered during the third and fourth quarter of 2019. The shares issued in 2020 were valued at $1.65 per share, which was the average market price of the common stock for the five days before the grant date. </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">On July 10, 2020, the Company issued 4,328 shares of Company’s common stock to two of the Company’s independent directors as compensation for their services rendered during the first and second quarter of 2020. The shares issued in 2020 were valued at $1.15 per share, which was the average market price of the common stock for the five days before the grant date. </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Statutory Reserve</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Subsidiaries incorporated in China are required to make appropriations to reserve funds, comprising the statutory surplus reserve, statutory public welfare fund and discretionary surplus reserve, based on after-tax net income determined in accordance with generally accepted accounting principles of the People’s Republic of China (“PRC GAAP”). Appropriations to the statutory surplus reserve are to be at least 10% of the after tax net income determined in accordance with PRC GAAP until the reserve is equal to 50% of the entities’ registered capital. Appropriations to the statutory public welfare fund are 10% of the after tax net income determined in accordance with PRC GAAP. The statutory public welfare fund is established for the purpose of providing employee facilities and other collective benefits to the employees and is non-distributable other than in liquidation. Appropriations to the surplus reserve are made at the discretion of the Board of Directors. Effective January 1, 2006, the Company is only required to contribute to one statutory reserve fund at 10% of net income after tax per annum, and any contributions are not to exceed 50% of the respective companies’ registered capital.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">As of December 31, 2020, New-Tailun, Tianjin La GO GO, Haian TaiXin, Huirui, Nanjing Taixin, and Catch-Luck had fulfilled the 50% statutory reserve contribution requirement; therefore no further transfers are required for those entities. In 2020, Goldenway appropriated $0.08 million and Ever-Glory Apparel appropriated $0.36 million to the statutory reserve.</p>
</us-gaap:StockholdersEquityNoteDisclosureTextBlock>
<us-gaap:CommonStockParOrStatedValuePerShare contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD_per_Share" decimals="INF"> 0.001 </us-gaap:CommonStockParOrStatedValuePerShare>
<us-gaap:CommonStockParOrStatedValuePerShare contextRef="AsOf2019-12-31" unitRef="USD_per_Share" decimals="INF"> 0.001 </us-gaap:CommonStockParOrStatedValuePerShare>
<us-gaap:CommonStockSharesAuthorized contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="shares" decimals="INF"> 50000000 </us-gaap:CommonStockSharesAuthorized>
<us-gaap:CommonStockSharesAuthorized contextRef="AsOf2019-12-31" unitRef="shares" decimals="INF"> 50000000 </us-gaap:CommonStockSharesAuthorized>
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<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td></td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%; text-align: left">Mainland China</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">29,055</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">74,008</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Hong Kong China</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">19,873</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">26,126</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">United Kingdom</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">8,753</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">14,864</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Europe-Other</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">19,950</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">25,668</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Japan</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">11,406</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">18,901</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">United States</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">28,172</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">35,589</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-weight: bold; text-align: left">Total wholesale business</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">117,209</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">195,156</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">Retail business</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">150,145</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">187,945</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-weight: bold; padding-bottom: 4pt">Total</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">267,354</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">383,101</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
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<us-gaap:ProvisionForDoubtfulAccounts contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 1062000 </us-gaap:ProvisionForDoubtfulAccounts>
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<table cellspacing="0" cellpadding="0" style="font: 11pt Calibri, Helvetica, Sans-Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: bottom; background-color: #CCEEFF"> <td style="white-space: nowrap; width: 89%"><font style="font: 10pt Times New Roman, Times, Serif">Property and plant</font></td> <td style="white-space: nowrap; width: 1%"> </td> <td style="white-space: nowrap; width: 10%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">15-20 Years</font></td></tr> <tr style="vertical-align: bottom; background-color: white"> <td style="white-space: nowrap"><font style="font: 10pt Times New Roman, Times, Serif">Leasehold  improvements</font></td> <td style="white-space: nowrap"> </td> <td style="white-space: nowrap; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">10 Months - 2 Years</font></td></tr> <tr style="vertical-align: bottom; background-color: #CCEEFF"> <td style="white-space: nowrap"><font style="font: 10pt Times New Roman, Times, Serif">Machinery and equipment</font></td> <td style="white-space: nowrap"> </td> <td style="white-space: nowrap; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5-10 Years</font></td></tr> <tr style="vertical-align: bottom; background-color: white"> <td style="white-space: nowrap"><font style="font: 10pt Times New Roman, Times, Serif">Office equipment and furniture</font></td> <td style="white-space: nowrap"> </td> <td style="white-space: nowrap; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">3-5 Years</font></td></tr> <tr style="vertical-align: bottom; background-color: #CCEEFF"> <td style="white-space: nowrap"><font style="font: 10pt Times New Roman, Times, Serif">Motor vehicles</font></td> <td style="white-space: nowrap"> </td> <td style="white-space: nowrap; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5 Years</font></td></tr> </table>
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<us-gaap:PropertyPlantAndEquipmentGross contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 56361000 </us-gaap:PropertyPlantAndEquipmentGross>
<us-gaap:PropertyPlantAndEquipmentGross contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00_PropertyPlantAndEquipmentByTypeAxis_PropertyPlantAndEquipmentOtherTypesMember" unitRef="USD" decimals="-3"> 24384000 </us-gaap:PropertyPlantAndEquipmentGross>
<us-gaap:PropertyPlantAndEquipmentGross contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00_PropertyPlantAndEquipmentByTypeAxis_LeaseholdImprovementsMember" unitRef="USD" decimals="-3"> 19914000 </us-gaap:PropertyPlantAndEquipmentGross>
<us-gaap:PropertyPlantAndEquipmentGross contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00_PropertyPlantAndEquipmentByTypeAxis_MachineryAndEquipmentMember" unitRef="USD" decimals="-3"> 2448000 </us-gaap:PropertyPlantAndEquipmentGross>
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<us-gaap:PropertyPlantAndEquipmentGross contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00_PropertyPlantAndEquipmentByTypeAxis_OfficeEquipmentMember" unitRef="USD" decimals="-3"> 7567000 </us-gaap:PropertyPlantAndEquipmentGross>
<us-gaap:PropertyPlantAndEquipmentGross contextRef="AsOf2020-12-31_us-gaap_PropertyPlantAndEquipmentOtherTypesMember" unitRef="USD" decimals="-3"> 26339000 </us-gaap:PropertyPlantAndEquipmentGross>
<us-gaap:PropertyPlantAndEquipmentGross contextRef="AsOf2020-12-31_us-gaap_LeaseholdImprovementsMember" unitRef="USD" decimals="-3"> 17070000 </us-gaap:PropertyPlantAndEquipmentGross>
<us-gaap:PropertyPlantAndEquipmentGross contextRef="AsOf2020-12-31_us-gaap_MachineryAndEquipmentMember" unitRef="USD" decimals="-3"> 2724000 </us-gaap:PropertyPlantAndEquipmentGross>
<us-gaap:PropertyPlantAndEquipmentGross contextRef="AsOf2020-12-31_us-gaap_VehiclesMember" unitRef="USD" decimals="-3"> 1959000 </us-gaap:PropertyPlantAndEquipmentGross>
<us-gaap:PropertyPlantAndEquipmentGross contextRef="AsOf2020-12-31_us-gaap_OfficeEquipmentMember" unitRef="USD" decimals="-3"> 8363000 </us-gaap:PropertyPlantAndEquipmentGross>
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<us-gaap:AccumulatedDepreciationDepletionAndAmortizationPropertyPlantAndEquipment contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 28330000 </us-gaap:AccumulatedDepreciationDepletionAndAmortizationPropertyPlantAndEquipment>
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<us-gaap:ConstructionInProgressGross contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 781000 </us-gaap:ConstructionInProgressGross>
<us-gaap:CustomerAdvancesCurrent contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 2054000 </us-gaap:CustomerAdvancesCurrent>
<us-gaap:CustomerAdvancesCurrent contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 2497000 </us-gaap:CustomerAdvancesCurrent>
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<evk:AccruedWagesAndWelfare contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 7459000 </evk:AccruedWagesAndWelfare>
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<evk:SupplierQualityAssuranceDeposits contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 2431000 </evk:SupplierQualityAssuranceDeposits>
<us-gaap:AccountsPayableOtherCurrent contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 6774000 </us-gaap:AccountsPayableOtherCurrent>
<us-gaap:AccountsPayableOtherCurrent contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 6750000 </us-gaap:AccountsPayableOtherCurrent>
<us-gaap:AccountsPayableAndAccruedLiabilitiesCurrent contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 16073000 </us-gaap:AccountsPayableAndAccruedLiabilitiesCurrent>
<us-gaap:AccountsPayableAndAccruedLiabilitiesCurrent contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 19137000 </us-gaap:AccountsPayableAndAccruedLiabilitiesCurrent>
<us-gaap:OtherExpenses contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 294000 </us-gaap:OtherExpenses>
<us-gaap:OtherExpenses contextRef="Context_FYE_01_Jan_2016T00_00_00_TO_31_Dec_2016T00_00_00_RelatedPartyTransactionsByRelatedPartyAxis_KunshanEnjinMember" unitRef="USD" decimals="-3"> 87000 </us-gaap:OtherExpenses>
<us-gaap:OtherExpenses contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00_RelatedPartyTransactionsByRelatedPartyAxis_KunshanEnjinMember" unitRef="USD" decimals="-3"> 87000 </us-gaap:OtherExpenses>
<us-gaap:OtherExpenses contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00_RelatedPartyTransactionsByRelatedPartyAxis_ChuzhouHuaruiMember" unitRef="USD" decimals="-3"> 207000 </us-gaap:OtherExpenses>
<us-gaap:OtherExpenses contextRef="From2019-01-01to2019-12-31_custom_ChuzhouHuaruiMember" unitRef="USD" decimals="-3"> 207000 </us-gaap:OtherExpenses>
<us-gaap:OtherExpenses contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 294000 </us-gaap:OtherExpenses>
<us-gaap:EffectiveIncomeTaxRateReconciliationChangeInEnactedTaxRate contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00_RangeAxis_MinimumMember" unitRef="pure" decimals="INF"> 0.09 </us-gaap:EffectiveIncomeTaxRateReconciliationChangeInEnactedTaxRate>
<us-gaap:EffectiveIncomeTaxRateReconciliationChangeInEnactedTaxRate contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00_RangeAxis_MaximumMember" unitRef="pure" decimals="INF"> 0.15 </us-gaap:EffectiveIncomeTaxRateReconciliationChangeInEnactedTaxRate>
<us-gaap:EffectiveIncomeTaxRateReconciliationChangeInEnactedTaxRate contextRef="From2020-01-01to2020-12-31_custom_HKDMember" unitRef="pure" decimals="INF"> 0.165 </us-gaap:EffectiveIncomeTaxRateReconciliationChangeInEnactedTaxRate>
<evk:IncomeTaxRateForDividendsDistribution contextRef="From2020-01-01to2020-12-31_country_CN" unitRef="pure" decimals="INF"> 0.10 </evk:IncomeTaxRateForDividendsDistribution>
<us-gaap:DeferredStateAndLocalIncomeTaxExpenseBenefit contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00_ConsolidatedEntitiesAxis_SubsidiariesMember" unitRef="USD" decimals="0"> 111300000 </us-gaap:DeferredStateAndLocalIncomeTaxExpenseBenefit>
<us-gaap:IncomeTaxExaminationDescription contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00_ConsolidatedEntitiesAxis_SubsidiariesMember"> The statutory U.S. federal corporate income tax rate from 35% to 21% for taxable years beginning after December 31, 2017 </us-gaap:IncomeTaxExaminationDescription>
<us-gaap:OtherTaxExpenseBenefit contextRef="From2020-01-01to2020-12-31_custom_HKDMember" unitRef="USD" decimals="0"> 2000000 </us-gaap:OtherTaxExpenseBenefit>
<us-gaap:CurrentForeignTaxExpenseBenefit contextRef="From2020-01-01to2020-12-31_custom_HKDMember" unitRef="USD" decimals="0"> 2000000 </us-gaap:CurrentForeignTaxExpenseBenefit>
<us-gaap:RelatedPartiesAmountInCostOfSales contextRef="From2020-01-01to2020-12-31_custom_EverGloryVietnamMember_custom_SubContractsMember" unitRef="USD" decimals="-3"> 11335000 </us-gaap:RelatedPartiesAmountInCostOfSales>
<us-gaap:RelatedPartiesAmountInCostOfSales contextRef="From2020-01-01to2020-12-31_custom_ChuzhouHuaruiMember_custom_SubContractsMember" unitRef="USD" decimals="-3"> 2240000 </us-gaap:RelatedPartiesAmountInCostOfSales>
<us-gaap:RelatedPartiesAmountInCostOfSales contextRef="From2020-01-01to2020-12-31_custom_FengyangHuaruiMember_custom_SubContractsMember" unitRef="USD" decimals="-3"> 1352000 </us-gaap:RelatedPartiesAmountInCostOfSales>
<us-gaap:RelatedPartiesAmountInCostOfSales contextRef="From2020-01-01to2020-12-31_custom_NanjingEverKyowaMember_custom_SubContractsMember" unitRef="USD" decimals="-3"> 948000 </us-gaap:RelatedPartiesAmountInCostOfSales>
<us-gaap:RelatedPartiesAmountInCostOfSales contextRef="From2020-01-01to2020-12-31_custom_NanjingKnittingMember_custom_SubContractsMember" unitRef="USD" decimals="-3"> 1096000 </us-gaap:RelatedPartiesAmountInCostOfSales>
<us-gaap:RelatedPartiesAmountInCostOfSales contextRef="From2020-01-01to2020-12-31_custom_EsCLavMember_custom_SubContractsMember" unitRef="USD" decimals="-3"> 39000 </us-gaap:RelatedPartiesAmountInCostOfSales>
<us-gaap:RelatedPartiesAmountInCostOfSales contextRef="From2020-01-01to2020-12-31_custom_SubContractsMember" unitRef="USD" decimals="-3"> 17010000 </us-gaap:RelatedPartiesAmountInCostOfSales>
<us-gaap:RelatedPartiesAmountInCostOfSales contextRef="From2019-01-01to2019-12-31_custom_EverGloryVietnamMember_custom_SubContractsMember" unitRef="USD" decimals="-3"> 12952000 </us-gaap:RelatedPartiesAmountInCostOfSales>
<us-gaap:RelatedPartiesAmountInCostOfSales contextRef="From2019-01-01to2019-12-31_custom_ChuzhouHuaruiMember_custom_SubContractsMember" unitRef="USD" decimals="-3"> 6200000 </us-gaap:RelatedPartiesAmountInCostOfSales>
<us-gaap:RelatedPartiesAmountInCostOfSales contextRef="From2019-01-01to2019-12-31_custom_FengyangHuaruiMember_custom_SubContractsMember" unitRef="USD" decimals="-3"> 2225000 </us-gaap:RelatedPartiesAmountInCostOfSales>
<us-gaap:RelatedPartiesAmountInCostOfSales contextRef="From2019-01-01to2019-12-31_custom_NanjingEverKyowaMember_custom_SubContractsMember" unitRef="USD" decimals="-3"> 1534000 </us-gaap:RelatedPartiesAmountInCostOfSales>
<us-gaap:RelatedPartiesAmountInCostOfSales contextRef="From2019-01-01to2019-12-31_custom_NanjingKnittingMember_custom_SubContractsMember" unitRef="USD" decimals="-3"> 1201000 </us-gaap:RelatedPartiesAmountInCostOfSales>
<us-gaap:RelatedPartiesAmountInCostOfSales contextRef="From2019-01-01to2019-12-31_custom_EsCLavMember_custom_SubContractsMember" unitRef="USD" decimals="-3"> 136000 </us-gaap:RelatedPartiesAmountInCostOfSales>
<us-gaap:RelatedPartiesAmountInCostOfSales contextRef="From2019-01-01to2019-12-31_custom_SubContractsMember" unitRef="USD" decimals="-3"> 24248000 </us-gaap:RelatedPartiesAmountInCostOfSales>
<evk:LessInterestOther contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 6753000 </evk:LessInterestOther>
<us-gaap:FinanceLeaseLiability contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 15060000 </us-gaap:FinanceLeaseLiability>
<us-gaap:RentalIncomeNonoperating contextRef="From2020-01-01to2020-12-31_custom_WubijiaMember" unitRef="USD" decimals="0"> 23945 </us-gaap:RentalIncomeNonoperating>
<us-gaap:RentalIncomeNonoperating contextRef="From2019-01-01to2019-12-31_custom_WubijiaMember" unitRef="USD" decimals="0"> 26100 </us-gaap:RentalIncomeNonoperating>
<us-gaap:RelatedPartyTransactionPurchasesFromRelatedParty contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00_RelatedPartyTransactionsByRelatedPartyAxis_JiangsuEverGloryMember" unitRef="USD" decimals="0"> 1100000 </us-gaap:RelatedPartyTransactionPurchasesFromRelatedParty>
<us-gaap:RelatedPartyTransactionPurchasesFromRelatedParty contextRef="From2019-01-01to2019-12-31_custom_JiangsuEverGloryMember" unitRef="USD" decimals="0"> 1200000 </us-gaap:RelatedPartyTransactionPurchasesFromRelatedParty>
<evk:SubcontractsWithRelatedParties contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="0"> 294 </evk:SubcontractsWithRelatedParties>
<evk:SubcontractsWithRelatedParties contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00_RelatedPartyTransactionsByRelatedPartyAxis_JiangsuEverGloryMember" unitRef="USD" decimals="0"> 17000000 </evk:SubcontractsWithRelatedParties>
<evk:SubcontractsWithRelatedParties contextRef="From2019-01-01to2019-12-31_custom_JiangsuEverGloryMember_custom_ChineseYuanRenminbiMember" unitRef="USD" decimals="0"> 25000 </evk:SubcontractsWithRelatedParties>
<evk:SubcontractsWithRelatedParties contextRef="From2019-01-01to2019-12-31_custom_JiangsuEverGloryMember" unitRef="USD" decimals="0"> 24200000 </evk:SubcontractsWithRelatedParties>
<us-gaap:RelatedPartyTransactionAmountsOfTransaction contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="0"> 1500000 </us-gaap:RelatedPartyTransactionAmountsOfTransaction>
<us-gaap:RelatedPartyTransactionAmountsOfTransaction contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00_RelatedPartyTransactionsByRelatedPartyAxis_JiangsuEverGloryMember" unitRef="USD" decimals="0"> 900000 </us-gaap:RelatedPartyTransactionAmountsOfTransaction>
<us-gaap:RelatedPartyTransactionAmountsOfTransaction contextRef="From2019-01-01to2019-12-31_custom_JiangsuEverGloryMember_custom_ChineseYuanRenminbiMember" unitRef="USD" decimals="0"> 2000 </us-gaap:RelatedPartyTransactionAmountsOfTransaction>
<us-gaap:RelatedPartyTransactionAmountsOfTransaction contextRef="From2019-01-01to2019-12-31_custom_JiangsuEverGloryMember" unitRef="USD" decimals="0"> 2000000 </us-gaap:RelatedPartyTransactionAmountsOfTransaction>
<us-gaap:RelatedPartyTransactionAmountsOfTransaction contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="0"> 2000000 </us-gaap:RelatedPartyTransactionAmountsOfTransaction>
<us-gaap:ProceedsFromLinesOfCredit contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00_RelatedPartyTransactionsByRelatedPartyAxis_JiangsuEverGloryMember" unitRef="USD" decimals="0"> 31500000 </us-gaap:ProceedsFromLinesOfCredit>
<us-gaap:ProceedsFromLinesOfCredit contextRef="From2019-01-01to2019-12-31_custom_JiangsuEverGloryMember_custom_ChineseYuanRenminbiMember" unitRef="USD" decimals="0"> 205500000 </us-gaap:ProceedsFromLinesOfCredit>
<us-gaap:ProceedsFromLinesOfCredit contextRef="From2020-01-01to2020-12-31_custom_JiangsuEverGloryMember_custom_ChineseYuanRenminbiMember" unitRef="USD" decimals="0"> 205500000 </us-gaap:ProceedsFromLinesOfCredit>
<us-gaap:ProceedsFromLinesOfCredit contextRef="From2019-01-01to2019-12-31_custom_JiangsuEverGloryMember" unitRef="USD" decimals="0"> 29400000 </us-gaap:ProceedsFromLinesOfCredit>
<evk:GuarantyProvidedByRelatedPartyOnLinesOfCredit contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00_RelatedPartyTransactionsByRelatedPartyAxis_JiangsuEverGloryMember" unitRef="USD" decimals="0"> 14800000 </evk:GuarantyProvidedByRelatedPartyOnLinesOfCredit>
<evk:GuarantyProvidedByRelatedPartyOnLinesOfCredit contextRef="From2019-01-01to2019-12-31_custom_JiangsuEverGloryMember_custom_ChineseYuanRenminbiMember" unitRef="USD" decimals="0"> 100000000 </evk:GuarantyProvidedByRelatedPartyOnLinesOfCredit>
<evk:GuarantyProvidedByRelatedPartyOnLinesOfCredit contextRef="From2020-01-01to2020-12-31_custom_JiangsuEverGloryMember_custom_ChineseYuanRenminbiMember" unitRef="USD" decimals="0"> 96300000 </evk:GuarantyProvidedByRelatedPartyOnLinesOfCredit>
<evk:GuarantyProvidedByRelatedPartyOnLinesOfCredit contextRef="From2019-01-01to2019-12-31_custom_JiangsuEverGloryMember" unitRef="USD" decimals="0"> 14500000 </evk:GuarantyProvidedByRelatedPartyOnLinesOfCredit>
<us-gaap:RepaymentOfNotesReceivableFromRelatedParties contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00_RelatedPartyTransactionsByRelatedPartyAxis_JiangsuEverGloryMember" unitRef="USD" decimals="0"> 36000000 </us-gaap:RepaymentOfNotesReceivableFromRelatedParties>
<us-gaap:RepaymentOfNotesReceivableFromRelatedParties contextRef="From2019-01-01to2019-12-31_custom_JiangsuEverGloryMember_custom_ChineseYuanRenminbiMember" unitRef="USD" decimals="0"> 230000000 </us-gaap:RepaymentOfNotesReceivableFromRelatedParties>
