[年报]江 铃Ｂ(200550):2021年年度报告（英文版）
原标题:江 铃Ｂ:2021年年度报告（英文版） C:\Users\张志勤\AppData\Local\Temp\ksohtml240\wps1.png 2021 Annual Report 2022-03 Chapter I Important Notes, Contents and Abbreviations Important Note The Board of Directors and its members, the Supervisory Board and its members, and the senior executives are jointly and severally liable for the truthfulness, accuracy and completeness of the information disclosed in the report and confirm that the information disclosed herein does not contain any false statement, misrepresentation or major omission. Chairman Qiu Tiangao, CFO Joey Zhu and Chief of Finance Department, Ding Ni, confirm that the Financial Statements in this Annual Report are truthful and complete. All Directors were present at the Board meeting to review this Annual Report. The year 2021 profit distribution proposal approved by the Board of Directors is as follows: A cash dividend of RMB 2.66(including tax) will be distributed for every 10 shares held based on the total share capital of 863,214,000 shares, and there is no stock dividend. The Board decided not to convert capital reserve to share capital this time. Contents Chapter I Important Notes, Contents and Abbreviations .......................... 2 Chapter II Brief Introduction and Operating Highlight ................................ 5 Chapter III Management Discussion and Analysis ..................................... 10 Chapter IV Corporate Governance Structure .............................................. 30 Chapter V Environment and Social Responsibilities ................................. 59 Chapter VI Major events ................................................................................ 63 Chapter VII Share Capital Changes & Shareholders .................................... 69 Chapter VIII Preferred Shares ........................................................................ 74 Chapter IX Bond related Information .......................................................... 75 Chapter X Financial Statements ................................................................. 76 Catalog on Documents for Reference 1. Originals of 2021financial statements signed by legal representative, Chief Financial Officer and Chief of Finance Department. 2. Originals of the Independent Auditor’s Reports signed by Independent accountants and stamped by the accounting firm. 3. Originals of all the documents and public announcements disclosed in newspapers designated by CSRC in 2021. 4. The Annual Report in the China GAAP. Abbreviations: JMC or the Company Jiangling Motors Corporation, Ltd. JIC Nanchang Jiangling Investment Co., Ltd. Ford Ford Motor Company CSRC China Securities Regulatory Commission JMCG Jiangling Motors Group Co., Ltd. JMCH JMC Heavy Duty Vehicle Co., Ltd. EVP Executive Vice President CFO Chief Financial Officer VP Vice President Chapter II Brief Introduction and Operating Highlight 1. Company’s Information Share’s name Jiangling Motors, Jiangling B Share’s Code 000550, 200550 Place of listing Shenzhen Stock Exchange Company’s Chinese name 江铃汽车股份有限公司 English name Jiangling Motors Corporation, Ltd. Abbreviation JMC Company legal representative Qiu Tiangao Registered Address No. 2111, Yingbin Middle Avenue, Nanchang County, Nanchang City, Jiangxi Province, P.R.C Postal Code of Registered Address 330200 Changes of Registered Address Due to the relocation of JMC’s Qingyunpu site, the original registered address " No. 509, Northern Yingbin Avenue, Nanchang City, Jiangxi Province" was changed to "No.2111, Yingbin Middle Avenue, Nanchang County, Nanchang City, Jiangxi Province" in October 2021. Headquarters Address No. 2111, Yingbin Middle Avenue, Nanchang County, Nanchang City, Jiangxi Province, P.R.C Postal Code of Headquarters Address 330200 Website http://www.jmc.com.cn [email protected] 2. Contact Person and Method Board Secretary Securities Affairs Representative Name Xu Lanfeng Quan Shi Address No. 2111, Yingbin Middle Avenue, Nanchang County, Nanchang City, Jiangxi Province, P.R.C No. 2111, Yingbin Middle Avenue, Nanchang County, Nanchang City, Jiangxi Province, P.R.C Tel 86-791-85266178 86-791-85266178 Fax 86-791-85232839 86-791-85232839 [email protected] [email protected] 3. Information Disclosure and Place for Achieving Annual Report Stock Exchange Website for Publication of JMC’s Annual Report http://www.szse.cn Newspapers and Website for China Securities, Securities Times, Hong Kong Publication of JMC’s Annual Report Commercial Daily, cninfo (http://www.cninfo.com.cn) Place for Achieving Annual Report Securities Department, Jiangling Motors Corporation, Ltd. 