On December 5, 2018, Merion, Inc. entered into a Strategic Cooperation Agreement with Mongolia-China the Belt and Road Council for the Promotion of International Trade and Development, Mongolia IFBB Health Industry Co. Ltd. (Mongolia IFBB") and Ms. Bijin Wei, pursuant to which the Company agreed to cooperate with the other parties to the Agreement in connection with the restructuring of Mongolia IFBB into a joint venture and develop and produce sports nutrition and health foods in the Zamenwude International Free Zone, located in Mongolia (the Project"). In connection with the Project, the Company will obtain a 15% minority interest in Mongolia IFBB, and will have the right to appoint one member to Mongolia IFBB's board of directors and appoint its technical director. The Company's other duties under the Agreement include (i) providing a research and development team for sports nutrition and health foods, services of an independent laboratory in the U.S. and rights to use patented formulas for health food products owned by the Company; (ii) providing assistance during the construction of the production line of the joint venture to meet US FDA standards and training of local team; (iii) providing product test reports, certificates of conformity and other documents required for the international sale of the Project's sports nutrition and health food products, along with associated support for international customs; (iv) producing and supplying sports nutrition and health foods ordered by Mongolia IFBB; and (v) the use of the Company's trademarks by Belt and Road Council and Mongolia IFBB on the products supplied by the company.