<us-gaap:RepaymentOfNotesReceivableFromRelatedParties contextRef="From2020-01-01to2020-12-31_custom_JiangsuEverGloryMember_custom_ChineseYuanRenminbiMember" unitRef="USD" decimals="0"> 235000000 </us-gaap:RepaymentOfNotesReceivableFromRelatedParties>
<us-gaap:RepaymentOfNotesReceivableFromRelatedParties contextRef="From2019-01-01to2019-12-31_custom_JiangsuEverGloryMember" unitRef="USD" decimals="0"> 33000000 </us-gaap:RepaymentOfNotesReceivableFromRelatedParties>
<us-gaap:NoncashOrPartNoncashAcquisitionInterestAcquired1 contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="pure" decimals="INF"> 0.060 </us-gaap:NoncashOrPartNoncashAcquisitionInterestAcquired1>
<us-gaap:NoncashOrPartNoncashAcquisitionInterestAcquired1 contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00_RelatedPartyTransactionsByRelatedPartyAxis_JiangsuEverGloryMember" unitRef="pure" decimals="INF"> 0.70 </us-gaap:NoncashOrPartNoncashAcquisitionInterestAcquired1>
<us-gaap:RelatedPartyTransactionDescriptionOfTransaction contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00"> As of December 31, 2019, $4.7 million (RMB 32.8 million) was outstanding due from Jiangsu Ever-Glory under the counter guarantee agreement. During the year ended December 31, 2020, an additional $7.7 million (RMB 52.8 million) was provided to and repayment of $9.5 million (RMB 65.6 million) was received from Jiangsu Ever-Glory under the counter-guarantee agreement. As of December 31, 2020, the amount of the counter-guarantee had decreased to $3.1 million (RMB 20.0 million) (the difference represents currency exchange adjustment of $0.1 million), which was 8.5% of the aggregate amount of lines of credit. This amount plus accrued interest of $0.04 million (2020) and $0.3 million (2019) have been classified as a reduction of equity, consistent with the guidance of SEC Staff Accounting Bulletins 4E and 4G. As of December 31, 2020 and 2019, the amount classified as a reduction of equity was $3.4 million and $4.9 million, respectively. Interest of 0.5% is charged on net amounts due from Jiangsu Ever-Glory at each month end. Since January 1, 2019, the interest rate has changed to 0.3625% as the bank benchmark interest rate decreased. Interest income for the years ended December 31, 2020 and 2019 was approximately $0.04 million and $0.3 million, respectively. </us-gaap:RelatedPartyTransactionDescriptionOfTransaction>
<us-gaap:GeneralAndAdministrativeExpense contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 31176000 </us-gaap:GeneralAndAdministrativeExpense>
<us-gaap:GeneralAndAdministrativeExpense contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 35123000 </us-gaap:GeneralAndAdministrativeExpense>
<us-gaap:GeneralAndAdministrativeExpense contextRef="From2020-01-01to2020-12-31_custom_OperatingLeaseCommitmentMember" unitRef="USD" decimals="-3"> 800000 </us-gaap:GeneralAndAdministrativeExpense>
<us-gaap:GeneralAndAdministrativeExpense contextRef="From2019-01-01to2019-12-31_custom_OperatingLeaseCommitmentMember" unitRef="USD" decimals="-3"> 700000 </us-gaap:GeneralAndAdministrativeExpense>
<us-gaap:LossContingencyRequestForInformation contextRef="From2019-03-01to2019-03-31"> Shanghai La Go Go Fashion Company Limited (“LA GO GO”) filed a complaint against Shanghai Chijing Investment Management Co., Ltd. (“Shanghai Chijing”) for unpaid rent of RMB0.27 million ($0.04 million) per month in the Shanghai People’s Court for Jiading District (the “District Court”). The rent arrears began accumulating from April 2018 to the actual payment date. In July 2019, Shanghai Chijing filed counterclaims against LA GO GO to claim RMB10.19 million ($1.45 million) in damages, alleging that LA GO GO had not fulfilled its corresponding obligations as a landlord. As a result, the District Court froze the bank accounts of both Shanghai Chijing and LA GO GO. As of December 31, 2019, a total balance of RMB15.38 million ($2.2 million) was frozen in the bank accounts of LA GO GO. As of December 31, 2019, the Company had booked this restricted cash in other receivables. On March 10, 2020, the District Court entered a judgment in favor of LA GO GO and dismissed most of Shanghai Chijing’s counterclaims. The District Court ordered Shanghai Chijing to pay to LA GO GO an aggregate sum of RMB4.77 million ($0.68 million), which is the accumulated unpaid rent from April 2018 to January 2020. The District Court also ordered LA GO GO to pay Shanghai Chijing RMB1.49 ($0.21 million) for the expenses incurred from remodeling. Both parties were required to pay the monetary damages within ten days after the District Court’s decision. LA GO GO appealed to the Shanghai Second Appellate Court (the “Appellate Court”) to claim more damages, while Shanghai Chijing appealed to reverse the judgment. LA GO GO later requested to withdraw its appeal, which was granted by the Appellate Court. In June 2020, the Appellate Court entered a final decision to dismiss the appeal of Shanghai Chijing and sustained the District Court’s judgment. LA GO GO has not received RMB4.77 million ($0.68 million) in monetary damages from Shanghai Chijing as of September 30, 2020, and has applied for compulsory enforcement with the District Court. The total balance of RMB15.38 million ($2.2 million) in LA GO GO’s bank accounts were unfrozen after the final decision in July 2020. </us-gaap:LossContingencyRequestForInformation>
<us-gaap:OperatingLeasePayments contextRef="From2020-01-01to2020-12-31_custom_OperatingLeaseCommitmentMember" unitRef="USD" decimals="-3"> 8700000 </us-gaap:OperatingLeasePayments>
<evk:WeightedAverageDiscountsRate contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="pure" decimals="INF"> 0.0435 </evk:WeightedAverageDiscountsRate>
<evk:UnpaidGoods contextRef="From2020-11-01to2020-11-30_custom_LawsuitsagainsstianjinlingzhiMember" unitRef="USD" decimals="-3"> 10750000 </evk:UnpaidGoods>
<evk:UnpaidGoods contextRef="From2020-11-01to2020-11-30_custom_LawsuitsagainsstianjinlingzhiMember_custom_RmbMember40340626" unitRef="USD" decimals="-3"> 70150000 </evk:UnpaidGoods>
<evk:InterimMeasuresAmount contextRef="From2020-11-01to2020-11-30_custom_LawsuitsagainsstianjinlingzhiMember" unitRef="USD" decimals="-3"> 10440000 </evk:InterimMeasuresAmount>
<evk:InterimMeasuresAmount contextRef="From2020-11-01to2020-11-30_custom_LawsuitsagainsstianjinlingzhiMember_custom_RmbMember40340626" unitRef="USD" decimals="-3"> 68120000 </evk:InterimMeasuresAmount>
<evk:CostOfRawMaterials contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 1297000 </evk:CostOfRawMaterials>
<evk:CostOfRawMaterials contextRef="AsOf2020-11-30_custom_LawsuitsagainsstianjinlingzhiMember" unitRef="USD" decimals="-3"> 8090000 </evk:CostOfRawMaterials>
<evk:CostOfRawMaterials contextRef="AsOf2020-11-30_custom_RmbMember" unitRef="USD" decimals="-3"> 1240000 </evk:CostOfRawMaterials>
<evk:DeliveredGoodsCost contextRef="From2020-11-01to2020-11-30_custom_LawsuitsagainsstianjinlingzhiMember" unitRef="USD" decimals="-3"> 9510000 </evk:DeliveredGoodsCost>
<evk:DeliveredGoodsCost contextRef="From2020-11-01to2020-11-30_custom_LawsuitsagainsstianjinlingzhiMember_custom_RmbMember40340626" unitRef="USD" decimals="-3"> 62060000 </evk:DeliveredGoodsCost>
<us-gaap:IncomeTaxesPaid contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 2469000 </us-gaap:IncomeTaxesPaid>
<us-gaap:IncomeTaxesPaid contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 6327000 </us-gaap:IncomeTaxesPaid>
<us-gaap:InterestPaidNet contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 2345000 </us-gaap:InterestPaidNet>
<us-gaap:InterestPaidNet contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 1222000 </us-gaap:InterestPaidNet>
<evk:NetAssetLiabilitiesDerecognizedDueToDeconsolidationOfSubsidiary contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 1164000 </evk:NetAssetLiabilitiesDerecognizedDueToDeconsolidationOfSubsidiary>
<us-gaap:CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 121723000 </us-gaap:CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents>
<us-gaap:CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 50755000 </us-gaap:CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents>
<us-gaap:RestrictedCash contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 39858000 </us-gaap:RestrictedCash>
<us-gaap:RestrictedCash contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 2204000 </us-gaap:RestrictedCash>
<us-gaap:CashAndCashEquivalentsAtCarryingValue contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 121723000 </us-gaap:CashAndCashEquivalentsAtCarryingValue>
<us-gaap:CashAndCashEquivalentsAtCarryingValue contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 50755000 </us-gaap:CashAndCashEquivalentsAtCarryingValue>
<us-gaap:CashAndCashEquivalentsAtCarryingValue contextRef="AsOf2018-12-31" unitRef="USD" decimals="-3"> 47012000 </us-gaap:CashAndCashEquivalentsAtCarryingValue>
<us-gaap:CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseIncludingExchangeRateEffect contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 70968000 </us-gaap:CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseIncludingExchangeRateEffect>
<us-gaap:CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseIncludingExchangeRateEffect contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 3743000 </us-gaap:CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseIncludingExchangeRateEffect>
<us-gaap:EffectOfExchangeRateOnCashAndCashEquivalents contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 7548000 </us-gaap:EffectOfExchangeRateOnCashAndCashEquivalents>
<us-gaap:EffectOfExchangeRateOnCashAndCashEquivalents contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 2316000 </us-gaap:EffectOfExchangeRateOnCashAndCashEquivalents>
<us-gaap:NetCashProvidedByUsedInFinancingActivities contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 33919000 </us-gaap:NetCashProvidedByUsedInFinancingActivities>
<us-gaap:NetCashProvidedByUsedInFinancingActivities contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 6117000 </us-gaap:NetCashProvidedByUsedInFinancingActivities>
<us-gaap:ProceedsFromRepaymentsOfRelatedPartyDebt contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 1848000 </us-gaap:ProceedsFromRepaymentsOfRelatedPartyDebt>
<us-gaap:ProceedsFromRepaymentsOfRelatedPartyDebt contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 5254000 </us-gaap:ProceedsFromRepaymentsOfRelatedPartyDebt>
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<us-gaap:RepaymentsOfBankDebt contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 58665000 </us-gaap:RepaymentsOfBankDebt>
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<us-gaap:ProceedsFromBankDebt contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 59528000 </us-gaap:ProceedsFromBankDebt>
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<us-gaap:NetCashProvidedByUsedInInvestingActivities contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> -8675000 </us-gaap:NetCashProvidedByUsedInInvestingActivities>
<evk:InvestmentInPartnership contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> -2936000 </evk:InvestmentInPartnership>
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<us-gaap:PaymentsToAcquirePropertyPlantAndEquipment contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 6354000 </us-gaap:PaymentsToAcquirePropertyPlantAndEquipment>
<us-gaap:PaymentsToAcquirePropertyPlantAndEquipment contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 8675000 </us-gaap:PaymentsToAcquirePropertyPlantAndEquipment>
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<us-gaap:NetCashProvidedByUsedInOperatingActivities contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 3985000 </us-gaap:NetCashProvidedByUsedInOperatingActivities>
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<us-gaap:IncreaseDecreaseInAccruedIncomeTaxesPayable contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> -409000 </us-gaap:IncreaseDecreaseInAccruedIncomeTaxesPayable>
<evk:IncreaseDecreaseValueAddedAndOtherTaxesPayable contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> -806000 </evk:IncreaseDecreaseValueAddedAndOtherTaxesPayable>
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<us-gaap:IncreaseDecreaseInOtherAccruedLiabilities contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> -1145000 </us-gaap:IncreaseDecreaseInOtherAccruedLiabilities>
<us-gaap:IncreaseDecreaseInOtherAccruedLiabilities contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 176000 </us-gaap:IncreaseDecreaseInOtherAccruedLiabilities>
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<evk:IncreaseDecreaseInAccountsPayables contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> -2305000 </evk:IncreaseDecreaseInAccountsPayables>
<us-gaap:IncreaseDecreaseInDueFromRelatedParties contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 480000 </us-gaap:IncreaseDecreaseInDueFromRelatedParties>
<us-gaap:IncreaseDecreaseInDueFromRelatedParties contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> -67000 </us-gaap:IncreaseDecreaseInDueFromRelatedParties>
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<us-gaap:IncreaseDecreaseInOtherCurrentAssets contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 3395000 </us-gaap:IncreaseDecreaseInOtherCurrentAssets>
<us-gaap:IncreaseDecreaseInPrepaidDeferredExpenseAndOtherAssets contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 135000 </us-gaap:IncreaseDecreaseInPrepaidDeferredExpenseAndOtherAssets>
<us-gaap:IncreaseDecreaseInPrepaidDeferredExpenseAndOtherAssets contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> -2394000 </us-gaap:IncreaseDecreaseInPrepaidDeferredExpenseAndOtherAssets>
<us-gaap:IncreaseDecreaseInOtherReceivables contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> -1336000 </us-gaap:IncreaseDecreaseInOtherReceivables>
<us-gaap:IncreaseDecreaseInOtherReceivables contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> -1077000 </us-gaap:IncreaseDecreaseInOtherReceivables>
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<us-gaap:IncreaseDecreaseInInventories contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 5145000 </us-gaap:IncreaseDecreaseInInventories>
<us-gaap:IncreaseDecreaseInAccountsReceivable contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> -27173000 </us-gaap:IncreaseDecreaseInAccountsReceivable>
<us-gaap:IncreaseDecreaseInAccountsReceivable contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> -6652000 </us-gaap:IncreaseDecreaseInAccountsReceivable>
<us-gaap:ShareBasedCompensation contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 10000 </us-gaap:ShareBasedCompensation>
<us-gaap:ShareBasedCompensation contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 12000 </us-gaap:ShareBasedCompensation>
<us-gaap:DeferredIncomeTaxExpenseBenefit contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 154000 </us-gaap:DeferredIncomeTaxExpenseBenefit>
<us-gaap:DeferredIncomeTaxExpenseBenefit contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> -1472000 </us-gaap:DeferredIncomeTaxExpenseBenefit>
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<us-gaap:TradingSecuritiesRealizedGainLoss contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 131000 </us-gaap:TradingSecuritiesRealizedGainLoss>
<evk:ProvisionRecoveryForObsoleteInventories contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 6753000 </evk:ProvisionRecoveryForObsoleteInventories>
<evk:ProvisionRecoveryForObsoleteInventories contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 2804000 </evk:ProvisionRecoveryForObsoleteInventories>
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<us-gaap:GainLossOnSaleOfPropertyPlantEquipment contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> -209000 </us-gaap:GainLossOnSaleOfPropertyPlantEquipment>
<us-gaap:GainLossOnSaleOfPropertyPlantEquipment contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> -9000 </us-gaap:GainLossOnSaleOfPropertyPlantEquipment>
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<us-gaap:WeightedAverageNumberOfShareOutstandingBasicAndDiluted contextRef="From2019-01-01to2019-12-31" unitRef="shares" decimals="INF"> 14801770 </us-gaap:WeightedAverageNumberOfShareOutstandingBasicAndDiluted>
<us-gaap:EarningsPerShareBasicAndDiluted contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD_per_Share" decimals="INF"> 0.22 </us-gaap:EarningsPerShareBasicAndDiluted>
<us-gaap:EarningsPerShareBasicAndDiluted contextRef="From2019-01-01to2019-12-31" unitRef="USD_per_Share" decimals="INF"> 0.09 </us-gaap:EarningsPerShareBasicAndDiluted>
<us-gaap:ComprehensiveIncomeNetOfTax contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 12200000 </us-gaap:ComprehensiveIncomeNetOfTax>
<us-gaap:ComprehensiveIncomeNetOfTax contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 610000 </us-gaap:ComprehensiveIncomeNetOfTax>
<us-gaap:ComprehensiveIncomeNetOfTaxAttributableToNoncontrollingInterest contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> -7000 </us-gaap:ComprehensiveIncomeNetOfTaxAttributableToNoncontrollingInterest>
<us-gaap:ComprehensiveIncomeNetOfTaxAttributableToNoncontrollingInterest contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> -41000 </us-gaap:ComprehensiveIncomeNetOfTaxAttributableToNoncontrollingInterest>
<us-gaap:ComprehensiveIncomeNetOfTaxIncludingPortionAttributableToNoncontrollingInterest contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 12193000 </us-gaap:ComprehensiveIncomeNetOfTaxIncludingPortionAttributableToNoncontrollingInterest>
<us-gaap:ComprehensiveIncomeNetOfTaxIncludingPortionAttributableToNoncontrollingInterest contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 559000 </us-gaap:ComprehensiveIncomeNetOfTaxIncludingPortionAttributableToNoncontrollingInterest>
<us-gaap:OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 8920000 </us-gaap:OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax>
<us-gaap:OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> -660000 </us-gaap:OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax>
<us-gaap:NetIncomeLoss contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 3280000 </us-gaap:NetIncomeLoss>
<us-gaap:NetIncomeLoss contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 1270000 </us-gaap:NetIncomeLoss>
<us-gaap:NetIncomeLossAttributableToNoncontrollingInterest contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> -7000 </us-gaap:NetIncomeLossAttributableToNoncontrollingInterest>
<us-gaap:NetIncomeLossAttributableToNoncontrollingInterest contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> -51000 </us-gaap:NetIncomeLossAttributableToNoncontrollingInterest>
<us-gaap:NonoperatingIncomeExpense contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 1599000 </us-gaap:NonoperatingIncomeExpense>
<us-gaap:NonoperatingIncomeExpense contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 2313000 </us-gaap:NonoperatingIncomeExpense>
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<us-gaap:OtherNonoperatingIncome contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 723000 </us-gaap:OtherNonoperatingIncome>
<evk:GainFromChangesInFairValuesOfInvestments contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 950000 </evk:GainFromChangesInFairValuesOfInvestments>
<us-gaap:GainOrLossOnSaleOfStockInSubsidiary contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> -1085000 </us-gaap:GainOrLossOnSaleOfStockInSubsidiary>
<us-gaap:OperatingExpenses contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 87070000 </us-gaap:OperatingExpenses>
<us-gaap:OperatingExpenses contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 115303000 </us-gaap:OperatingExpenses>
<us-gaap:SellingExpense contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 55894000 </us-gaap:SellingExpense>
<us-gaap:SellingExpense contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 80180000 </us-gaap:SellingExpense>
<us-gaap:GrossProfit contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 91213000 </us-gaap:GrossProfit>
<us-gaap:GrossProfit contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 118771000 </us-gaap:GrossProfit>
<us-gaap:CostOfRevenue contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 176141000 </us-gaap:CostOfRevenue>
<us-gaap:CostOfRevenue contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 264330000 </us-gaap:CostOfRevenue>
<us-gaap:LiabilitiesAndStockholdersEquity contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 331726000 </us-gaap:LiabilitiesAndStockholdersEquity>
<us-gaap:LiabilitiesAndStockholdersEquity contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 301671000 </us-gaap:LiabilitiesAndStockholdersEquity>
<us-gaap:MinorityInterest contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" xsi:nil="true"/>
<us-gaap:MinorityInterest contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> -1510000 </us-gaap:MinorityInterest>
<us-gaap:StockholdersEquity contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 134449000 </us-gaap:StockholdersEquity>
<us-gaap:StockholdersEquity contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 120660000 </us-gaap:StockholdersEquity>
<us-gaap:DueFromRelatedParties contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 3353000 </us-gaap:DueFromRelatedParties>
<us-gaap:DueFromRelatedParties contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 4932000 </us-gaap:DueFromRelatedParties>
<us-gaap:AccumulatedOtherComprehensiveIncomeLossNetOfTax contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 4590000 </us-gaap:AccumulatedOtherComprehensiveIncomeLossNetOfTax>
<us-gaap:AccumulatedOtherComprehensiveIncomeLossNetOfTax contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> -4330000 </us-gaap:AccumulatedOtherComprehensiveIncomeLossNetOfTax>
<us-gaap:StatutoryAccountingPracticesStatutoryCapitalAndSurplusBalance contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 20376000 </us-gaap:StatutoryAccountingPracticesStatutoryCapitalAndSurplusBalance>
<us-gaap:StatutoryAccountingPracticesStatutoryCapitalAndSurplusBalance contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 19939000 </us-gaap:StatutoryAccountingPracticesStatutoryCapitalAndSurplusBalance>
<us-gaap:RetainedEarningsAccumulatedDeficit contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 109171000 </us-gaap:RetainedEarningsAccumulatedDeficit>