4. Changes of Registration Organization Code 913600006124469438 Changes in the Main Business since the Listing No change. Changes of Controlling Shareholders On December 1, 1993, JMC A shares were listed on Shenzhen Stock Exchange, while JMCG, the founder- member, was the controlling shareholder of the Company. On September 29, 1995 and November 12, 1998, JMC issued additional 344 million B shares totally, while, after the additional B share issuance, JMCG and Ford were the controlling shareholders of the Company. On December 8, 2005, the 354.176 million JMC shares held by JMCG, the former controlling shareholder, were transferred to Jiangling Motor Holdings Co., Ltd. After the transference, Jiangling Motor Holdings Co., Ltd. and Ford were the controlling shareholders of the Company. In 2019, Jiangling Motor Holdings Co., Ltd., the former controlling shareholder, was divided and separated into Jangling Motor Holdings Co., Ltd. and Nanchang Jiangling Investment Co., Ltd., and transferred the 354.176 million JMC shares it held to Nanchang Jiangling Investment Co., Ltd. Presently, Nanchang Jiangling Investment Co., Ltd. and Ford are the controlling shareholders of the Company. 5. Other Information Accounting Firm Appointed by JMC for Audit Name PricewaterhouseCoopers Zhong Tian LLP (‘PwC Zhong Tian’) Headquarters Address 11/F, PricewaterhouseCoopers Center Link Square 2,202 Hu Bin Road, Huangpu District, Shanghai 200021, PRC Names of Signed Accountants Lei Fang, Ye Dan The recommendation agency engaged by the Company executing the persistent supervision responsibilities in the reporting period □Applicable □√Not Applicable The financial consultant engaged by the Company performing the duties of persistent supervision and guidance in the reporting period □Applicable □√Not Applicable 6. Main accounting data and financial ratios Unit: RMB 2021 2020 Change (%) 2019 Revenue 35,221,306,472 33,095,733,665 6.42% 29,173,636,262 Profit Attributable to the Equity Holders of the Company 574,165,944 550,698,958 4.26% 147,812,078 Net Profit Attributable to Shareholders of Listed Company After Deducting Non-Recurring Profit or Loss 29,628,811 405,188,533 -92.69% -308,254,449 Net Cash Generated From Operating Activities 1,760,193,010 3,698,342,828 -52.41% 2,736,867,238 Basic Earnings Per Share (RMB) 0.67 0.64 4.26% 0.17 Diluted Earnings Per Share (RMB) 0.67 0.64 4.26% 0.17 Weighted Average Return on Equity Ratio 5.87% 5.13% 0.74% 1.42% End of Year 2021 End of Year2020 Change (%) End of Year 2019 Total Assets 26,359,084,120 28,185,185,418 -6.48% 24,298,528,593 Shareholders’ Equity Attributable to the Equity Holders of the Company 8,555,444,589 10,986,474,009 -22.13% 10,496,563,781 The lower of the Company’s net profit before and after deduction of non-recurring gains and losses in the most recent three fiscal years is negative, and the audit report of the most recent year shows that the Company’s ability to continue operations is uncertain □Yes □√No The lower of the net profit before and after non-recurring gains and losses is negative □Yes □√No 7. Accounting data difference between China GAAP and IFRS I. Differences in net profit and net assets in financial statements between in accordance with international accounting standards and Chinese accounting standards □Applicable □√Not Applicable II. Differences in net profit and net assets in financial statements betweenin accordance with overseas accounting standards and Chinese accounting standards □Applicable □√Not Applicable 8. Main accounting data quarterly Unit: RMB Q1 Q2 Q3 Q4 Revenue 8,041,295,685 9,634,325,403 7,815,433,165 9,730,252,219 Profit Attributable to the Equity Holders of the Company 277,530,327 127,683,728 72,235,853 96,716,036 Net Profit Attributable to Shareholders of Listed Company After Deducting Non- Recurring Profit or Loss 150,125,194 -36,283,319 75,550,360 -159,763,424 Net Cash Generated From Operating Activities -2,012,581,942 2,082,499,791 -523,738,971 2,214,014,132 Whether or not the above mentioned financial indicators and the total number of the company has disclosed the major difference between quarterly reports and semi-annual report □Yes □√No 9. Non-recurring profit and loss items and amounts □√Applicable □Not Applicable Unit: RMB 2021 2020 2019 Profit and loss of non-current assets disposal (including the charge-off part of the asset impairment provision) 5,107,814 -167,780,780 -4,212,722 Gains on disposal of long-term equity investments 52,133,307 - - Government subsidies included in the current profit and loss 552,831,370 277,756,664 466,818,134 Capital occupation fee charged for non-financial