Share's code：

Share's code：

000550

Share's Name：

Jiangling Motors

No.：

2015-019

200550

Jiangling B

Jiangling Motors Corporation, Ltd.

Public Announcement on the Related Party Transaction

Note: Jiangling Motors Corporation, Ltd. and its Board members undertake that the information disclosed herein is truthful, accurate and complete and contains no false statement, misrepresentation or major omission.

1. Brief Introduction

The Board of Directors of Jiangling Motors Corporation, Ltd. (hereinafter referred to as 'JMC' or the 'Company') held a paper meeting within April 9, 2015 to April 17, 2015 to approve the Parts Supply Contract between Auto Alliance (Thailand) Company Limited(hereinafter referred to as 'AAT') and the Company, and authorize Executive Vice President Xiong Chunying to sign this Contract on behalf of the Company.

Nine Directors shall attend this Board meeting and all of them were present.

Whereas Ford Motor Company, representing 32%of the outstanding shares of the Company, is the second largest shareholder of the Company, and AAT is a subsidiary of Ford Motor Company which holds 50% equity of AAT, the transaction herein constitutes a related party transaction.

When voting on the proposal, Director John Lawler, Director Manto Wong, and Director Yuan-Ching Chen withdrew from the voting and all the other Directors agreed with this proposal.

2. Brief Summary of the Related Parties

Company Name: Auto Alliance (Thailand) Company Limited

Registered Address: No. 49 Moo 4, Easter Seaboard Industrial Estate (Rayong), Tambol Pluakdaeng, Amphur Pluakdaeng, Rayong Province, Thailand

Legal Representative: Trevor Negus or Atsushi Yasumoto

Registered Capital: THB 8,435,000,000

Registered Date: 1995

Enterprise Type: Foreign Company

Shareholding Structure: Ford holds 50% equity of AAT directly or indirectly, Mazda holds 50% equity of AAT directly or indirectly

Business Scope: Production and sales of Ford and Mazda vehicles.

Ford holds 50% equity of AAT, and the latest audited financial indexes of Ford are as follows:

Unit: US$ million

2014

Revenue

144,077

Net profit

3,186

December 31, 2014

Total assets

208,527

Total equity

24,832

3. Main Contents of the Parts Supply Contract

i. Contract products: J08 vehicle products to be manufactured by JMC pursuant to the J08 Vehicles Technology Licensing Contract among Ford Motor Company, Ford Global Technologies, LLC, and JMC

ii. Pricing

The prices for Components shall be based on the actual prices of externally-produced Components (that is, Components that are not manufactured by AAT or an Affiliate) plus a markup as mutually agreed from time to time by the Parties. The markup will cover items including storage; transportation costs from suppliers to the packing facility and from the packing facility to the FCA port of export; administration and launch costs; export packaging, palletting, consolidation, loading, tooling, and other handling expenses. For internally-produced Components (that is, Components manufactured by AAT or an Affiliate), the Parties shall separately agree on the prices.

iii. This Contract shall continue in full force and effect for a term commencing on the date first above written and expiring at either the end of the cycle of JMC's mass production of the Contract Products or the expiration day of the J08 Vehicles Technology Licensing Contract whichever occurs first.

4. Pricing Policy of the Related Party Transaction

Pricing principle: price established through contract.

5. Purpose and Impact of the Related Party Transaction on JMC

Purpose of the related party transaction is to support J08 model parts purchase so as to ensure J08 vehicle launch smoothly.

6. There is no transaction occurred between AAT and the Company as of March 31, 2015.

7. Opinions from Independent Directors

Independent Directors, Ms. Wang Xu, Mr. Lu Song and Ms. Wang Kun expressed their opinions on the Parts Supply Contract between AAT and the Companyas follows:

(1) We have been informed of the meeting agenda prior to the meeting;

(2) We have known details of the relevant contract and believe by careful review that parts purchase from AAT is necessary and the pricing is reasonable.

8. Documents for Reference

1. Resolution of the Board of Directors of Jiangling Motors Corporation, Ltd.;

2. Opinions from Independent Directors on the aforesaid related party transaction.

Board of Directors

Jiangling Motors Corporation, Ltd.

April 22, 2015

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