<us-gaap:RetainedEarningsAccumulatedDeficit contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 106328000 </us-gaap:RetainedEarningsAccumulatedDeficit>
<us-gaap:AdditionalPaidInCapital contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 3650000 </us-gaap:AdditionalPaidInCapital>
<us-gaap:AdditionalPaidInCapital contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 3640000 </us-gaap:AdditionalPaidInCapital>
<us-gaap:CommonStockValue contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 15000 </us-gaap:CommonStockValue>
<us-gaap:CommonStockValue contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 15000 </us-gaap:CommonStockValue>
<us-gaap:Liabilities contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 197277000 </us-gaap:Liabilities>
<us-gaap:Liabilities contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 182521000 </us-gaap:Liabilities>
<us-gaap:OperatingLeaseLiabilityNoncurrent contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 8307000 </us-gaap:OperatingLeaseLiabilityNoncurrent>
<us-gaap:OperatingLeaseLiabilityNoncurrent contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 8537000 </us-gaap:OperatingLeaseLiabilityNoncurrent>
<us-gaap:LiabilitiesCurrent contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 188970000 </us-gaap:LiabilitiesCurrent>
<us-gaap:LiabilitiesCurrent contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 173984000 </us-gaap:LiabilitiesCurrent>
<us-gaap:OperatingLeaseLiabilityCurrent contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 33481000 </us-gaap:OperatingLeaseLiabilityCurrent>
<us-gaap:OperatingLeaseLiabilityCurrent contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 44888000 </us-gaap:OperatingLeaseLiabilityCurrent>
<us-gaap:TaxesPayableCurrent contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 1062000 </us-gaap:TaxesPayableCurrent>
<us-gaap:TaxesPayableCurrent contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 1142000 </us-gaap:TaxesPayableCurrent>
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<evk:ValueAddedAndOtherTaxesPayable contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 1657000 </evk:ValueAddedAndOtherTaxesPayable>
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<us-gaap:AccountsPayableAndOtherAccruedLiabilitiesCurrent contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 19137000 </us-gaap:AccountsPayableAndOtherAccruedLiabilitiesCurrent>
<us-gaap:AccountsPayableCurrent contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 67762000 </us-gaap:AccountsPayableCurrent>
<us-gaap:AccountsPayableCurrent contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 72418000 </us-gaap:AccountsPayableCurrent>
<us-gaap:ShortTermBankLoansAndNotesPayable contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 65919000 </us-gaap:ShortTermBankLoansAndNotesPayable>
<us-gaap:ShortTermBankLoansAndNotesPayable contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 29931000 </us-gaap:ShortTermBankLoansAndNotesPayable>
<us-gaap:AssetsNoncurrent contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 83482000 </us-gaap:AssetsNoncurrent>
<us-gaap:AssetsNoncurrent contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 87916000 </us-gaap:AssetsNoncurrent>
<us-gaap:DeferredIncomeTaxAssetsNet contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 902000 </us-gaap:DeferredIncomeTaxAssetsNet>
<us-gaap:DeferredIncomeTaxAssetsNet contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 996000 </us-gaap:DeferredIncomeTaxAssetsNet>
<us-gaap:OperatingLeaseRightOfUseAsset contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 41690000 </us-gaap:OperatingLeaseRightOfUseAsset>
<us-gaap:OperatingLeaseRightOfUseAsset contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 53379000 </us-gaap:OperatingLeaseRightOfUseAsset>
<us-gaap:PropertyPlantAndEquipmentNet contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 32164000 </us-gaap:PropertyPlantAndEquipmentNet>
<us-gaap:PropertyPlantAndEquipmentNet contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 28812000 </us-gaap:PropertyPlantAndEquipmentNet>
<us-gaap:FiniteLivedIntangibleAssetsNet contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 4794000 </us-gaap:FiniteLivedIntangibleAssetsNet>
<us-gaap:FiniteLivedIntangibleAssetsNet contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 4729000 </us-gaap:FiniteLivedIntangibleAssetsNet>
<evk:EquitySecurityInvestment contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 3932000 </evk:EquitySecurityInvestment>
<evk:EquitySecurityInvestment contextRef="AsOf2019-12-31" unitRef="USD" xsi:nil="true"/>
<us-gaap:AssetsCurrent contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 248244000 </us-gaap:AssetsCurrent>
<us-gaap:AssetsCurrent contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 213755000 </us-gaap:AssetsCurrent>
<us-gaap:PrepaidExpenseAndOtherAssetsCurrent contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 5479000 </us-gaap:PrepaidExpenseAndOtherAssetsCurrent>
<us-gaap:PrepaidExpenseAndOtherAssetsCurrent contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 5293000 </us-gaap:PrepaidExpenseAndOtherAssetsCurrent>
<us-gaap:ValueAddedTaxReceivableCurrent contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 1244000 </us-gaap:ValueAddedTaxReceivableCurrent>
<us-gaap:ValueAddedTaxReceivableCurrent contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 2495000 </us-gaap:ValueAddedTaxReceivableCurrent>
<us-gaap:AdvancesOnInventoryPurchases contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 10261000 </us-gaap:AdvancesOnInventoryPurchases>
<us-gaap:AdvancesOnInventoryPurchases contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 9681000 </us-gaap:AdvancesOnInventoryPurchases>
<us-gaap:AccountsReceivableNetCurrent contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 53285000 </us-gaap:AccountsReceivableNetCurrent>
<us-gaap:AccountsReceivableNetCurrent contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 78053000 </us-gaap:AccountsReceivableNetCurrent>
<us-gaap:TradingSecuritiesRestricted contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 1792000 </us-gaap:TradingSecuritiesRestricted>
<us-gaap:TradingSecuritiesRestricted contextRef="AsOf2019-12-31" unitRef="USD" xsi:nil="true"/>
<us-gaap:RestrictedCashCurrent contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 39858000 </us-gaap:RestrictedCashCurrent>
<us-gaap:RestrictedCashCurrent contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 2204000 </us-gaap:RestrictedCashCurrent>
<us-gaap:CashEquivalentsAtCarryingValue contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 81865000 </us-gaap:CashEquivalentsAtCarryingValue>
<us-gaap:CashEquivalentsAtCarryingValue contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 48551000 </us-gaap:CashEquivalentsAtCarryingValue>
<us-gaap:CommitmentsAndContingencies contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" xsi:nil="true"/>
<us-gaap:CommitmentsAndContingencies contextRef="AsOf2019-12-31" unitRef="USD" xsi:nil="true"/>
<us-gaap:InventoryRawMaterials contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 1297000 </us-gaap:InventoryRawMaterials>
<us-gaap:InventoryRawMaterials contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 1468000 </us-gaap:InventoryRawMaterials>
<us-gaap:InventoryWorkInProcess contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 8130000 </us-gaap:InventoryWorkInProcess>
<us-gaap:InventoryWorkInProcess contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 8025000 </us-gaap:InventoryWorkInProcess>
<us-gaap:InventoryFinishedGoods contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 44466000 </us-gaap:InventoryFinishedGoods>
<us-gaap:InventoryFinishedGoods contextRef="AsOf2019-12-31" unitRef="USD" decimals="-3"> 57862000 </us-gaap:InventoryFinishedGoods>
<us-gaap:LiquidationBasisOfAccountingTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>NOTE 13 LOSS ON DECONSOLIATION OF A SUBSIDIARY</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">On September 21, 2020, Shanghai Yiduo Fashion Company Limited (“Shanghai Yiduo”), one of our subsidiaries, entered involuntary liquidation process in the No. 3 Intermediate People’s Court of Shanghai Municipality. Based on the court’s liquidation order, Jingjiang Maikeer Garment Co., Ltd. (“Maikeer”), which was the petitioner of the involuntary liquidation process, claimed that Shanghai Yiduo owed Maikeer RMB99,162 ($15,201), pursuant to the sales contracts between the parties between 2015 and 2017. The net loss of disposal for Shanghai Yiduo is $1.09 million, which represented our remaining investment in Yiduo. The transaction that resulted in the deconsolidation was not with a related party. Yiduo’s operations before the bankruptcy were immaterial and did not meet the standard to be separately presented as a discontinued operation.</p>
</us-gaap:LiquidationBasisOfAccountingTextBlock>
<evk:GainFromGovernmentSubsidy contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="-3"> 1235000 </evk:GainFromGovernmentSubsidy>
<evk:GainFromGovernmentSubsidy contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="-3"> 1809000 </evk:GainFromGovernmentSubsidy>
<us-gaap:SignificantAccountingPoliciesTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>NOTE 2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Principles of Consolidation</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The consolidated financial statements include Ever-Glory International Group, Inc. and its subsidiaries, and are prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP"). All significant intercompany accounts and transactions have been eliminated in consolidation.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Use of Estimates and Assumptions</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In preparing our consolidated financial statements, we use estimates and assumptions that affect the reported amounts and disclosures. Our estimates are often based on complex judgments, probabilities and assumptions that we believe to be reasonable, but that are inherently uncertain and unpredictable. We are also subject to other risks and uncertainties that may cause actual results to differ from estimated amounts. Significant estimates include the assumptions used to the estimates of the allowance for deferred tax assets, and the accounts receivable allowance, and impairment of long-lived assets and inventory write off, value tax liabilities, and derivative financial instruments.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b><u>Cash, Cash Equivalents, and Restricted Cash</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Cash and cash equivalents include cash on hand and demand deposits with banks with original maturities within three months. If cash or bank deposits are held for a specific purpose and thus not available to the Company for immediate or general business use, these restricted cash and deposits are presented as a separate item in the balance sheet when they are material. As of December 31, 2020, the Company pledged $40.0 million with the banks for the bank borrowings. These amounts are restricted within one year and are presented as restricted cash in the balance sheets.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b><u>Accounts Receivable, net</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company extends unsecured credit to its customers in the ordinary course of business but mitigates the associated risks by performing credit checks and actively pursuing past due accounts. An allowance for doubtful accounts is established and recorded based on management's assessment of the credit history of its customers and current relationships with them. The Company writes off accounts receivable when amounts are deemed uncollectible.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">As of December 31, 2020 and 2019, $1.1 million and $1.0 million of bad debt expense have been made in the consolidated financial statements respectively. The allowance for doubtful account balances as of December 31, 2020 and 2019 are $6.5 million and $5.3 million, respectively. </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Inventories</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Wholesale inventories are stated at lower of cost or net realizable value, cost being determined on a specific identification method. The Company manufactures products upon receipt of orders from its customers. All products must pass the customers' quality assurance procedures before delivery. Therefore, products are rarely returned by customers after delivery.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Retail inventories are stated at the lower of average cost or net realizable value, cost being determined on a specific identification method. The Company writes down or writes off slow-moving or obsolete materials and finished goods aged more than two years.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Property and Equipment, net</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Property and equipment are stated at cost, less accumulated depreciation. Expenditures for additions, major renewals and betterments are capitalized and expenditures for maintenance and repairs are charged to expense as incurred. </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Depreciation is provided on a straight-line basis, less estimated residual value, over the assets' estimated useful lives. The estimated useful lives are as follows:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="white-space: nowrap; width: 89%"><font style="font: 10pt Times New Roman, Times, Serif">Property and plant</font></td> <td style="white-space: nowrap; width: 1%"> </td> <td style="white-space: nowrap; width: 10%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">15-20 Years</font></td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="white-space: nowrap"><font style="font: 10pt Times New Roman, Times, Serif">Leasehold  improvements</font></td> <td style="white-space: nowrap"> </td> <td style="white-space: nowrap; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">10 Months - 2 Years</font></td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="white-space: nowrap"><font style="font: 10pt Times New Roman, Times, Serif">Machinery and equipment</font></td> <td style="white-space: nowrap"> </td> <td style="white-space: nowrap; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5-10 Years</font></td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="white-space: nowrap"><font style="font: 10pt Times New Roman, Times, Serif">Office equipment and furniture</font></td> <td style="white-space: nowrap"> </td> <td style="white-space: nowrap; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">3-5 Years</font></td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="white-space: nowrap"><font style="font: 10pt Times New Roman, Times, Serif">Motor vehicles</font></td> <td style="white-space: nowrap"> </td> <td style="white-space: nowrap; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5 Years</font></td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b><u>Land Use Rights</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">All land in the PRC is owned by the government and cannot be sold to any individual or company. However, the government may grant a "land use right" to occupy, develop and use land. The Company records land use rights obtained as intangible assets at cost, which is amortized evenly over the grant period of 50 years. </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Impairment of long-lived assets</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Long-lived assets, property, equipment and land use rights held and used by the Company are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. For purposes of evaluating the recoverability of long-lived assets, when undiscounted future cash flows will not be sufficient to recover an asset's carrying amount, the asset is written down to its fair value.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Fair Value Measurements</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Accounting Standards Codification ("ASC") 820 "<i>Fair Value Measurements and Disclosures</i>", establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy under ASC 820 are described below:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr> <td style="width: 48px"> </td> <td style="vertical-align: top; width: 53px"><font style="font: 10pt Times New Roman, Times, Serif"><i>Level 1</i></font></td> <td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities;</font></td></tr> <tr> <td> </td> <td style="vertical-align: bottom"> </td> <td style="text-align: justify"> </td></tr> <tr> <td> </td> <td style="vertical-align: top"><font style="font: 10pt Times New Roman, Times, Serif"><i>Level 2</i></font></td> <td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability;</font></td></tr> <tr> <td> </td> <td style="vertical-align: bottom"> </td> <td style="text-align: justify"> </td></tr> <tr> <td> </td> <td style="vertical-align: top"><font style="font: 10pt Times New Roman, Times, Serif"><i>Level 3</i></font></td> <td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity).</font></td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">At December 31, 2020 and 2019, the Company's financial assets (all Level 1) consist of cash placed with financial institutions that management considers to be of a high quality, and trading securities, and equity security investment.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Management has estimated that the carrying amounts of non-related party financial instruments approximate their fair values due to their short-term maturities. The fair value of amounts due from (to) related parties is not practicable to estimate due to the related party nature of the underlying transactions.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">As of December 31, 2020 and December 31, 2019, the Company has no derivative liability.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company has adopted ASC 825-10 "<i>Financial Instruments</i>", which allows an entity to choose to measure certain financial instruments and liabilities at fair value on a contract-by-contract basis. Subsequent fair value measurement for the financial instruments and liabilities an entity chooses to measure will be recognized in earnings.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b><u>Derivative Financial Instruments</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">From time to time, the Company uses derivative financial instruments to manage its exposure to foreign currency risks arising from operational activities or on certain existing assets and liabilities. The Company does not hold or issue derivative instruments for trading purposes. The Company may enter into forward foreign exchange contracts, foreign exchange options, or foreign exchange currency swap contracts to manage exposure to certain foreign currency operating transactions. These instruments may offset a portion of the foreign currency re-measurement gains or losses, or changes in fair value.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company may also enter into above similar derivative instruments to hedge the exposure to variability in the expected cash flows of forecasted transactions such as international sales or purchases that the Company expects to receive or commit to remit foreign currencies. In these cases, the Company designates these instruments as the cash flow hedges.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company accounts for derivative and hedging activities in accordance with ASC 815, Derivatives and Hedging, as amended by ASU No. 2017-12. Derivative financial instruments are recognized initially at fair value and transaction costs are expensed immediately. Subsequent to initial recognition, derivative financial instruments are stated at fair value. The gain or loss on re-measurement to fair value is recognized immediately in earnings when such instruments are designated as fair value hedges or ineffective portion of cash flow hedges. The accumulated gain or loss from effective portions of cash flow hedges are recorded in accumulated other comprehensive income/(loss) ("AOCI") until the hedged item is recognized in earnings. If the hedging instrument no longer meets the criteria for hedge accounting, expires or is sold, terminated or exercised, then hedge accounting is discontinued prospectively. </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b><u>Operating Leases</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company adopted ASC No. 842, Leases effective January 1, 2019 to account for all Company's leases, all leases are recorded in the balance sheets. The lease liability is measured at present value of outstanding lease payments, both at commencement date and subsequently. The discount rate is generally the Company's incremental borrowing rate as the lessor's rate implicit in the lease is not readily determinable. The right-of-use (ROU) asset costs at commencement date consist of initial lease liability, any initial direct costs, and any lease payments made to the lessor at or before the commencement date, minus any lease incentives received. Subsequently, the carrying amount of ROU asset is derived from the carrying amount of the lease liability, plus unamortized direct costs and prepaid lease payments, and minus unamortized balance of lease incentives received. The annual amortization expenses will be recorded in consolidated statement of operations and allocating between cost of sales and operating expenses.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b><u>Revenue and Cost Recognition</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; background-color: white">The Company recognizes wholesale revenue from product sales, net of value-added taxes, upon delivery for local sales and upon shipment of the products for export sales, at such time title passes to the customer. Retail sales are recorded net of promotional discounts, rebates, and return allowances. Retail store sales are recognized at the time of the register receipt. Retail online sales are recognized when products are shipped and customers receive the products because the Company retains a portion of the risk of loss on these sales during transit.