enterprises included in the current profit and loss 15,836,668 7,628,722 10,877,889 In addition to the effective hedging business related to the normal operating business of the Company, holding the gains and losses of fair value changes arising from trading financial assets and trading financial liabilities, as well as the investment income obtained from the disposal of trading financial assets, trading financial liabilities and available for sale financial assets -16,082,076 76,150,461 36,773,734 Return of the impairment provision for receivables with a separate impairment test 2,250,000 6,540,000 - Other non-operating income and expenses except the above 2,027,076 5,869,080 -940,331 Other profit and loss items that meet the definition of non-recurring profit and loss 18,765,020 -10,493,560 - Less: Income tax impact amount 88,332,046 50,160,162 53,250,177 Total 544,537,133 145,510,425 456,066,527 Details of other profit and loss items that meet the definition of non-recurring profit and loss □Applicable □√Not Applicable There is no any other profit and loss items that meet the definition of non- recurring profit and loss in the Company. The description of that the non-recurring profit and loss items listed in Corporate Information Disclosure of Public Issuing Securities No.1 are defined as recurring profit and loss items □Applicable □√Not Applicable The Company does not have a situation in which the non-recurring profit and loss items listed in No.1 of Corporate Information Disclosure Announcement No.1 are defined as recurring profit and loss. Chapter III Management Discussion and Analysis 1. The industry situation of the company during the reporting period Looking back to 2021, affected by economic recovery, industry prosperity, dual carbon targets, the overall market bottomed out and rebounded, showing a trend of high before and low after. The overall market: the total sales volume of the whole year was 26,275,000 units, with a year-on-year growth of 3.8%. Influenced by economic recovery, industry prosperity and dual carbon target, the control of the epidemic provided a guarantee for the recovery of the auto market, but attention should also be paid to the adverse factors such as chip shortage and rising raw material prices. Commercial vehicle market: the annual sales volume of commercial vehicles was 4,793,000 units, down 6.6% year on year (among which, the cumulative sales volume of light commercial vehicles was 3,189,000 units, down 0.6% year on year), mainly affected by the overdraft of Stage VI switch and the overload control, etc. Passenger vehicle market: in the whole year, passenger vehicles showed recovery growth, with the sales volume of 21,482,000 units, up 6.5% year-on- year (among which, SUV totalled 10,101,000 units, with the highest growth rate of 6.8%). New energy vehicle market: the annual sales volume of new energy vehicles was 3,521,000 units, up 157.5% year on year, and the penetration rate increased to 13.4%, while the monthly penetration rate in December was close to 20%. The overall new energy vehicle market was further shifted from policy-driven to market-driven. The commercial vehicle segment light bus that JMC is in, driven by double cycle, E-commerce, the rapid development of boutique tourism and customized passenger transport, will further promote the sales of this segment. In the future, with the gradual liberalization of urban traffic restriction policy, people's pursuit of a better life and the development of modern agriculture will further release the demand for Pickup trucks. With the promotion of the dual carbon target, the rise of green distribution, the construction of new urbanization and urban circle, the structural freight demand will be further enlarged, which will be a stimulating factor for the development of light truck market. With the continuous improvement of people's income level and the personalized demand of the Z era consumer group, the SUV market with high cost performance will continue to grow. The market segment that JMC is in will be further developed in the future, and continue to open up incremental space. 