We summarize our submission to Sub-Challenge 1: W4A4 Quantization for Inference (HiF4 / MXFP4) of the ICME 2026 Low-Bit-width Large-Model Quantization Challenge. The sub-challenge targets 4-bit weight and 4-bit activation inference on Wan-AI/Wan2.2-I2V-A14B under HiF4 or MXFP4 numerical formats. We adapt two complementary ideas from LLM quantization, MixQ-style mixed precision for sparse activation outliers and SmoothQuant-style per-channel smoothing, together with block-wise HiF4 packing for Wan2.2 feed-forward linear layers. Calibration on representative OpenS2V-5M batches identifies heavy-tailed activation channels; smoothing rebalances dynamic range before W4A4 rounding; and a dual-branch GEMM preserves outlier columns in higher precision while the bulk of channels use strict W4A4. On official VBench I2V metrics, our pipeline stays within 2-3.5 percent of FP16 on most quality axes and improves motion smoothness, outperforming a native HiFloat4 baseline that degrades roughly 5 percent relative to FP16 across all reported scores.
W4A4 quantization promises full utilization of INT4 Tensor Cores, yet group dequantization overhead on CUDA Cores has driven existing systems to mixed-precision fallbacks. We present the first systematic study of how intra-SM compute balance governs this bottleneck. Through controlled benchmarks across four GPUs from Ampere and Ada architectures, we identify the Tensor Cores to CUDA Cores throughput ratio ($ρ$) as the primary hardware indicator: the W4A4-g128 kernel yields $2.0$--$2.5\times$ speedup on RTX~3090 ($ρ=16$) yet degrades to $0.43$--$0.47\times$ on A100 ($ρ=64$) in compute-bond scenarios, establishing W4A4 viability as platform-dependent rather than universally infeasible. Guided by this finding, we build \textbf{APEX4}, which co-designs pure INT4 GEMM kernels with $ρ$-aware granularity adaptation to mitigate the CUDA Cores dequantization bottleneck. APEX4 achieves perplexity within 0.63 of FP16 on LLaMA-2-70B and outperforms W4Ax Atom-g128 by 4.0\%--4.4\% in zero-shot accuracy. Deployed as a drop-in replacement in unmodified vLLM, it delivers up to $1.66\times$ end-to-end speedup on L40S ($ρ=8$), and $1.78\times$ on RTX~3090 ($ρ=16$), $2.09\times$ on A40 ($ρ=16$), while recovering A100 ($ρ=64$) to $1.20$--$1.40\times$ via the mixed-granularity mode. Our code is available at https://github.com/APEX4-W4A4/APEX4-W4A4.