ProposalonYear2019AmendmenttotheArticlesofAssociationInviewoftheneedfortheCorporationtodevelopitsimportandexportbusinessofvehiclesandparts,andinaccordancewiththerevisedCompanyLawofPRCpromulgatedandcomeintoeffectasofOctober26,2018andtherevisedCodeofCorporateGovernanceforListedCompaniesinChinaissuedbyChinaSecuritiesRegulatoryCommissionasofSeptember30,2018aswellastherelatedrequirementsoflaws,rulesandregulatorydocuments,JianglingMotorsCo.,Ltd.(hereinafterreferredtoas‘JMC’or‘theCorporation’)intendstoamendaccordinglytheArticlesofAssociationofJMCbytakingintoaccountoftheactualsituation.Thedetailsoftheseamendmentsareasfollows: 1.ThefollowingtermshallbeinsertedimmediatelyfollowingArticle11inthe ArticlesofAssociationandconstitutedasArticle12thereof.Thesequence numberoftheotherarticlesintheArticlesofAssociationshallbeadjusted accordingly. Article12 IntheCorporation,anorganizationoftheCommunistPartyofChinashallbeestablishedtocarryouttheactivitiesofthepartyinaccordancewiththecharteroftheCommunistPartyofChina.TheCorporationshallprovidethenecessaryconditionsfortheactivitiesofthepartyorganization. 2.TheArticle13intheArticlesofAssociationofJMCisamendedasfollows:TheoriginalArticle13isshownasfollows: Article13 SubjecttotheverificationandapprovalbytheregistrationauthorityoftheCorporation,thescopeofthemainbusinessoftheCorporationshallinclude:productionandsaleofmotorvehicles,derivative,vehicleassemblysuchasengines,chassis,andotherpartsandcomponentsofmotorvehicles,performingrelatedafter-salesservices;engagementinwholesaleandretailofE-seriesbrandedimportvehiclesasabranddealerauthorizedbyFordMotor(China)Ltd.;usedvehiclebusiness;provisionofenterprisemanagementandconsultingservicesrelatedtovehicleproductionandsale. TheCompanymay,basedonitsowndevelopmentneedsandcapabilities,theapprovalofthecompetentgovernmentalauthorities,adjustitsbusinessscopeandoperationandsetupbranchesandofficeswithinandoutsideChina,aswellasinHongKongandMacao. TheamendedArticle13isrestatedandconstitutedasArticle14thereofandshownasfollows: Article14 SubjecttotheverificationandapprovalbytheregistrationauthorityoftheCorporation,thescopeofthemainbusinessoftheCorporationshallinclude:productionandsaleofmotorvehicles,derivative,vehicleassemblysuchasengines,chassis,andotherpartsandcomponentsofmotorvehicles,performingrelatedafter-salesservices;engagementinwholesaleandretailofE-seriesbrandedimportvehiclesasabranddealerauthorizedbyFordMotor(China)Ltd.;importandexportofvehiclesandparts;usedvehiclebusiness;provisionofenterprisemanagementandconsultingservicesrelatedtovehicleproductionandsale. TheCompanymay,basedonitsowndevelopmentneedsandcapabilities,theapprovalofthecompetentgovernmentalauthorities,adjustitsbusinessscopeandoperationandsetupbranchesandofficeswithinandoutsideChina,aswellasinHongKongandMacao. 3.TheArticle27intheArticlesofAssociationofJMCisamendedasfollows:Article27 Underanyofthefollowingcircumstances,theCorporationmayby-backitssharesinaccordancewiththeprovisionsoflaws,administrativeregulations,departmentalrulesandtheseArticlesofAssociation: (i) WhentheCorporationwantstoreduceitsregisteredcapital; (ii) WhentheCorporationmergesintoorconsolidateswithothercompanies whichholditsshares; (iii) WhentheCorporationwantstoawarditsemployeeswithshares;and (iv) WhenanyshareholderrequeststheCorporationtopurchasehissharesbecause thisshareholderraisesobjectionstotheCorporation’sresolutiononmergeror