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; background-color: white"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company's revenue recognition policy is in compliance with ASC 606, <i>Revenue from Contracts with Customers</i> that revenue is recognized when a customer obtains control of promised goods and is recognized in an amount that reflects the consideration that the Company expects to receive in exchange for those goods. In addition, the standard requires disclosure of the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. The Company applies the following five-step model in order to determine this amount:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%"> <tr style="vertical-align: top"> <td style="width: 0.25in"> </td> <td style="width: 0.25in"><font style="font: 10pt Times New Roman, Times, Serif">(i)</font></td> <td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">identification of the promised goods and services in the contract;</font></td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: top"> <td> </td> <td><font style="font: 10pt Times New Roman, Times, Serif">(ii)</font></td> <td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">determination of whether the promised goods and services are performance obligations, including whether they are distinct in the context of the contract;</font></td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: top"> <td> </td> <td><font style="font: 10pt Times New Roman, Times, Serif">(iii)</font></td> <td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">measurement of the transaction price, including the constraint on variable consideration;</font></td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: top"> <td> </td> <td><font style="font: 10pt Times New Roman, Times, Serif">(iv)</font></td> <td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">allocation of the transaction price to the performance obligations; and</font></td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: top"> <td> </td> <td><font style="font: 10pt Times New Roman, Times, Serif">(v)</font></td> <td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">recognition of revenue when (or as) the Company satisfies each performance obligation.</font></td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company only applies the five-step model to contracts when it is probable that the Company will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer. Once a contract is determined to be within the scope of ASC 606 at contract inception, the Company reviews the contract to determine which performance obligations the Company must deliver and which of these performance obligations are distinct. The Company recognizes as revenues the amount of the transaction price that is allocated to the respective performance obligation when the performance obligation is satisfied or as it is satisfied. Generally, the Company's performance obligations are transferred to customers at a point in time, typically upon delivery for local sales and upon shipment of the products for export sale.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">For all reporting periods, the Company has not disclosed the value of unsatisfied performance obligations for all product revenue contracts with an original expected length of one year or less, which is an optional exemption that is permitted under the adopted rules.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Cost of goods sold includes the direct raw material cost, direct labor cost, manufacturing overheads including depreciation of production equipment, and rent and commission due to department stores consistent with the revenue earned. Cost of goods sold excludes warehousing costs, which historically have not been significant.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Local transportation charges and production inspection charges are included in selling expenses and totaled $3.9 million and $3.2 million in the years ended December 31, 2020 and 2019, respectively.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Research and Development Costs</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Research and development costs are expensed as incurred. Research and development costs for the years ended December 31, 2020 and 2019 amounted to $1.1 million and $1.0 million, respectively.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Government subsidies</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Government subsidies are recognized when received and when all the conditions for their receipt have been met. Subsidies that compensate the Company for expenses incurred are recognized as a reduction of expenses in the consolidated statements of operations. Subsidies that are not associated with expenses are recognized as government subsidy. Ten of the Company's PRC subsidiaries received government subsidies of $1.2 million and $1.8 million for the years ended December 31, 2020 and 2019, respectively, which was recorded in other income when subsidies were received and all the conditions were met.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Income Taxes</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that included the enactment date.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company has adopted ASC 740 "<u>Income Taxes</u>" pursuant to which tax positions are recognized as a benefit only if it is "more likely than not" that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the "more likely than not" test, no tax benefit is recorded. The Company does not have any material unrecognized tax benefits and the Company does not believe there will be any material changes in its unrecognized tax positions over the next 12 months.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company's policy is to recognize interest and penalties accrued on any unrecognized tax benefits as a component of income tax expense. The Company does not have any accrued interest or penalties associated with any unrecognized tax benefits, nor was any interest expense recognized during the years ended December 31, 2020 and 2019. The Company's effective tax rate differs from the PRC statutory rate primarily due to non-deductible expenses, temporary differences, and preferential tax treatment.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company files income tax returns with the relevant government authorities in the U.S. and the PRC. </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Foreign Currency Translation and Other Comprehensive Income</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The reporting currency of the Company is the U.S. dollar. The functional currency of Ever-Glory, Perfect Dream, Ever-Glory HK and Ever-Glory Supply Chain is the U.S. dollar. The functional currency of Goldenway, New Tailun, Catch-luck, Haian TaiXin, Nanjing Rui Lian, Ever-Glory Apparel, Shanghai LA GO GO, Jiangsu LA GO GO, Tianjin LA GO GO, He Meida, Huirui, Yalan, Yiduo and Taixin is the Chinese RMB.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">For the subsidiaries whose functional currency is the RMB, all assets and liabilities are translated at the exchange rate on the balance sheet date; equity is translated at historical rates and items in the statement of income are translated at the average rate for the period. Translation adjustments resulting from this process are included in accumulated other comprehensive income (loss) in the statement of equity and amounted to $4.6 million and ($4.34 million) as of December 31, 2020 and 2019, respectively. Assets and liabilities at December 31, 2020 and 2019 were translated at RMB6.52 and RMB6.98 to $1.00 respectively. The average translation rates applied to income statement accounts and consolidated statements of cash flows for the years ended December 31, 2020 and 2019 were RMB6.90 and RMB6.90 to $1.00, respectively. As a result, amounts related to assets and liabilities reported on the consolidated statements of cash flows will not necessarily agree with changes in the corresponding balances on the consolidated balance sheets. </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Translation gains or losses that arise from exchange rate fluctuations on transactions denominated in a currency other than the functional currency are included in the results of operations as incurred and amounted a loss of $2.5 million and a loss of $0.77 million for the years ended December 31, 2020 and 2019, respectively.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Earnings Per Share</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company reports earnings per share in accordance with <i>ASC 260 "Earnings Per Share"</i>, which requires presentation of basic and diluted earnings per share in conjunction with the disclosure of the methodology used in computing such earnings per share. Basic earnings per share excludes dilution and is computed by dividing income available to common stockholders by the weighted average common shares outstanding during the period. Diluted earnings per share takes into account the potential dilution that could occur if securities or other contracts to issue common stock were exercised and converted into common stock. Further, if the number of common shares outstanding increases as a result of a stock dividend or stock split or decreases as a result of a reverse stock split, the computations of a basic and diluted EPS shall be adjusted retroactively for all periods presented to reflect that change in capital structure.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Included in the calculation of basic EPS are shares of restricted common stock that have been issued by the Company, all of which are fully vested. Shares of restricted common stock whose issuance is contingent upon the attainment of specified earnings targets are considered outstanding and included in the computation of basic EPS as of the date that all necessary conditions have been satisfied, which is the date upon which the specified amount of earnings has been attained. These shares are to be considered outstanding and included in the computation of diluted EPS as of the beginning of the period in which the conditions are satisfied. If the specified amount of earnings has not been attained as of the end of the reporting period, the contingently issuable shares are excluded from the calculation of basic and diluted EPS.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Unvested restricted shares to be issued (share-based compensation) under the 2014 Equity Incentive Plan are not included in basic weighted average number of shares but are considered to be outstanding as of the grant date for purposes of computing diluted earnings per share even though the shares are subject to vesting requirements.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">As of December 31, 2020 and 2019, there were no securities that could potentially dilute basic EPS and would be included in the calculation of diluted EPS.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Segments</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company applies<i> ASC 280 "Segment Reporting" </i>which establishes standards for operating information regarding operating segments in financial statements and requires selected information for those segments to be presented in financial reports issued to stockholders. ASC 280 also establishes standards for related disclosures about products and services and geographic areas. Operating segments are identified as components of an enterprise about which separate discrete financial information is available for evaluation by the chief operating decision maker, or decision making group, in making decisions how to allocate resources and assess performance. The Company reports financial and operating information in two segments:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%"> <tr style="vertical-align: top"> <td style="width: 0.25in"><font style="font: 10pt Times New Roman, Times, Serif">(1)</font></td> <td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Wholesale apparel manufacture and sales</font></td></tr> <tr style="vertical-align: top"> <td><font style="font: 10pt Times New Roman, Times, Serif">(2)</font></td> <td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Retail sales of own-brand clothing. There were 936 retail stores and 3 logistics centers carrying inventories as of December 31, 2020.0</font></td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b><u>Recently Issued Accounting Pronouncements</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In June 2016, the FASB issued ASU No. 2016-13 <i>"Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments"</i>; In November 2019, the FASB issued ASU No. 2019-10 "Financial Instruments—Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842): Effective Dates"; In March 2020, the FASB issued ASU No. 2020-03 "Codification Improvements to Financial Instruments"; which modifies the measurement of expected credit losses of certain financial instruments. This ASU is effective for fiscal years and interim periods within those years beginning after December 15, 2022. The Company is currently assessing the impact of this ASU on its consolidated financial statements.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company reviews new accounting standards as issued. Management has not identified any other new standards that it believes will have a significant impact on the Company's consolidated financial statements.</p>
</us-gaap:SignificantAccountingPoliciesTextBlock>
<us-gaap:ConsolidationPolicyTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Principles of Consolidation</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The consolidated financial statements include Ever-Glory International Group, Inc. and its subsidiaries, and are prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP"). All significant intercompany accounts and transactions have been eliminated in consolidation.</p>
</us-gaap:ConsolidationPolicyTextBlock>
<us-gaap:UseOfEstimates contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Use of Estimates and Assumptions</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In preparing our consolidated financial statements, we use estimates and assumptions that affect the reported amounts and disclosures. Our estimates are often based on complex judgments, probabilities and assumptions that we believe to be reasonable, but that are inherently uncertain and unpredictable. We are also subject to other risks and uncertainties that may cause actual results to differ from estimated amounts. Significant estimates include the assumptions used to the estimates of the allowance for deferred tax assets, and the accounts receivable allowance, and impairment of long-lived assets and inventory write off, value tax liabilities, and derivative financial instruments.</p>
</us-gaap:UseOfEstimates>
<us-gaap:CashAndCashEquivalentsPolicyTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b><u>Cash, Cash Equivalents, and Restricted Cash</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Cash and cash equivalents include cash on hand and demand deposits with banks with original maturities within three months. If cash or bank deposits are held for a specific purpose and thus not available to the Company for immediate or general business use, these restricted cash and deposits are presented as a separate item in the balance sheet when they are material. As of December 31, 2020, the Company pledged $40.0 million with the banks for the bank borrowings. These amounts are restricted within one year and are presented as restricted cash in the balance sheets.</p>
</us-gaap:CashAndCashEquivalentsPolicyTextBlock>
<us-gaap:ReceivablesPolicyTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b><u>Accounts Receivable, net</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company extends unsecured credit to its customers in the ordinary course of business but mitigates the associated risks by performing credit checks and actively pursuing past due accounts. An allowance for doubtful accounts is established and recorded based on management's assessment of the credit history of its customers and current relationships with them. The Company writes off accounts receivable when amounts are deemed uncollectible.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">As of December 31, 2020 and 2019, $1.1 million and $1.0 million of bad debt expense have been made in the consolidated financial statements respectively. The allowance for doubtful account balances as of December 31, 2020 and 2019 are $6.5 million and $5.3 million, respectively.</p>
</us-gaap:ReceivablesPolicyTextBlock>
<us-gaap:InventoryPolicyTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Inventories</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Wholesale inventories are stated at lower of cost or net realizable value, cost being determined on a specific identification method. The Company manufactures products upon receipt of orders from its customers. All products must pass the customers' quality assurance procedures before delivery. Therefore, products are rarely returned by customers after delivery.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Retail inventories are stated at the lower of average cost or net realizable value, cost being determined on a specific identification method. The Company writes down or writes off slow-moving or obsolete materials and finished goods aged more than two years.</p>
</us-gaap:InventoryPolicyTextBlock>
<us-gaap:PropertyPlantAndEquipmentPolicyTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Property and Equipment, net</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Property and equipment are stated at cost, less accumulated depreciation. Expenditures for additions, major renewals and betterments are capitalized and expenditures for maintenance and repairs are charged to expense as incurred. </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Depreciation is provided on a straight-line basis, less estimated residual value, over the assets' estimated useful lives. The estimated useful lives are as follows:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="white-space: nowrap; width: 89%"><font style="font: 10pt Times New Roman, Times, Serif">Property and plant</font></td> <td style="white-space: nowrap; width: 1%"> </td> <td style="white-space: nowrap; width: 10%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">15-20 Years</font></td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="white-space: nowrap"><font style="font: 10pt Times New Roman, Times, Serif">Leasehold  improvements</font></td> <td style="white-space: nowrap"> </td> <td style="white-space: nowrap; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">10 Months - 2 Years</font></td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="white-space: nowrap"><font style="font: 10pt Times New Roman, Times, Serif">Machinery and equipment</font></td> <td style="white-space: nowrap"> </td> <td style="white-space: nowrap; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5-10 Years</font></td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="white-space: nowrap"><font style="font: 10pt Times New Roman, Times, Serif">Office equipment and furniture</font></td> <td style="white-space: nowrap"> </td> <td style="white-space: nowrap; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">3-5 Years</font></td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="white-space: nowrap"><font style="font: 10pt Times New Roman, Times, Serif">Motor vehicles</font></td> <td style="white-space: nowrap"> </td> <td style="white-space: nowrap; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5 Years</font></td></tr></table>
</us-gaap:PropertyPlantAndEquipmentPolicyTextBlock>
<us-gaap:IntangibleAssetsFiniteLivedPolicy contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b><u>Land Use Rights</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">All land in the PRC is owned by the government and cannot be sold to any individual or company. However, the government may grant a "land use right" to occupy, develop and use land. The Company records land use rights obtained as intangible assets at cost, which is amortized evenly over the grant period of 50 years.</p>
</us-gaap:IntangibleAssetsFiniteLivedPolicy>
<us-gaap:ImpairmentOrDisposalOfLongLivedAssetsPolicyTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Impairment of long-lived assets</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Long-lived assets, property, equipment and land use rights held and used by the Company are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. For purposes of evaluating the recoverability of long-lived assets, when undiscounted future cash flows will not be sufficient to recover an asset's carrying amount, the asset is written down to its fair value.</p>
</us-gaap:ImpairmentOrDisposalOfLongLivedAssetsPolicyTextBlock>
