Jiangling Ford Shanghai posts RMB2.1bn equity deficit as liquidation looms

Jiangling Ford Shanghai, a joint venture between Jiangling Motors Corporation and Ford Motor Company, presented its audited balance sheet for September 30, 2025, showing total assets of RMB179,744,105. The company's total liabilities amounted to RMB2,329,279,986, resulting in an owner's equity deficit of RMB(2,149,535,881). This financial snapshot is prepared on a non-going concern basis, as the company plans to commence liquidation activities from October 1, 2025, and expects to complete debt settlement within five years.

The company’s current assets primarily include RMB147,143,427 in cash and cash equivalents, with RMB119,605,451 held in bank deposits with Jiangling Motors Corporation Group Finance Co. Accounts receivable stood at RMB2,058,923, and other receivables at RMB6,900,121. Current liabilities were dominated by payables, with accounts payable at RMB1,392,013,775 and other payables at RMB889,215,100, largely consisting of related party borrowings and interest.

The significant deficit reflects the company's decision to liquidate, with assets measured at realizable net value and adjustments made for potential losses on asset realization. Jiangling Motors Corporation holds a 51% stake in Jiangling Ford Shanghai, with Ford Motor Company holding the remaining 49% of the RMB200,000,000 registered capital.