divisionmadeatashareholders’meeting. Exceptunderthecircumstancesdescribedabove,theCorporationshallnotpurchaseorsellitsownshares. TheamendedArticle27isrestatedandconstitutedasArticle28thereofandshownasfollows: Article27 Underanyofthefollowingcircumstances,theCorporationmayby-backitssharesin andtheseArticlesofAssociation: (i) WhentheCorporationwantstoreduceitsregisteredcapital; (ii) WhentheCorporationmergesintoorconsolidateswithothercompanies whichholditsshares; (iii) WhentheCorporationwantstousesharesforemployeestockownershipplans orequityincentivesschemes; (iv) WhenanyshareholderrequeststheCorporationtopurchasehissharesbecause thisshareholderraisesobjectionstotheCorporation’sresolutiononmergeror divisionmadeatashareholders’meeting; (v) WhentheCorporationwantstousesharesfortheconversionofcorporate bondsissuedbytheCorporationthatcanbeconvertedintostocks; (vi) WhenitisnecessaryfortheCorporationtomaintaintheCorporation'svalue andshareholders'rights. Exceptunderthecircumstancesdescribedabove,theCorporationshallnotpurchaseorsellitsownshares. 4.TheArticle29intheArticlesofAssociationofJMCisamendedasfollows:Article29 WheretheCorporationneedstopurchaseitsownsharesforanyofthereasonsasmentionedinItems(1)through(3)ofArticle27hereof,itshallbesubjecttoaresolutionoftheshareholders’meeting.AftertheCorporationpurchasesitsownsharesaccordingtoArticle27,itshall,underthecircumstanceasmentionedinItem(1),writethemoffwithintendaysafterthepurchase;whileunderthecircumstanceasmentionedeitherinItem(2)or(4),shalltransferthemorwritethemoffwithinsixmonths. ThesharespurchasedbytheCorporationaccordingtoItem(3)ofArticle27shallnotexceed5%ofthetotaloutstandingsharesoftheCorporation.ThefundsusedforthesharepurchaseshallbepaidfromtheCorporation’sprofitsaftertax.ThesharespurchasedbytheCorporationshallbetransferredtotheemployeeswithinoneyear.TheamendedArticle29isrestatedandconstitutedasArticle30thereofandshownasfollows: Article30 WheretheCorporationpurchasesitsownsharesforthecircumstancesasspecifiedinItems(I)to(II)ofArticle28hereof,itshallbesubjecttoaresolutionoftheshareholders’meeting.WheretheCorporationpurchasesitsownsharesforthe maybesubjecttoaresolutionoftheBoardofDirectorsatthemeetingoftheBoardofDirectorspresentbymorethantwo-thirdsoftheDirectors. WheretheCorporationpurchasesitsownsharesinaccordancewithArticle28hereof,sharesshallbecancelledwithin10daysofthedateofpurchaseifthecircumstancesfallunderItem(I),ortransferredorcancelledwithinsixmonthsifthecircumstancesfallunderItem(II)or(IV),ortransferredwithinthreeyearsperthepurposedisclosedinaccordancewiththelawsorcancelledbeforetheexpirationofthethree-yearperiodifnottransferredperthedisclosedpurposeswherethecircumstancefallunderItem(V),orcancelledbeforetheexpirationifnottransferredwithinthreeyearsinaccordancewiththelawswherethecircumstancefallunderItem(VI).ThetotalsharesheldbytheCorporationshallnotexceed10%ofthetotaloutstandingsharesoftheCorporationifthecircumstancefallunderItem(III),Item(V)andItem(VI). WheretheCorporationpurchasesitsownshares,itshallperformitsinformationdisclosureobligationsinaccordancewiththeprovisionsoftheSecuritiesLawofthePeople'sRepublicofChina.WheretheCorporationpurchasesitsownsharesforanyofthecircumstancesasspecifiedinItem(III),Item(V)orItem(VI)ofArticle28hereof,thepurchaseshallbeconductedthroughopenandcentralizedtrading. 