2. Company’s Core Business during the Reporting Period During the reporting period, the Company's main business is the production and sale of commercial vehicles, SUVs and related components. The main products include JMC light truck, Pickup, light bus, Yusheng SUV, Ford-branded light bus, MPV and other commercial vehicles and SUV products. JMC also produces engines, castings and other components. The Company takes high quality development as the main line, focuses on value, lean operation, and transforms from scale expansion development to lean value growth. In 2021, JMC continued to expand the technical reservation and investment in new products, smart connectivity, new energy and light weight, etc. Based on vehicle, JMC developed autonomous driving and smart connectivity functions and achieved more function expansion through the third space with vehicle as the carrier. At the same time, JMC strengthens the construction of digitalization operation capability, thus entering such key value fields as network socialization and financial payment, etc., forming massive ecological circle and presenting excellent overall performance in the industry. Vehicle manufacturing and operation □√Applicable □Not Applicable Production and Sales Volume Information Production Volume (Unit) Sales Volume (Unit) 2021 FY 2020 FY YOY change (%) 2021 FY 2020 FY YOY change (%) By Products Light Bus 100,168 94,945 5.50% 101,516 92,994 9.16% Truck 118,117 128,949 -8.40% 118,105 128,875 -8.36% Pickup 68,268 66,209 3.11% 67,906 65,204 4.14% SUV 53,096 46,212 14.90% 53,481 44,025 21.48% Total 339,649 336,315 0.99% 341,008 331,098 2.99% By Region China 339,649 336,315 0.99% 341,008 331,098 2.99% Explanation on the above 30% year-on-year change of related date. □Applicable □√Not Applicable Component Kit System Construction JMC owns in-house R&D and manufacturing capability for key components, with such important components as engine, body parts, frame, wheel and front axle, etc. developed and manufactured independently. For some other key components, JMC keeps strategic cooperation with industry leading suppliers, e.g. Bosch, Garrett, Yunnei Power, and ZF. JMC has established strategic cooperation with such leading enterprises as CATL and Suzhou Inovance on new energy development. For smart connectivity, JMC conducted diversified cooperation with such giants as Tencent, Hengrun, IFLYtek and Desay SV, etc. for ecology development. JMC takes enabling customers successful as the vision, and works with suppliers on providing customer-centric vehicle experience and creating sustainable swift supply system. Through innovative thinking and digitalized means, JMC established complete supplier admission, capability enhancement and supplier control mechanism from the perspectives of technology, quality, cost, delivery and service, etc., so as to effectively promote the competitiveness improvement of supplier system. Production and operation of auto parts during the reporting period □Applicable □√Not Applicable The Company carries out auto finance business □Applicable □√Not Applicable The Company carries out new energy vehicle related business □√Applicable □Not Applicable Production and operation of new energy vehicles and parts Product Category Capacity(Unit) Production Volume(Unit) Sales Volume (Unit) Revenue (RMB) New Energy Bus Series 50,000 190 186 32,817,563 New Energy Passenger Vehicles and Pickup 50,000 785 793 116,617,579 New Energy Truck 30,000 1,427 1,178 159,171,122 Total 130,000 Note: all new energy vehicles are collinear with corresponding fuel vehicles. 2,402 2,157 308,606,264 New energy vehicle Subsidy JMCdid not receive new energy vehicle subsidy in 2021. 3. Core Competitiveness Analysis JMC is a Sino-foreign joint venture auto company with R&D, manufacturing and sales operations. With leading position and advanced technology of commercial vehicles, JMC is a China auto industry pioneer providing excellent products and solutions to smart logistics, and a provider of Ford value products.JMC also is certificated as a national high-tech enterprise, national innovative pilot enterprise, national enterprise technology center, national industrial design center, national intellectual property demonstration enterprises and national automobile export base. JMC has been ranking among the top 100 most valuable global brands for consecutive years. JMC light buses ranked No.1 in the segment with 30.5% market share. JMC Pickup ranked No.2 in the segment with 14.6% market share. JMC light trucks ranked No.4 in the segment with 7.7% market share. As No.1 brand in China, JMC light bus insists on taking customers as the center, observes customer demand and light bus operation scenarios. JMC launched European light bus product portfolio with high quality, excellent performance and great cost performance, covering all scenarios of freight, passenger transport and refitting. JMC is the pioneer in industry providing Uptime 100% solution, continuing to help customers create value, thus achieving rapid growth of sales volume. JMC’s light bus market share has been ranking No.1 in the segment