<us-gaap:FairValueMeasurementPolicyPolicyTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Fair Value Measurements</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Accounting Standards Codification ("ASC") 820 "<i>Fair Value Measurements and Disclosures</i>", establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy under ASC 820 are described below:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse"> <tr> <td style="width: 48px"> </td> <td style="vertical-align: top; width: 53px"><font style="font: 10pt Times New Roman, Times, Serif"><i>Level 1</i></font></td> <td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities;</font></td></tr> <tr> <td> </td> <td style="vertical-align: bottom"> </td> <td style="text-align: justify"> </td></tr> <tr> <td> </td> <td style="vertical-align: top"><font style="font: 10pt Times New Roman, Times, Serif"><i>Level 2</i></font></td> <td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability;</font></td></tr> <tr> <td> </td> <td style="vertical-align: bottom"> </td> <td style="text-align: justify"> </td></tr> <tr> <td> </td> <td style="vertical-align: top"><font style="font: 10pt Times New Roman, Times, Serif"><i>Level 3</i></font></td> <td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity).</font></td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">At December 31, 2020 and 2019, the Company's financial assets (all Level 1) consist of cash placed with financial institutions that management considers to be of a high quality, and trading securities, and equity security investment.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Management has estimated that the carrying amounts of non-related party financial instruments approximate their fair values due to their short-term maturities. The fair value of amounts due from (to) related parties is not practicable to estimate due to the related party nature of the underlying transactions.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">As of December 31, 2020 and December 31, 2019, the Company has no derivative liability.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company has adopted ASC 825-10 "<i>Financial Instruments</i>", which allows an entity to choose to measure certain financial instruments and liabilities at fair value on a contract-by-contract basis. Subsequent fair value measurement for the financial instruments and liabilities an entity chooses to measure will be recognized in earnings.</p>
</us-gaap:FairValueMeasurementPolicyPolicyTextBlock>
<us-gaap:DerivativesReportingOfDerivativeActivity contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b><u>Derivative Financial Instruments</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">From time to time, the Company uses derivative financial instruments to manage its exposure to foreign currency risks arising from operational activities or on certain existing assets and liabilities. The Company does not hold or issue derivative instruments for trading purposes. The Company may enter into forward foreign exchange contracts, foreign exchange options, or foreign exchange currency swap contracts to manage exposure to certain foreign currency operating transactions. These instruments may offset a portion of the foreign currency re-measurement gains or losses, or changes in fair value.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company may also enter into above similar derivative instruments to hedge the exposure to variability in the expected cash flows of forecasted transactions such as international sales or purchases that the Company expects to receive or commit to remit foreign currencies. In these cases, the Company designates these instruments as the cash flow hedges.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company accounts for derivative and hedging activities in accordance with ASC 815, Derivatives and Hedging, as amended by ASU No. 2017-12. Derivative financial instruments are recognized initially at fair value and transaction costs are expensed immediately. Subsequent to initial recognition, derivative financial instruments are stated at fair value. The gain or loss on re-measurement to fair value is recognized immediately in earnings when such instruments are designated as fair value hedges or ineffective portion of cash flow hedges. The accumulated gain or loss from effective portions of cash flow hedges are recorded in accumulated other comprehensive income/(loss) ("AOCI") until the hedged item is recognized in earnings. If the hedging instrument no longer meets the criteria for hedge accounting, expires or is sold, terminated or exercised, then hedge accounting is discontinued prospectively.</p>
</us-gaap:DerivativesReportingOfDerivativeActivity>
<evk:OperatingLeasesPolicyTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b><u>Operating Leases</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company adopted ASC No. 842, Leases effective January 1, 2019 to account for all Company's leases, all leases are recorded in the balance sheets. The lease liability is measured at present value of outstanding lease payments, both at commencement date and subsequently. The discount rate is generally the Company's incremental borrowing rate as the lessor's rate implicit in the lease is not readily determinable. The right-of-use (ROU) asset costs at commencement date consist of initial lease liability, any initial direct costs, and any lease payments made to the lessor at or before the commencement date, minus any lease incentives received. Subsequently, the carrying amount of ROU asset is derived from the carrying amount of the lease liability, plus unamortized direct costs and prepaid lease payments, and minus unamortized balance of lease incentives received. The annual amortization expenses will be recorded in consolidated statement of operations and allocating between cost of sales and operating expenses.</p>
</evk:OperatingLeasesPolicyTextBlock>
<us-gaap:RevenueRecognitionPolicyTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b><u>Revenue and Cost Recognition</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; background-color: white">The Company recognizes wholesale revenue from product sales, net of value-added taxes, upon delivery for local sales and upon shipment of the products for export sales, at such time title passes to the customer. Retail sales are recorded net of promotional discounts, rebates, and return allowances. Retail store sales are recognized at the time of the register receipt. Retail online sales are recognized when products are shipped and customers receive the products because the Company retains a portion of the risk of loss on these sales during transit.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; background-color: white"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company's revenue recognition policy is in compliance with ASC 606, <i>Revenue from Contracts with Customers</i> that revenue is recognized when a customer obtains control of promised goods and is recognized in an amount that reflects the consideration that the Company expects to receive in exchange for those goods. In addition, the standard requires disclosure of the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. The Company applies the following five-step model in order to determine this amount:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%"> <tr style="vertical-align: top"> <td style="width: 0.25in"> </td> <td style="width: 0.25in"><font style="font: 10pt Times New Roman, Times, Serif">(i)</font></td> <td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">identification of the promised goods and services in the contract;</font></td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: top"> <td> </td> <td><font style="font: 10pt Times New Roman, Times, Serif">(ii)</font></td> <td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">determination of whether the promised goods and services are performance obligations, including whether they are distinct in the context of the contract;</font></td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: top"> <td> </td> <td><font style="font: 10pt Times New Roman, Times, Serif">(iii)</font></td> <td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">measurement of the transaction price, including the constraint on variable consideration;</font></td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: top"> <td> </td> <td><font style="font: 10pt Times New Roman, Times, Serif">(iv)</font></td> <td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">allocation of the transaction price to the performance obligations; and</font></td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: top"> <td> </td> <td><font style="font: 10pt Times New Roman, Times, Serif">(v)</font></td> <td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">recognition of revenue when (or as) the Company satisfies each performance obligation.</font></td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company only applies the five-step model to contracts when it is probable that the Company will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer. Once a contract is determined to be within the scope of ASC 606 at contract inception, the Company reviews the contract to determine which performance obligations the Company must deliver and which of these performance obligations are distinct. The Company recognizes as revenues the amount of the transaction price that is allocated to the respective performance obligation when the performance obligation is satisfied or as it is satisfied. Generally, the Company's performance obligations are transferred to customers at a point in time, typically upon delivery for local sales and upon shipment of the products for export sale.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">For all reporting periods, the Company has not disclosed the value of unsatisfied performance obligations for all product revenue contracts with an original expected length of one year or less, which is an optional exemption that is permitted under the adopted rules.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Cost of goods sold includes the direct raw material cost, direct labor cost, manufacturing overheads including depreciation of production equipment, and rent and commission due to department stores consistent with the revenue earned. Cost of goods sold excludes warehousing costs, which historically have not been significant.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Local transportation charges and production inspection charges are included in selling expenses and totaled $3.9 million and $3.2 million in the years ended December 31, 2020 and 2019, respectively.</p>
</us-gaap:RevenueRecognitionPolicyTextBlock>
<us-gaap:ResearchAndDevelopmentExpensePolicy contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Research and Development Costs</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Research and development costs are expensed as incurred. Research and development costs for the years ended December 31, 2020 and 2019 amounted to $1.1 million and $1.0 million, respectively.</p>
</us-gaap:ResearchAndDevelopmentExpensePolicy>
<us-gaap:GovernmentContractorsInventoryPolicyPolicyTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Government subsidies</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Government subsidies are recognized when received and when all the conditions for their receipt have been met. Subsidies that compensate the Company for expenses incurred are recognized as a reduction of expenses in the consolidated statements of operations. Subsidies that are not associated with expenses are recognized as government subsidy. Ten of the Company's PRC subsidiaries received government subsidies of $1.2 million and $1.8 million for the years ended December 31, 2020 and 2019, respectively, which was recorded in other income when subsidies were received and all the conditions were met.</p>
</us-gaap:GovernmentContractorsInventoryPolicyPolicyTextBlock>
<us-gaap:IncomeTaxPolicyTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Income Taxes</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that included the enactment date.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company has adopted ASC 740 "<u>Income Taxes</u>" pursuant to which tax positions are recognized as a benefit only if it is "more likely than not" that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the "more likely than not" test, no tax benefit is recorded. The Company does not have any material unrecognized tax benefits and the Company does not believe there will be any material changes in its unrecognized tax positions over the next 12 months.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company's policy is to recognize interest and penalties accrued on any unrecognized tax benefits as a component of income tax expense. The Company does not have any accrued interest or penalties associated with any unrecognized tax benefits, nor was any interest expense recognized during the years ended December 31, 2020 and 2019. The Company's effective tax rate differs from the PRC statutory rate primarily due to non-deductible expenses, temporary differences, and preferential tax treatment.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company files income tax returns with the relevant government authorities in the U.S. and the PRC.</p>
</us-gaap:IncomeTaxPolicyTextBlock>
<us-gaap:ForeignCurrencyTransactionsAndTranslationsPolicyTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Foreign Currency Translation and Other Comprehensive Income</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The reporting currency of the Company is the U.S. dollar. The functional currency of Ever-Glory, Perfect Dream, Ever-Glory HK and Ever-Glory Supply Chain is the U.S. dollar. The functional currency of Goldenway, New Tailun, Catch-luck, Haian TaiXin, Nanjing Rui Lian, Ever-Glory Apparel, Shanghai LA GO GO, Jiangsu LA GO GO, Tianjin LA GO GO, He Meida, Huirui, Yalan, Yiduo and Taixin is the Chinese RMB.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">For the subsidiaries whose functional currency is the RMB, all assets and liabilities are translated at the exchange rate on the balance sheet date; equity is translated at historical rates and items in the statement of income are translated at the average rate for the period. Translation adjustments resulting from this process are included in accumulated other comprehensive income (loss) in the statement of equity and amounted to $4.6 million and ($4.34 million) as of December 31, 2020 and 2019, respectively. Assets and liabilities at December 31, 2020 and 2019 were translated at RMB6.52 and RMB6.98 to $1.00 respectively. The average translation rates applied to income statement accounts and consolidated statements of cash flows for the years ended December 31, 2020 and 2019 were RMB6.90 and RMB6.90 to $1.00, respectively. As a result, amounts related to assets and liabilities reported on the consolidated statements of cash flows will not necessarily agree with changes in the corresponding balances on the consolidated balance sheets. </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Translation gains or losses that arise from exchange rate fluctuations on transactions denominated in a currency other than the functional currency are included in the results of operations as incurred and amounted a loss of $2.5 million and a loss of $0.77 million for the years ended December 31, 2020 and 2019, respectively.</p>
</us-gaap:ForeignCurrencyTransactionsAndTranslationsPolicyTextBlock>
<us-gaap:EarningsPerSharePolicyTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Earnings Per Share</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company reports earnings per share in accordance with <i>ASC 260 "Earnings Per Share"</i>, which requires presentation of basic and diluted earnings per share in conjunction with the disclosure of the methodology used in computing such earnings per share. Basic earnings per share excludes dilution and is computed by dividing income available to common stockholders by the weighted average common shares outstanding during the period. Diluted earnings per share takes into account the potential dilution that could occur if securities or other contracts to issue common stock were exercised and converted into common stock. Further, if the number of common shares outstanding increases as a result of a stock dividend or stock split or decreases as a result of a reverse stock split, the computations of a basic and diluted EPS shall be adjusted retroactively for all periods presented to reflect that change in capital structure.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Included in the calculation of basic EPS are shares of restricted common stock that have been issued by the Company, all of which are fully vested. Shares of restricted common stock whose issuance is contingent upon the attainment of specified earnings targets are considered outstanding and included in the computation of basic EPS as of the date that all necessary conditions have been satisfied, which is the date upon which the specified amount of earnings has been attained. These shares are to be considered outstanding and included in the computation of diluted EPS as of the beginning of the period in which the conditions are satisfied. If the specified amount of earnings has not been attained as of the end of the reporting period, the contingently issuable shares are excluded from the calculation of basic and diluted EPS.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Unvested restricted shares to be issued (share-based compensation) under the 2014 Equity Incentive Plan are not included in basic weighted average number of shares but are considered to be outstanding as of the grant date for purposes of computing diluted earnings per share even though the shares are subject to vesting requirements.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">As of December 31, 2020 and 2019, there were no securities that could potentially dilute basic EPS and would be included in the calculation of diluted EPS.</p>
</us-gaap:EarningsPerSharePolicyTextBlock>
<us-gaap:SegmentReportingPolicyPolicyTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Segments</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company applies<i> ASC 280 "Segment Reporting" </i>which establishes standards for operating information regarding operating segments in financial statements and requires selected information for those segments to be presented in financial reports issued to stockholders. ASC 280 also establishes standards for related disclosures about products and services and geographic areas. Operating segments are identified as components of an enterprise about which separate discrete financial information is available for evaluation by the chief operating decision maker, or decision making group, in making decisions how to allocate resources and assess performance. The Company reports financial and operating information in two segments:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%"> <tr style="vertical-align: top"> <td style="width: 0.25in"><font style="font: 10pt Times New Roman, Times, Serif">(1)</font></td> <td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Wholesale apparel manufacture and sales</font></td></tr> <tr style="vertical-align: top"> <td><font style="font: 10pt Times New Roman, Times, Serif">(2)</font></td> <td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Retail sales of own-brand clothing. There were 936 retail stores and 3 logistics centers carrying inventories as of December 31, 2020.0</font></td></tr></table>
</us-gaap:SegmentReportingPolicyPolicyTextBlock>
<us-gaap:NewAccountingPronouncementsPolicyPolicyTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b><u>Recently Issued Accounting Pronouncements</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In June 2016, the FASB issued ASU No. 2016-13 <i>"Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments"</i>; In November 2019, the FASB issued ASU No. 2019-10 "Financial Instruments—Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842): Effective Dates"; In March 2020, the FASB issued ASU No. 2020-03 "Codification Improvements to Financial Instruments"; which modifies the measurement of expected credit losses of certain financial instruments. This ASU is effective for fiscal years and interim periods within those years beginning after December 15, 2022. The Company is currently assessing the impact of this ASU on its consolidated financial statements.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company reviews new accounting standards as issued. Management has not identified any other new standards that it believes will have a significant impact on the Company's consolidated financial statements.</p>
</us-gaap:NewAccountingPronouncementsPolicyPolicyTextBlock>
<us-gaap:InventoryDisclosureTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>NOTE 4 INVENTORIES</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Inventories at December 31, 2020 and 2019 consisted of the following: </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31, <br /> 2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31, <br /> 2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 70%; text-align: left">Raw materials</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">1,297</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">1,468</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Work-in-progress</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">8,130</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">8,025</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1.5pt">Finished goods</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">44,466</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">57,862</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 4pt; padding-left: 10pt">Total inventories</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">53,893</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">67,355</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Provision for obsolete inventories was $6.8 million and $2.8 million for the years ended December 31, 2020 and 2019, respectively.</p>
