September 30,   December 31,
                                                                    ------------    ------------
                                                                        2008           2007 *
                                                                    ------------    ------------
                                                                     (Unaudited)
                                                                              
                              ASSETS
                              ------
CURRENT ASSETS:
   Cash .........................................................   $  1,090,753    $  2,012,480
   Marketable equity securities, at market - restricted .........        213,338               -
   Accounts receivable, net of allowance for doubtful accounts of
      $0 and $187,210, respectively .............................      4,536,418       4,220,692
   Notes receivable .............................................        577,377         333,168
   Inventory ....................................................      2,526,093       1,100,023
   Prepaid expense and other current assets .....................      1,412,034         440,819
                                                                    ------------    ------------

      Total current assets ......................................     10,356,013       8,107,182
                                                                    ------------    ------------

LONG-TERM ASSETS:
   Restricted cash ..............................................        525,156         437,511
   Property and equipment, net ..................................      3,475,684       1,928,137
   Prepaid land use rights, net .................................         80,596          76,804
   Due from related party- discontinued operation ...............              -         465,982
   Other assets .................................................         30,755         258,676
                                                                    ------------    ------------

      Total other assets ........................................      4,112,191       3,167,110
                                                                    ------------    ------------

      Total assets ..............................................   $ 14,468,204    $ 11,274,292
                                                                    ============    ============

               LIABILITIES AND SHAREHOLDERS' EQUITY
               ------------------------------------

CURRENT LIABILITIES:
   Notes payable ................................................   $  3,559,892    $  1,665,667
   Accounts payable and accrued expenses ........................        916,692         701,172
   Advances from customers ......................................        159,586          96,624
   Taxes payables ...............................................        502,494         265,282
   Due to related parties .......................................        344,264         308,346
   Deferred revenue .............................................              -          15,489
                                                                    ------------    ------------

      Total current liabilities .................................      5,482,928       3,052,580
                                                                    ------------    ------------

MINORITY INTEREST ...............................................      4,970,035       4,378,042
                                                                    ------------    ------------

SHAREHOLDERS' EQUITY:
   Common stock, $.001 par value, 500,000,000 shares authorized;
     135,810,792 and 135,700,792 shares issued and outstanding
     at September 30, 2008 and December 31, 2007, respectively ..        135,811         135,701
   Additional paid-in capital ...................................     19,661,352      19,541,062
   Statutory reserves ...........................................        694,119         628,017
   Accumulated deficit ..........................................    (16,724,473)    (16,559,325)
   Other comprehensive income ...................................        248,432          98,215
                                                                    ------------    ------------

      Total shareholders' equity ................................      4,015,241       3,843,670
                                                                    ------------    ------------

      Total liabilities and shareholders' equity ................   $ 14,468,204    $ 11,274,292
                                                                    ============    ============

                                                                         For the Nine Months Ended
                                                                               September 30,
                                                                       ----------------------------
                                                                           2008            2007
                                                                       ------------    ------------
                                                                                 
Cash flows from operating activities:
   Net loss ........................................................   $    (99,046)   $ (1,183,122)
                                                                       ------------    ------------
   Adjustments to reconcile net loss to net cash used in operations:
      Depreciation and amortization ................................        221,061          30,958
      Common stock, warrants and options issued for services .......         10,400       1,170,365
      Contributed services .........................................        110,000               -
      Minority interest ............................................        501,023         311,553
      Allowance for doubtful accounts ..............................       (199,385)              -
      Realized and unrealized loss on marketable equity securities .         45,008               -
      Gain on sale of Big Tree subsidiaries ........................        (45,912)              -
   Changes in assets and liabilities:
      Accounts receivable ..........................................        165,058         219,142
      Inventory ....................................................     (1,353,039)        629,147
      Prepaid expenses and other ...................................       (922,666)         92,048
      Other assets .................................................        245,239         (15,530)
      Accounts payable and accrued expenses ........................       (110,397)       (528,311)
      Taxes payable ................................................        502,654               -
      Advances from customers ......................................         56,510        (538,571)
      Deferred revenue .............................................        (15,489)        (44,943)
                                                                       ------------    ------------

         Total adjustments .........................................       (789,935)      1,325,858
                                                                       ------------    ------------

Net cash (used in) provided by operating activities ................       (888,981)        142,736
                                                                       ------------    ------------

Cash flows from investing activities:
   Cash acquired in acquisition ....................................              -         703,577
   Cash used in acquisition ........................................              -        (398,661)
   Increase in notes receivable ....................................       (221,972)       (174,183)
   Proceeds from sale of marketable equity securities ..............         29,254               -
   Purchase of property and equipment ..............................     (1,637,013)       (240,335)
   Increase in restricted cash .....................................        (58,369)              -
   Refund on land use rights .......................................              -          24,539
                                                                       ------------    ------------

Net cash flows used in investing activities ........................     (1,888,100)        (85,063)
                                                                       ------------    ------------

Cash flows from financing activities:
   Repayment of related party advances .............................              -        (332,976)
   Proceeds from notes payable .....................................      1,784,811               -
   Net proceeds from related party advances ........................         15,276               -
   Proceeds from sale of common stock ..............................              -       2,967,404
   Payment of placement fees and expenses ..........................              -        (333,740)
                                                                       ------------    ------------

Net cash flows provided by financing activities ....................      1,800,087       2,300,688
                                                                       ------------    ------------

Effect of exchange rate on cash ....................................         55,267          24,717
                                                                       ------------    ------------

Net (decrease) increase in cash ....................................       (921,727)      2,383,078

Cash - beginning of year ...........................................      2,012,480         152,579
                                                                       ------------    ------------

Cash - end of period ...............................................   $  1,090,753    $  2,535,657
                                                                       ============    ============

Supplemental disclosure of cash flow information:
   Cash paid for:
      Interest .....................................................   $     21,950    $     12,901
                                                                       ============    ============
      Income taxes .................................................   $          -    $          -
                                                                       ============    ============

 NON-CASH INVESTING AND FINANCING ACTIVITIES:
   Acquisition details:
      Fair value of assets acquired ................................   $          -    $ 10,285,935
                                                                       ============    ============
      Liabilities assumed ..........................................   $          -    $  9,099,978
                                                                       ============    ============
      Common stock issued for acquisitions .........................   $          -    $  1,197,500
                                                                       ============    ============
      Goodwill .....................................................   $          -    $    410,204
                                                                       ============    ============
                                                                 ============    ============