for consecutive seven years. Awarded the title of “Vehicle No.1 for Epidemic Fighting”, JMC light bus continued to contribute to medical and health vehicles in 2021, developing a number of special vehicles such as nucleic acid sampling test vehicle and Novel Coronavirus Nucleic acid testing mobile laboratory. JMC new Transit negative pressure ambulance has also provided an important barrier for the prevention and control of the epidemic around the Beijing Winter Olympics and ensured the success of the Beijing Winter Olympics. As the flagship product of the family, the new generation Transit Pro has up to 13 kinds of intelligent driving auxiliary configurations. Equipped with iFLYTEK intelligent network system, it makes driving more convenient and more enjoyable. Moreover, "Uptime 100% solution" is used to meet users' 24-hour all-weather efficient vehicle demand and service demand, leading the new era of digital light bus. As a multi-functional light bus with No.1applicability, the new Transit is equipped with Ward's global top ten engine, with the strongest boron steel body of light bus, and the driving comfort of passenger car level, which can meet the diversified use scenarios. Teshun is an economical light bus with No.1 cost performance. In 2021, Teshun Space King was launched with a great impact. Together with freight head platform "Cargo Lala", Teshun showed its talents in the fast-winning competition called “ceiling” of logistics competition and won high praise. JMC light bus with strong brand strength and product strength, recognized by mainstream authoritative media and official authorities, won a number of authoritative awards, becoming the “grand slam” winner in light bus market. JMC light truck has always been customer-oriented, with in-depth insight into light truck operation scenarios, and constantly enriching product lines. In response to the new blue license plate laws and regulations, lightweight iron and aluminium containers were launched. Lightweight chassis and a series of weight reduction measures were utilized on the new-generation light truck to enhance product competitiveness. As the leading brand in Pickup market, with the unremitting customer-centric concept, JMC launched new Yuhu7 and Baodian products, creating Pickup life mode with immersive experience. Yuhu7 possesses the highlights of strong power, extraordinary quality, leading technology and fashionable life. In order to expand the multiple application attributes of Pickup, to meet customers' higher pursuit of fun in life, JMC launched the JFX Yuhu Life Family series activities. Various activities interpreted Yuhu Life Family and enabled Pickup infinite possibilities. Based on the customers’ use habits in various scenarios, Baodian provides low dock model and flat container structure, which enables design more practical, goods moving more energy saving and overall style more fashionable. JMC continues to promote the construction of brand-new PV channels. In order to further deepen the cooperation between both parties, and also to facilitate the implementation of Ford China 2.0 strategy, the Company and Ford Motor Company established the JMC Ford Automobile Technology (Shanghai) Co., Ltd (hereinafter referred to as “JMC Ford Technology”). In 2021, there have been 175 Family Space Ford experience stores, covering over 150 cities in China. JMC Ford Technology shall insist on the belief of challenger, adheres to Ford brand spirit of pioneering and innovation, challenges tradition and disrupts itself, strengthens technical innovative capability, and creates outstanding customer experience with differentiation, rejuvenation, personalization and profession. Ford Everest is a high-performance all-road SUV, equipped with 2.3T Ward global top ten engine + Ford 10AT transmission, professional non-carrying chassis, intelligent all-time four-wheel drive and TMS all-road management system. Ford Equator is a cost-effective medium and large SUV, equipped with more than 20 configurations of Co-Pilot360 Chi Hang driving assistance system, dual 12.3 screen equipped with Tencent TAI 3.0 voice intelligent vehicle system, AR real navigation, bringing intelligent technology cockpit experience. In 2021, the export volume of Ford Territory surged by 106% year on year. Ford Territory won high recognition from overseas consumers, thus realizing the brand-new layout of “in China, for China, for World”. Ford Equator Sport, which is a new wide-body SUV pioneer with official orders kicked off in 2022, not only adopts new Ford potential aesthetics with Mobileye autonomous driving chip, but also leads the peers in hashrate, autonomous driving and smart cabin, displaying the highly potential starting of JMC Ford Technology, and providing the confidence to the new power of auto technology company. 