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<us-gaap:PropertyPlantAndEquipmentDisclosureTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>NOTE 6 PROPERTY AND EQUIPMENT</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The following is a summary of property and equipment at December 31, 2020 and 2019</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%; text-align: left">Property and plant</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">26,339</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">24,384</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Leasehold improvements</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">17,070</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">19,914</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Equipment and machinery</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2,724</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2,448</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Office equipment and furniture</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">8,363</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">7,567</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1.5pt">Motor vehicles</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,959</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">2,048</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">56,455</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">56,361</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Less: accumulated depreciation</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(29,570</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(28,330</td><td style="text-align: left">)</td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 1.5pt">Construction-in-progress</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">5,279</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">781</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Property and equipment, net</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">32,164</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">28,812</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Depreciation expense was $5.08 million and $8.11 million for the years ended December 31, 2020 and 2019, respectively.</p>
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<evk:PropertyAndEquipmentTablesTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td></td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%; text-align: left">Property and plant</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">26,339</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">24,384</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Leasehold improvements</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">17,070</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">19,914</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Equipment and machinery</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2,724</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2,448</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Office equipment and furniture</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">8,363</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">7,567</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1.5pt">Motor vehicles</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,959</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">2,048</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">56,455</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">56,361</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Less: accumulated depreciation</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(29,570</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(28,330</td><td style="text-align: left">)</td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 1.5pt">Construction-in-progress</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">5,279</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">781</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Property and equipment, net</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">32,164</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">28,812</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
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<us-gaap:DebtDisclosureTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>NOTE 8 BANK LOANS</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Bank loans represent amounts due to various banks and are generally due on demand or within one year. These loans can be renewed with the banks. Short term bank loans consisted of the following as of December 31, 2020, and 2019.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31,<br /> 2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31,<br /> 2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1.5pt solid; font-weight: bold">Bank</td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 70%; text-align: left">Shanghai Pudong Development Bank</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">42,157</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Industrial and Commercial Bank of China</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">21,462</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">18,629</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Nanjing Bank</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2,300</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">6,449</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Bank of Communications</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">1,426</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>HSBC</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">561</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">China Minsheng Bank</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">2,866</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 4pt"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">65,919</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">29,931</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In August 2020, Ever-Glory Apparel entered into a line of credit agreement for approximately $3.1 million (RMB20.0 million) with the Shanghai Pudong Development Bank and guaranteed by Goldenway. As of December 31, 2020, Ever-Glory Apparel had borrowed $2.3 million (RMB 15.0 million) under this line of credit with annual interest 3.01% and due on September 2021. As of December 31, 2020, approximately $0.8 million was unused and available under this line of credit.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">From March 2020 to July 2020, Ever-Glory Apparel entered into a certificate of three-year time deposit of $29.1 million (RMB190.0 million) with the Shanghai Pudong Development Bank with annual interest rates ranging from 3.75% to 3.99%. From July to November 2020, Ever-Glory Apparel pledged the certificate of three-year time deposit to the Shanghai Pudong Development Bank and Ever-Glory Apparel had borrowed $29.1 million (RMB 190.0 million) under this line of certificate with an annual interest rate from 2.50% to 3.10% and due between May 2021 and October 2021.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In December 2020, Goldenway entered into a certificate of three-year time deposit of $16.9 million (RMB110.0 million) with the Shanghai Pudong Development Bank with an annual interest rate of 3.85%. From November to December 2020, Goldenway pledged the certificate of three-year time deposit to the Shanghai Pudong Development Bank and Goldenway had borrowed $10.7 million (RMB 70.0 million) under this line of certificate with an annual interest rate 2.90% and due between May 2021and December 2021.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In April 2020, Goldenway entered into a line of credit agreement with Industrial and Commercial Bank of China, which allows the Company to borrow up to approximately $6.1 million (RMB40.0 million). These loans are collateralized by the Company's property and equipment. As of December 31, 2020, Goldenway had borrowed $6.1 million (RMB40.0 million) from Industrial and Commercial Bank of China with an annual interest rate 4.57% and due in August 2021.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In July 2019, Ever-Glory Apparel entered into a line of credit agreement for approximately $15.3 million (RMB100.0 million) with Industrial and Commercial Bank of China, which is collateralized by assets of Nanjing Knitting, an equity investee of Jiangsu Ever-Glory International Group Corp. ("Jiangsu Ever-Glory"), under a collateral agreement executed among Ever-Glory Apparel, Nanjing Knitting and the bank. As of December 31, 2020, Ever-Glory Apparel had borrowed $15.3 million (RMB 100.0 million) under this line of credit with annual interest rates ranging from 3.95% to 4.35% and due between March 2021 to October 2021.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In April 2020, Goldenway entered into a line of credit agreement with Nanjing Bank, which allows the Company to borrow up to approximately $6.9 million (RMB45.0 million). These loans are guaranteed by Jiangsu Ever-Glory International Group Corp. ("Jiangsu Ever-Glory"), an entity controlled by Mr. Kang, the Company's Chairman and Chief Executive Officer. These loans are also collateralized by the Company's property and equipment. As of December 31, 2020, approximately $6.9 million was unused and available under this line of credit.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In June 2020, LA GO GO entered into a revolving line of credit agreement with Nanjing Bank, which allows the Company to borrow up to approximately $3.1 million (RMB20.0 million). The line of credit is guaranteed by Mr. Kang and Goldenway. As of December 31, 2020, LA GO GO had borrowed $2.3 million (RMB 15.0 million) under this line of credit with annual interest 4.55% and due in September 2021. As of December 31, 2020, approximately $0.8 million was unused and available under this line of credit.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In September 2019, Ever-Glory Apparel entered into a line of credit agreement for approximately $9.2 million (RMB60.0 million) with Nanjing Bank and guaranteed by Jiangsu Ever-Glory, Mr. Kang and Goldenway. As of December 31, 2020, approximately $9.2 million was unused and available under this line of credit.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In August 2019, Ever-Glory Apparel and Goldenway collectively entered into a secured banking facility agreement for a combined revolving import facility, letter of credit, invoice financing facilities and a credit line for treasury products of up to $2.5 million with the Nanjing Branch of HSBC (China) Company Limited ("HSBC"). This agreement is guaranteed by the Company and Mr. Kang. As of December 31, 2020, approximately $2.5 million was unused and available under this line of credit.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In April 2020, Ever-Glory Apparel entered into a line of credit agreement for approximately $4.6 million (RMB30.0 million) with Bank of China and guaranteed by Jiangsu Ever-Glory. These loans are also collateralized by assets of Jiangsu Ever-Glory's equity investee, Chuzhou Huarui, under a collateral agreement executed by Ever-Glory Apparel, Chuzhou Huarui and Bank of China. As of December 31, 2020, approximately $4.6 million was unused and available under this line of credit.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">All bank loans are used to fund our daily operations. All loans have been repaid before or at maturity date.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Total interest expense on bank loans amounted to $2.34 million and $1.22 million for the years ended December 31, 2020 and 2019, respectively.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The annual average interest rate of bank loans was 3.60% and 4.60% for the years ended December 31, 2020 and 2019, respectively.</p>
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<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31,<br /> 2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31,<br /> 2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1.5pt solid; font-weight: bold">Bank</td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 70%; text-align: left">Shanghai Pudong Development Bank</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">42,157</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 12%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Industrial and Commercial Bank of China</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">21,462</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">18,629</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Nanjing Bank</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2,300</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">6,449</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Bank of Communications</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">1,426</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>HSBC</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">561</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">China Minsheng Bank</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">2,866</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 4pt"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">65,919</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">29,931</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
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<us-gaap:InventoryAdjustments contextRef="AsOf2019-12-31" unitRef="USD" decimals="0"> 2800000 </us-gaap:InventoryAdjustments>
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<us-gaap:AmortizationOfIntangibleAssets contextRef="From2019-01-01to2019-12-31" unitRef="USD" decimals="0"> 120000 </us-gaap:AmortizationOfIntangibleAssets>
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<us-gaap:FiniteLivedIntangibleAssetsAmortizationExpenseYearFour contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="0"> 110000 </us-gaap:FiniteLivedIntangibleAssetsAmortizationExpenseYearFour>
<us-gaap:FiniteLivedIntangibleAssetsAmortizationExpenseYearFive contextRef="Context_As_Of_31_Dec_2017T00_00_00_TO_31_Dec_2017T00_00_00" unitRef="USD" decimals="0"> 110000 </us-gaap:FiniteLivedIntangibleAssetsAmortizationExpenseYearFive>
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<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>NOTE 11 RELATED PARTY TRANSACTIONS</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Mr. Kang is the Company's Chairman and Chief Executive Officer. Ever-Glory Enterprises (HK) Ltd. (Ever-Glory Enterprises) is the Company's major shareholder. Mr. Xiaodong Yan was Ever-Glory Enterprises' sole shareholder and sole director. Mr. Huake Kang, Mr. Kang's son, acquired 83% interest of Ever-Glory Enterprises and became its sole director in 2014. All transactions associated with the following companies controlled by Mr. Kang or his son are considered to be related party transactions, and it is possible that the terms of these transactions may not be the same as those that would result from transactions between unrelated parties. All related party outstanding balances are short-term in nature and are expected to be settled in cash. </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b>Other income from Related Parties</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Jiangsu Wubijia Trading Company Limited ("Wubijia") is an entity engaged in high-grade home goods sales and is controlled by Mr. Kang. Wubijia has sold their home goods on consignment in some Company's retail stores since the third quarter of 2014.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br />U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%; text-align: left">The Company received from the customers</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">16</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">71</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">The Company paid to Wubijia</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(16</td><td style="padding-bottom: 1.5pt; text-align: left">)</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(58</td><td style="padding-bottom: 1.5pt; text-align: left">)</td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">The net income recorded as other income</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">-</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">13</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Included in other income for the years ended December 31, 2020 and 2019 is rental income from EsC'Lav, the entity controlled by Mr. Kang under operating lease agreement with term through 2020. The rental income is $23,945 and $26,100 for the years ended December 31, 2020 and 2019, respectively.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b>Other expenses due to Related Parties</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Included in other expenses for the years ended December 31, 2020 and 2019 are rental expenses due to entities controlled by Mr. Kang under operating lease agreements as follows:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%; text-align: left">Chuzhou Huarui</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">207</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">207</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">Kunshan Enjin</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">87</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">87</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 4pt">Total</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">294</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">294</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company leases Chuzhou Huarui and Kunshan Enjin's warehouse spaces because the locations are convenient for transportation and distribution. </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>Purchases from, and Sub-contracts with Related Parties</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company purchased raw materials of $1.10 million and $1.20 million during the years ended 2020 and 2019, respectively, from Nanjing Knitting.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In addition, the Company sub-contracted certain manufacturing work to related companies totaling $17.0 million and $24.2 million for the years ended December 31, 2020 and 2019, respectively. The Company provided raw materials to the sub-contractors and was charged a fixed fee for labor provided by the sub-contractors.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Purchases with related parties included in cost of sales for the years ended December 31, 2020 and 2019 are as follows:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%">Ever-Glory Vietnam</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">11,335</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">12,952</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Chuzhou Huarui</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2,240</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">6,200</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Fengyang Huarui</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">1,352</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2,225</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Nanjing Ever-Kyowa</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">948</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">1,534</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Nanjing Knitting</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">1,096</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">1,201</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 1.5pt">EsC'Lav</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">39</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">136</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 4pt">Total</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">17,010</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">24,248</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>Accounts Payable – Related Parties</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The accounts payable to related parties at December 31, 2020 and 2019 are as follows:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td style="text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td style="text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%">Ever-Glory Vietnam</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">1,727</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">2,260</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Fengyang Huarui</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">150</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">414</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Nanjing Ever-Kyowa</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">384</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">386</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Chuzhou Huarui</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">1,234</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">1,064</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Nanjing Knitting</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">257</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">186</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 1.5pt">Jiangsu Ever-Glory</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">12</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">501</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 4pt; padding-left: 10pt">Total</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">3,764</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">4,811</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0"> <b>Amounts Due From Related Parties – Current Assets</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">The amounts due from related parties at December 31, 2020 and 2019 are as follows:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%; padding-bottom: 4pt">Jiangsu Ever-Glory</td><td style="width: 1%; padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">567</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">123</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Jiangsu Ever-Glory is an entity engaged in importing/exporting, apparel-manufacture, real-estate development, car sales and other activities. Jiangsu Ever-Glory is controlled by Mr. Kang. During 2020 and 2019, the Company and Jiangsu Ever-Glory purchased raw materials on behalf of each other in order to obtain cheaper purchase prices. The Company purchased raw materials on Jiangsu Ever-Glory's behalf and sold to Jiangsu Ever-Glory at cost for $0.9 million and $2.0 million during 2020 and 2019, respectively. Jiangsu Ever-Glory purchased raw materials on the Company's behalf and sold to the Company at cost for $1.5 million and $2.0 million during 2020 and 2019, respectively. </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b>Amounts Due From Related Party under Counter Guarantee Agreement</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In March 2012, in consideration of the guarantees and collateral provided by Jiangsu Ever-Glory and Nanjing Knitting, the Company agreed to provide Jiangsu Ever-Glory a counter guarantee in the form of cash of not less than 70% of the maximum aggregate lines of credit obtained by the Company. Jiangsu Ever-Glory is obligated to return the full amount of the counter-guarantee funds provided upon the expiration or termination of the underlying lines of credit and is to pay an annual interest at the rate of 6.0% of the amounts provided. As of December 31, 2020 and 2019, Jiangsu Ever-Glory had provided guarantees for approximately $36.0 million (RMB 235.0 million) and $33.0 million (RMB 230.0 million) of lines of credit obtained by the Company, respectively. Jiangsu Ever-Glory and Nanjing Knitting have also provided their assets as collateral for certain of these lines of credit. As of December 31, 2020 and 2019, the value of the collateral, as per appraisals obtained by the banks in connection with these lines of credit is approximately $31.5 million (RMB 205.5 million) and $29.4 million (RMB 205.5 million), respectively. Mr. Kang has also provided a personal guarantee for $14.8 million (RMB 96.3 million) and $14.5 million (RMB 100.0 million) at the years ended of December 31, 2020 and 2019, respectively.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">As of December 31, 2019, $4.7 million (RMB 32.8 million) was outstanding due from Jiangsu Ever-Glory under the counter guarantee agreement. During the year ended December 31, 2020, an additional $7.7 million (RMB 52.8 million) was provided to and repayment of $9.5 million (RMB 65.6 million) was received from Jiangsu Ever-Glory under the counter-guarantee agreement. As of December 31, 2020, the amount of the counter-guarantee had decreased to $3.1 million (RMB 20.0 million) (the difference represents currency exchange adjustment of $0.1 million), which was 8.5% of the aggregate amount of lines of credit. This amount plus accrued interest of $0.04 million (2020) and $0.3 million (2019) have been classified as a reduction of equity, consistent with the guidance of SEC Staff Accounting Bulletins 4E and 4G. As of December 31, 2020 and 2019, the amount classified as a reduction of equity was $3.4 million and $4.9 million, respectively. Interest of 0.5% is charged on net amounts due from Jiangsu Ever-Glory at each month end. Since January 1, 2019, the interest rate has changed to 0.3625% as the bank benchmark interest rate decreased. Interest income for the years ended December 31, 2020 and 2019 was approximately $0.04 million and $0.3 million, respectively.</p>