4. Core Business Analysis I. Summary 2021 is still not free from the impact of the epidemic, but the entire automotive industry is still tenacious forward. Looking back at the auto market in 2021, due to the lack of chip, auto manufacturer reduced production volume, and technology companies were optimistic about the auto market, so scrambled to manufacture vehicles. The auto market strived to recover and grow in the face of multiple challenges. In 2021, 26,275,000 vehicles were sold in China, up 3.8% year-on-year. During the reporting period, in order to respond to the intensified competition, stricter homologation requirement and cost increase, JMC has been dedicated in improving the product quality, promoting new product development, controlling operation cost and enhancing production efficiency. At the same time, JMC launched a series of marketing proposals to actively cope with market risks. In 2021, JMC achieved sales volume of 341,008 units, including 101,516 light buses, 118,105 trucks, 67,906 Pickups and 53,481 SUVs, with YOY growth of 2.99%. In 2021, the total production volume was 339,649 units, including 100,168 light buses, 118,117 trucks, 68,268 Pickups and 53,096 SUVs, with YOY increase of 0.99%. In 2021, the operation revenue reached RMB35.221 billion, up 6.42% year on year. The operation cost was RMB 30.117 billion, up 9.44% year on year. The marketing expense was RMB1.532 billion, with YOY decrease of 0.84%. The administration expense was RMB1.152 billion, up 13.82% year over year. R&D cost was RMB 1.709 billion, up 27.18% year on year. The financial expense was RMB -296 million, down by 49.70% year over year. In 2021, JMC planned the productivity of 320,000 units and the utilization rate was 106%. In 2021, the investment in Fushan Plant project was RMB 345 million, with 63% of the project completed. II. Revenue and Cost (a) Composition of Sales Revenue Unit: RMB 2021 FY 2020 FY YOY change (%) Amount Proportion (%) Amount Proportion (%) Revenue 35,221,306,472 100% 33,095,733,665 100% 6.42% By Industry Automobile Industry 35,221,306,472 100% 33,095,733,665 100% 6.42% By Products Vehicle 32,317,182,099 91.75% 30,666,834,098 92.66% 5.38% Components 2,101,505,690 5.97% 1,774,007,492 5.36% 18.46% Automobile Maintenance Services 111,360,531 0.32% 94,435,844 0.29% 17.92% Material & Others 691,258,152 1.96% 560,456,231 1.69% 23.34% By Region China 35,221,306,472 100% 33,095,733,665 100% 6.42% Sales model Distribution 33,828,173,736 96.04% 31,731,165,121 95.88% 6.61% Direct selling 1,393,132,736 3.96% 1,364,568,544 4.12% 2.09% (b) Reach to 10% of Revenue or Profit by Industry, Product, Region or Sales Model □√Applicable □Not Applicable Unit: RMB Turnover Cost Gross Margin YOY turnover change (%) YOY Cost Change (%) YOY gross margin change (points) By Industry Automobile Industry 35,221,306,472 30,117,454,367 14.49% 6.42% 9.44% -2.36% By Products Vehicle 32,317,182,099 27,809,982,305 13.95% 5.38% 8.47% -2.45% By Region China 35,221,306,472 30,117,454,367 14.49% 6.42% 9.44% -2.36% If the Company’s core business scope is adjusted during the reporting period, the Company’s core business data of last year need to be adjusted per the scope in this year □Applicable □√Not Applicable (c) Whether the Company’s Goods Revenue Higher Than Service Revenue □√Yes □No Industry Item Unit 2021 2020 Change (%) Automobile Sales Volume unit 341,008 331,098 2.99% Production Volume unit 339,649 336,315 0.99% Inventory Volume unit 10,188 11,821 -13.81% Explanation on YOY change of over 30% □Applicable □√Not Applicable (d) Execution of the Company’s Signed Major Sales Contracts and Major Purchase Contracts as of the Reporting Period □Applicable □√Not Applicable (e) Composition of Operating Cost Product categories Unit: RMB Product Item 2021 FY 2020 FY YOY Change（%） Cost Proportion (%) Cost Proportion (%) Vehicle Cost 27,809,982,305 92.34% 25,638,598,860 93.17% 8.47% Components Cost 1,557,352,106 5.17% 1,250,772,343 4.54% 24.51% Automobile Maintenance Services Cost 118,486,239 0.39% 95,282,459 0.35% 24.35% Material & Others Cost 631,633,717 2.10% 533,856,251 1.94% 18.32% (f) Whether the Consolidated Scope was Changed During the Reporting Period □√Yes □No The 60% equity of Taiyuan Jiangling Power Co., Ltd., a former wholly-owned subsidiary of the Company, has been transferred to Yunnan Yunnei Power Group Co., Ltd. in November 2021. "Taiyuan Jiangling Power Co., Ltd." has been renamed as "Shanxi Yunnei Power Co., Ltd.". After the equity transfer, Shanxi Yunnei Power Co., Ltd. was not included in the scope of the consolidated statement of the Company. In 2021, the Company and Ford Motor Company(“Ford”) subscribed to the capital contribution of RMB102 million and RMB 98 million respectively to set up Jiangling Ford Automobile Technology (Shanghai) Co., Ltd.