</us-gaap:RelatedPartyTransactionsDisclosureTextBlock>
<evk:SummaryOfHomeGoodsOnConsignment contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td></td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br />U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%; text-align: left">The Company received from the customers</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">16</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">71</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">The Company paid to Wubijia</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(16</td><td style="padding-bottom: 1.5pt; text-align: left">)</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(58</td><td style="padding-bottom: 1.5pt; text-align: left">)</td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">The net income recorded as other income</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">-</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">13</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
</evk:SummaryOfHomeGoodsOnConsignment>
<evk:OtherExpensesDueToRelatedPartiesTableTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td></td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%; text-align: left">Chuzhou Huarui</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">207</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">207</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">Kunshan Enjin</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">87</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">87</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 4pt">Total</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">294</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">294</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
</evk:OtherExpensesDueToRelatedPartiesTableTextBlock>
<evk:PurchasesFromAndSubContractsWithRelatedPartiesTableTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td></td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%">Ever-Glory Vietnam</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">11,335</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">12,952</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Chuzhou Huarui</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2,240</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">6,200</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Fengyang Huarui</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">1,352</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2,225</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Nanjing Ever-Kyowa</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">948</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">1,534</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Nanjing Knitting</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">1,096</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">1,201</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 1.5pt">EsC'Lav</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">39</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">136</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 4pt">Total</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">17,010</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">24,248</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
</evk:PurchasesFromAndSubContractsWithRelatedPartiesTableTextBlock>
<evk:AccountsPayableRelatedPartiesTableTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td style="text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td style="text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%">Ever-Glory Vietnam</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">1,727</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">2,260</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Fengyang Huarui</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">150</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">414</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Nanjing Ever-Kyowa</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">384</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">386</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Chuzhou Huarui</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">1,234</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">1,064</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Nanjing Knitting</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">257</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">186</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 1.5pt">Jiangsu Ever-Glory</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">12</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">501</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 4pt; padding-left: 10pt">Total</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">3,764</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">4,811</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
</evk:AccountsPayableRelatedPartiesTableTextBlock>
<evk:AmountsDueFromRelatedPartyCurrentAssetsTableTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td></td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%; padding-bottom: 4pt">Jiangsu Ever-Glory</td><td style="width: 1%; padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">567</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">123</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr></table>
</evk:AmountsDueFromRelatedPartyCurrentAssetsTableTextBlock>
<us-gaap:ConcentrationRiskDisclosureTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>NOTE 14 RISKS AND UNCERTAINTIES</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Economic and Political Risks</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company's results of operations could be adversely affected by general conditions in the global economy, including conditions that are outside of its control, such as the impact of health and safety concerns from the outbreak of COVID-19. The outbreak in China has resulted in the reduction of customer traffic and temporary closures of shopping malls as mandated by the provincial governments in various provinces of China from late January to March, which has adversely affected the company in the retail business with a decline in sales since February 2020. The Company's wholesale business is also significantly affected as the Company is facing a sharp decline in its order quantities. Some of the Company's wholesale clients have also cancelled or postponed existing orders.  Due to the Chinese factories' shutdowns and traffic restrictions during the outbreak in China and potential shutdowns and traffic restrictions in the countries where the Company's suppliers are located, The Company's supply chain and business operations of its suppliers may be affected. Disruptions from the closure of supplier and manufacturer facilities, interruptions in the supply of raw materials and components, personnel absences, or restrictions on the shipment of the Company's or its suppliers' or customers' products, could have adverse ripple effects on the Company's manufacturing output and delivery schedule. The Company could also face difficulties in collecting its accounts receivables due to the effects of COVID-19 on its customers and risk gaining a large amount of bad debt. Global health concerns, such as COVID-19, could also result in social, economic, and labor instability in the countries and localities in which the Company, its suppliers and customers operate.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Although China has already begun to recover from the outbreak of COVID-19, the epidemic continues to spread on a global scale and there is the risk of the epidemic returning to China in the future, thereby causing further business interruption. While the potential economic impact brought by and the duration of COVID-19 may be difficult to assess or predict, a widespread pandemic could result in significant disruption of global financial markets, reducing our ability to access capital, which could in the future negatively affect the Company's liquidity. In addition, a recession or market correction resulting from the spread of COVID-19 could materially affect the Company's business and the value of its common stock. If the Company's future sales continue to decline significantly, it may risk facing financial difficulties due to its recurring fixed expenses. The extent to which COVID-19 impacts the Company's operating is uncertain and cannot be predicted at this time, and it will depend on many factors and future developments, including new information about COVID-19 and any new government regulations which may emerge to contain the virus, among others. </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The majority of the Company's operations are conducted in the PRC. Accordingly, the Company's business, financial condition and results of operations may be influenced by the political, economic and legal environment in the PRC, and by the general state of the PRC economy. The Company's operations in the PRC are subject to special considerations and significant risks not typically associated with companies in North America and Western Europe. These include risks associated with, among others, the political, economic and legal environment and foreign currency exchange. The Company's results may be adversely affected by changes in the political and social conditions in the PRC, and by changes in governmental policies with respect to laws and regulations, anti-inflationary measures, currency conversion, remittances abroad, and rates and methods of taxation. </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Credit risks</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Management reviews the allowance for doubtful accounts each reporting period based on a detailed analysis of accounts receivable. In the analysis, management primarily considers the age of the customer's receivable and also considers the credit worthiness of the customer, the economic conditions of the customer's industry, and general economic conditions and trends, among other factors. If any of these factors change, the Company may also change its original estimates, which could impact the level of the Company's future allowance for doubtful accounts. If judgments regarding the collectability of accounts receivables are incorrect, adjustments to the allowance may be required, which would reduce profitability.  </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Concentration risks</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">For the Company's wholesale business, the Company had no customer which represented over 10% of the total revenues for the year ended December 31, 2020 and had one customer which represented approximately 24.3% of the total revenues for the year ended December 31, 2019. In 2020 and 2019, sales to our five largest customers generated approximately 38.7% and 47.3% of our total wholesale sales, respectively.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">For our wholesale business, purchases from our five largest contract manufacturers represented approximately 45.15% and 41.4% of finished goods purchases for the years ended December 31, 2020 and 2019, respectively.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">For the Company's retail business, the Company had five suppliers represented approximately 10.8%, 15.9%, 16.0%, 19.8% and 34.6% of the total raw materials purchased, respectively during 2020. For the Company's retail business, the Company had five suppliers represented approximately 10.2%, 12.9%, 15.2%, 19.6% and 35.6% of the total raw materials purchased, respectively during 2019.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">For the wholesale business, the Company relied on two manufacturers for 12.6% and 11.2% of total purchased finished goods, respectively during 2020. For the wholesale business, the Company relied on two manufacturers for 10.2% and 10.4% of total purchased finished goods, respectively during 2019.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company's revenues for the years ended December 31, 2020 and 2019 were earned in the following geographic areas:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2020</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of <br /> U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 76%; text-align: left">Mainland China</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">29,055</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">74,008</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Hong Kong China</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">19,873</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">26,126</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">United Kingdom</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">8,753</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">14,864</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Europe-Other</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">19,950</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">25,668</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Japan</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">11,406</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">18,901</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">United States</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">28,172</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">35,589</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-weight: bold; text-align: left">Total wholesale business</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">117,209</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">195,156</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">Retail business</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">150,145</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">187,945</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-weight: bold; padding-bottom: 4pt">Total</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">267,354</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">383,101</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Substantially all of the Company's long-lived assets are located in the PRC as of December 31, 2020 and 2019.</p>
</us-gaap:ConcentrationRiskDisclosureTextBlock>
<us-gaap:SegmentReportingDisclosureTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><b>NOTE 15 SEGMENTS</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company reports financial and operating information in the following two segments:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify"> <td style="width: 0"></td><td style="width: 0.25in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">(a)</font></td><td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Wholesale segment</font></td> </tr></table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify"> <td style="width: 0"></td><td style="width: 0.25in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">(b)</font></td><td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Retail segment</font></td> </tr></table> <p style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: left"> </p> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Wholesale<br /> segment</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Retail<br /> segment</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Total</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="10" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of  U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td style="font-weight: bold">December 31, 2020</td><td> </td> <td colspan="10" style="text-align: center"> </td><td> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="font-weight: bold; text-align: left">Segment profit or loss:</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 64%; text-align: left; padding-bottom: 4pt">Net revenue from external customers</td><td style="width: 1%; padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">117,209</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">150,145</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">267,354</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 4pt">Income (loss) from operations</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">6,765</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">(2,622</td><td style="padding-bottom: 4pt; text-align: left">)</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">4,143</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Interest income</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">919</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">95</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">1,014</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 4pt">Interest expense</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">2,070</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">275</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">2,345</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Depreciation and amortization</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">1,000</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">4,291</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">5,291</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 4pt">Income (loss) before income tax expense</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">8,122</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">(2,380</td><td style="padding-bottom: 4pt; text-align: left">)</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">5,742</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Income tax expense</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">2,087</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">382</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">2,469</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Segment assets:</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Additions to property, plant and equipment</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">4,700</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">1,654</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">6,354</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 4pt">Inventory</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">11,696</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">42,197</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">53,893</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Total assets</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">158,857</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">172,869</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">331,726</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-weight: bold">December 31, 2019</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">　  </font></td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">　  </font></td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">　 </font></td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="font-weight: bold; text-align: left">Segment profit or loss:</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">　  </font></td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">　  </font></td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">　 </font></td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Net revenue from external customers</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">195,156</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">187,945</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">383,101</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 4pt">Income (loss) from operations</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">12,376</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">(8,908</td><td style="padding-bottom: 4pt; text-align: left">)</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">3,468</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Interest income</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">969</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">34</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">1,003</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 4pt">Interest expense</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">897</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">325</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">1,222</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Depreciation and amortization</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">979</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">7,260</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">8,239</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 4pt">Income (loss) before income tax expense</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">13,241</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">(7,460</td><td style="padding-bottom: 4pt; text-align: left">)</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">5,781</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Income tax expense</td><td> </td> <td style="text-align: left">$</td><td style="text-align: right">3,189</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td style="text-align: right">1,373</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td style="text-align: right">4,562</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Segment assets:</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Additions to property, plant and equipment</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">1,254</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">7,411</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">8,665</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 4pt">Inventory</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">12,659</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">54,696</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">67,355</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Total assets</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">88,906</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">212,765</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">301,671</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
</us-gaap:SegmentReportingDisclosureTextBlock>
<us-gaap:ScheduleOfSegmentReportingInformationBySegmentTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Wholesale<br /> segment</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Retail<br /> segment</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Total</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td> <td colspan="10" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">(In thousands of  U.S. Dollars)</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td style="font-weight: bold">December 31, 2020</td><td> </td> <td colspan="10" style="text-align: center"> </td><td> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="font-weight: bold; text-align: left">Segment profit or loss:</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 64%; text-align: left; padding-bottom: 4pt">Net revenue from external customers</td><td style="width: 1%; padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">117,209</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">150,145</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">267,354</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 4pt">Income (loss) from operations</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">6,765</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">(2,622</td><td style="padding-bottom: 4pt; text-align: left">)</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">4,143</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Interest income</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">919</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">95</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">1,014</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 4pt">Interest expense</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">2,070</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">275</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">2,345</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Depreciation and amortization</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">1,000</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">4,291</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">5,291</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 4pt">Income (loss) before income tax expense</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">8,122</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">(2,380</td><td style="padding-bottom: 4pt; text-align: left">)</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">5,742</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Income tax expense</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">2,087</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">382</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">2,469</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Segment assets:</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Additions to property, plant and equipment</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">4,700</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">1,654</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">6,354</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 4pt">Inventory</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">11,696</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">42,197</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">53,893</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Total assets</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">158,857</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">172,869</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">331,726</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-weight: bold">December 31, 2019</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">　  </font></td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">　  </font></td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">　 </font></td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="font-weight: bold; text-align: left">Segment profit or loss:</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">　  </font></td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">　  </font></td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">　 </font></td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Net revenue from external customers</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">195,156</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">187,945</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">383,101</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 4pt">Income (loss) from operations</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">12,376</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">(8,908</td><td style="padding-bottom: 4pt; text-align: left">)</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">3,468</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Interest income</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">969</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">34</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">1,003</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 4pt">Interest expense</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">897</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">325</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">1,222</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Depreciation and amortization</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">979</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">7,260</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">8,239</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 4pt">Income (loss) before income tax expense</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">13,241</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">(7,460</td><td style="padding-bottom: 4pt; text-align: left">)</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">5,781</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Income tax expense</td><td> </td> <td style="text-align: left">$</td><td style="text-align: right">3,189</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td style="text-align: right">1,373</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td style="text-align: right">4,562</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Segment assets:</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Additions to property, plant and equipment</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">1,254</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">7,411</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">8,665</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 4pt">Inventory</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">12,659</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">54,696</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">67,355</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Total assets</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">88,906</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">212,765</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">301,671</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
</us-gaap:ScheduleOfSegmentReportingInformationBySegmentTextBlock>
<us-gaap:CommitmentsAndContingenciesDisclosureTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b>NOTE 12 COMMITMENTS AND CONTINGENCIES</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Operating Lease Commitment</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The Company recognized operating lease liabilities and operating lease right-of-use (ROU) assets on its balance sheets. ROU assets represent the right to use an underlying asset for the lease term, and lease liabilities represent the obligation to make lease payments arising from the lease. ROU assets and liabilities are recognized at the lease commencement date based on the estimated present value of lease payments over the lease term. The Company has leases with fixed payments for land-use-rights, warehouses and logistics centers, flagship stores, and leases with variable payments for stores within shopping malls ("shopping mall stores") in the PRC, which are classified as operating leases. Options to extend or renew are recognized as part of the lease liabilities and recognized as right of use assets. There are no residual value guarantees and no restrictions or covenants imposed by the leases.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The weighted average remaining lease term excluding stores in the shopping malls is 31 years and the weighted average discount rate is 4.35%. The lease term for shopping mall stores is commonly one year with options to extend or renew, and the rent is predetermined with a percentage of sales. The Company estimates the next 12 months rent for the shopping mall stores by annualizing current period rent calculated with the percentage of sales. Thus, the ROU assets and lease liabilities may vary significantly at different period ends. For stores closed before the lease end, we would incur insignificant amounts in net of loss on impairment of ROU assets and gain on extinguishment of lease liabilities, which are recorded in the current period statement of income (loss) and comprehensive income (loss). </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; background-color: white">In the year ended December 31, 2020, the costs of the leases recognized in cost of revenues and general administrative expenses are $29.9 million and $0.8 million, respectively. Cash paid for the operating leases including in the operating cash flows was $30.7 million. In the year ended December 31, 2019, the costs of the leases recognized in cost of revenues and general administrative expenses are $8.0 and $0.7 million, respectively. Cash paid for the operating leases including in the operating cash flows was $8.7 million.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; background-color: white"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The following table summarizes the maturity of operating lease liabilities:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1.5pt solid; text-align: left; font-weight: bold">Year ending December 31, (In thousands of U.S. Dollars)</td><td style="padding-bottom: 1.5pt"> </td> <td colspan="2" style="text-align: right"> </td><td style="padding-bottom: 1.5pt"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 88%; text-align: left">2021</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">706</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">2022</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">706</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">2023</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">721</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">2024</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">406</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">2025</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">406</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">Thereafter</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">12,115</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1.5pt">Total lease payment</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">15,060</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">Less: Interest</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">6,753</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Total</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">8,307</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><u>Legal Proceedings</u></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">From time to time, we may become involved in claims, suits, investigations and proceedings arising in the ordinary course of business.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><i>Lawsuit against Shanghai Chijing</i></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In March 2019, Shanghai La Go Go Fashion Company Limited ("LA GO GO") filed a complaint against Shanghai Chijing Investment Management Co., Ltd. ("Shanghai Chijing") for unpaid rent of RMB0.27 million ($0.04 million) per month in the Shanghai People's Court for Jiading District (the "District Court"). The rent arrears began accumulating from April 2018 to the actual payment date. In July 2019, Shanghai Chijing filed counterclaims against LA GO GO to claim RMB10.19 million ($1.45 million) in damages, alleging that LA GO GO had not fulfilled its corresponding obligations as a landlord. As a result, the District Court froze the bank accounts of both Shanghai Chijing and LA GO GO. As of December 31, 2019, a total balance of RMB15.38 million ($2.2 million) was frozen in the bank accounts of LA GO GO. As of December 31, 2019, the Company had booked this restricted cash in other receivables. On March 10, 2020, the District Court entered a judgment in favor of LA GO GO and dismissed most of Shanghai Chijing's counterclaims. The District Court ordered Shanghai Chijing to pay to LA GO GO an aggregate sum of RMB4.77 million ($0.68 million), which is the accumulated unpaid rent from April 2018 to January 2020. The District Court also ordered LA GO GO to pay Shanghai Chijing RMB1.49 ($0.21 million) for the expenses incurred from remodeling. Both parties were required to pay the monetary damages within ten days after the District Court's decision. LA GO GO appealed to the Shanghai Second Appellate Court (the "Appellate Court") to claim more damages, while Shanghai Chijing appealed to reverse the judgment. LA GO GO later requested to withdraw its appeal, which was granted by the Appellate Court. In June 2020, the Appellate Court entered a final decision to dismiss the appeal of Shanghai Chijing and sustained the District Court's judgment. LA GO GO has not received RMB4.77 million ($0.68 million) in monetary damages from Shanghai Chijing as of September 30, 2020, and has applied for compulsory enforcement with the District Court. The total balance of RMB15.38 million ($2.2 million) in LA GO GO's bank accounts were unfrozen after the final decision in July 2020.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><b><i>Lawsuits against Client A</i></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">In November 2020, the Company's two subsidiaries, Ever-Glory International Group Apparel Inc. and Goldenway Nanjing Garments Company Limited filed a complaint against Client A ("Client A") for unpaid goods worth RMB 70.15 million ($10.75 million) in the Tianjin No.1 Intermediate People's Court based on processing contracts between the parties. The Company has applied for interim measures with the court and has frozen bank accounts of Client A for a total amount of RMB 68.12 million ($10.44 million). The Company has delivered goods worth RMB 62.06 million ($9.51 million) to Client A pursuant to the processing contracts. The Company also seeks Client A for the payment of the loss incurred from the cost of raw materials paid to suppliers in the amount of RMB 8.09 million ($1.24 million) in reliance on the processing contracts. The Company estimated it is not more-likely-than-not the Company would lose the lawsuits.</p>
</us-gaap:CommitmentsAndContingenciesDisclosureTextBlock>
<us-gaap:ScheduleOfFutureMinimumRentalPaymentsForOperatingLeasesTableTextBlock contextRef="Context_FYE_01_Jan_2017T00_00_00_TO_31_Dec_2017T00_00_00">
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td style="border-bottom: Black 1.5pt solid; text-align: left; font-weight: bold">Year ending December 31, (In thousands of U.S. Dollars)</td><td style="padding-bottom: 1.5pt"> </td> <td colspan="2" style="text-align: right"> </td><td style="padding-bottom: 1.5pt"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 88%; text-align: left">2021</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">706</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">2022</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">706</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">2023</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">721</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">2024</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">406</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">2025</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">406</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">Thereafter</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">12,115</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1.5pt">Total lease payment</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">15,060</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1.5pt">Less: Interest</td><td style="padding-bottom: 1.5pt"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">6,753</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 4pt">Total</td><td style="padding-bottom: 4pt"> </td> <td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">8,307</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
</us-gaap:ScheduleOfFutureMinimumRentalPaymentsForOperatingLeasesTableTextBlock>
</xbrli:xbrl>

1 Subsequent Filing that References this Filing

  As Of               Filer                 Filing    For·On·As Docs:Size             Issuer                      Filing Agent

 4/12/22  Ever-Glory Int’l Group, Inc.      10-K       12/31/21   81:5.8M                                   EdgarAgents LLC/FA

9 Previous Filings that this Filing References

  As Of               Filer                 Filing    For·On·As Docs:Size             Issuer                      Filing Agent

 4/16/13  Ever-Glory Int’l Group, Inc.      10-K       12/31/12   86:6.9M                                   EdgarAgents LLC/FA
 8/04/11  Ever-Glory Int’l Group, Inc.      8-K:1,2,9   7/29/11    6:853K                                   EdgarAgents LLC/FA
 1/10/11  Ever-Glory Int’l Group, Inc.      8-K:1,2,9   1/04/11    3:253K                                   Toppan Merrill/FA
 8/04/10  Ever-Glory Int’l Group, Inc.      8-K:1,2,8,9 8/02/10    4:280K                                   Toppan Merrill/FA
 3/17/10  Ever-Glory Int’l Group, Inc.      8-K:1,2,9   3/11/10    4:234K                                   Toppan Merrill/FA
 4/22/08  Ever-Glory Int’l Group, Inc.      8-K:5,9     4/18/08    2:390K                                   Toppan Merrill/FA
 3/12/08  Ever-Glory Int’l Group, Inc.      10-K       12/31/07    8:1.9M                                   Toppan Merrill/FA
11/29/07  Ever-Glory Int’l Group, Inc.      8-K:5,9    11/20/07    2:36K                                    Securex Filings/FA
 3/29/06  Ever-Glory Int’l Group, Inc.      10KSB      12/31/05    7:543K                                   Securex Filings/FA
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