("Jiangling Ford Technology”), the total registered capital subscribed amount to RMB200 million. The Company holds 51% of the shares of Jiangling Ford Technology and got the control of Jiangling Ford Technology’s Board of Shareholders and Directors. Jiangling Ford Technology is a subsidiary of the Company. As of December 31, 2021, Jiangling Ford Technology completed the business registration while not in operation yet. (g) Major Change or Adjustment on Business, Products or Services During the Reporting Period □Applicable □√Not Applicable (h) Main Customers and Suppliers Main Customers Total sales value to top 5 customers（RMB） 5,601,678,211.00 Accounted for the proportion of JMC’s total annual turnover 15.90% Included related party transaction accounted for the proportion of JMC’s total annual turnover 9.75% Top 5 Customers No. Name of the Customer Sales Value (RMB) Percentage of JMC’s Total Turnover (%) 1 Jiangxi Jiangling Motors Imp. & Exp. Co., Ltd. 3,009,681,649 8.55% 2 Zhejiang Jiangling Motors Sales Company 1,061,202,534 3.01% 3 Chengli Special Automobile Co., Ltd. 560,588,462 1.59% 4 Beijing Jinglingshun Auto Sales Company 545,373,013 1.55% 5 Jiangxi JMCG Specialty Vehicles Sales Service Co., Ltd. 424,832,553 1.20% Total 5,601,678,211 15.90% Other introduction to main customers □√Applicable □Not Applicable Jiangxi Jiangling Motors Imp. & Exp. Co., Ltd. and Jiangxi JMCG Specialty Vehicles Sales Service Co., Ltd. are related parties of the Company. Top 5 Suppliers: Total purchase value from top 5 suppliers（RMB） 4,890,214,576 Accounted for the proportion of JMC’s total annual purchase amount 18.40% Included related party transaction accounted for the proportion of JMC’s total annual purchase amount 10.73% No. Name of the Supplier Purchase Value (RMB) Percentage of JMC’s Total Annual Purchase Amount (%) 1 Bosch Auto Diesel System (Wuxi) Company 1,238,849,375 4.66% 2 Jiangxi Jiangling Special Purpose Vehicle Co., Ltd. 985,020,418 3.71% 3 Nanchang Baojiang Steel Processing Distribution Co., Ltd. 967,549,307 3.64% 4 Jiangxi Jiangling Chassis Co., Ltd. 898,433,987 3.38% 5 Bosch Powertrain Co., Ltd. 800,361,489 3.01% Total 4,890,214,576 18.40% Other introduction to main suppliers □√Applicable □Not Applicable Jiangxi Jiangling Special Purpose Vehicle Co., Ltd., Nanchang Baojiang Steel Processing Distribution Co., Ltd., and Jiangxi Jiangling Chassis Co., Ltd. are related parties of the Company. III. Expense Unit: RMB 2021 2020 YOY Change Description of significant Changes Distribution Expenses 1,531,808,043 1,544,737,028 -0.84% Administrative Expenses 1,152,218,590 1,012,347,173 13.82% Finance Income-net -295,755,557 -197,567,513 49.70% mainly due to the interest income from bank deposits increased. R & D Expenses 1,709,014,171 1,343,812,092 27.18% IV. Research & Development Name of main R&D project Project purpose Project progress Goals to be achieved The expected impact on the Company's future development PV product program Enhance the competitiveness of Jiangling Ford passenger vehicle products. Equator was launched in March 2021, Equator Sport was launched in January 2022, and the other PV products are in progress. Increase the Company's operating revenue. Light bus product program Enhance the competitiveness of light bus products. In progress. Increase the Company's operating revenue. Light truck product program Enhance the competitiveness of light truck products. In progress. Increase the Company's operating revenue. Pickup product program Enhance the competitiveness of pickup products. In progress. Increase the Company's operating revenue. Company R & D personnel 2021 2020 Change(%) R&D staff (person) 2,315 2,393 -3.26% R&D staff as % of total employees 17.90% 17.73% 0.17% Educational structure of R&D personnel —— —— —— Undergraduate 1,609 1,646 -2.20% Master 559 593 -5.70% Age composition of R&D personnel —— —— —— Under the age of 30 602 816 -26.20% 30 ~ 40 years old 1,382 1,278 8.10% R&D Investment 2021 2020 Change(%) R&D investment (RMB) 1,886,139,707 1,664,559,872 13.31% R&D investment as % of revenue 5.36% 5.03% 0.33% Capitalization of R&D investment 177,125,536 320,747,780 -44.78% Capitalization of R&D investment as % of R&D investment 9.39% 19.27% -9.88% （未完）  |