5.TheArticle74intheArticlesofAssociationofJMCisamendedasfollows:TheoriginalArticle74isshownasfollows: Article74 TheCorporationshallformulatetherulesoftheproceduresfortheshareholders’meetings,whichshallstipulatetheproceduresofconveningandvotingoftheshareholders’meetingindetail,includingnotice,register,considerationofproposals,voting,countingballot,declarationofthevotingresults,makingresolutionsofthemeeting,recordofthemeetingandsignature,andannouncementetc.,aswellasprincipleofauthorizationoftheshareholder’smeetingfortheBoardofDirectors,ofwhichcontentsshallbeclearanddetailed.Shareholders’meetingrulesshallbeincorporatedasanattachmentoftheArticlesofAssociation,whichshallbesubjecttothedraftoftheBoardofDirectorsandapprovaloftheshareholders’meeting. TheamendedArticle74isrestatedandconstitutedasArticle75thereofandshownasfollows: Article75 TheCorporationshallformulatetherulesoftheproceduresfortheshareholders’meetings,whichshallstipulatetheproceduresofconveningandvotingofthe voting,countingballot,declarationofthevotingresults,makingresolutionsofthemeeting,recordofthemeetingandsignature,andannouncementetc.,aswellasprincipleofauthorizationoftheshareholder’smeetingfortheBoardofDirectors,ofwhichcontentsshallbeclearanddetailed.Theshareholders’meetingshallnotdelegatetheBoardofDirectorsanyauthority,whichismandatorilyrequiredbythelawtobeexercisedbytheshareholders’meeting.Shareholders’meetingrulesshallbeincorporatedasanattachmentoftheArticlesofAssociation,whichshallbesubjecttothedraftoftheBoardofDirectorsandapprovaloftheshareholders’meeting. 6.TheArticle125intheArticlesofAssociationofJMCisamendedasfollows:TheoriginalArticle125isshownasfollows: Article125 TheBoardofDirectorsshallexercisethefollowingpowers: (i) toconvenetheshareholders’meetingandtoreportitsworktotheshareholders’ meeting; (ii) toimplementresolutionsoftheshareholders’meeting; (iii) todecideonthebusinessplansandinvestmentproposalsoftheCorporation; (iv) topreparetheannualbudgetandfinalsettlementofaccountsoftheCorporation;(v) topreparetheplansforprofitdistributionandplansforcoveringlossesofthe Corporation; (vi) toprepareplansfortheincreaseandreductionoftheregisteredcapitalandthe issuanceofbondsoftheCorporationandotherplansconcerningsecuritiesand listing; (vii) todraftplansformajoracquisitionsandby-backofthesharesoftheCorporation andthemerger,separation,dissolutionandchangeofcorporationformthereof; (viii) todecideonoutsideinvestments,purchaseorsalesofassets,mortgageofassets, guaranteeforexternalparties,trustinvestmentsandrelatedpartytransactionsof theCorporationtotheextentauthorizedbytheshareholders’meeting; (ix) todeterminetheinternalmanagementstructureoftheCorporation; (x) toappointandremovethePresidentandtheSecretaryoftheBoardofDirectors PresidentsandChiefFinancialOfficeronthebasisofnominationsofthe President,andtodecideontheirremunerations,awardsandpunishments; (xi) toformulatethebasicmanagementrulesoftheCorporation; (xii) toprepareproposalsforamendmentstotheseArticlesofAssociationofthe Corporation; (xiii) tocontrolmattersregardinginformationdisclosureoftheCorporation; (xiv) tosubmittotheshareholdersgeneralmeetingproposalsfortheappointmentor replacementoftheaccountingfirmthatauditsfortheCorporation; (xv) tolistentotheworkreportofthePresidentoftheCorporationandtoinspecthis work;and (xvi) otherpowersgrantedbythelaws,administrativeregulations,departmentalrules andtheseArticlesofAssociationoftheCorporation. TheamendedArticle125isrestatedandconstitutedasArticle126thereofandshownasfollows: Article126 TheBoardofDirectorsshallexercisethefollowingpowers: (i) toconvenetheshareholders’meetingandtoreportitsworktotheshareholders’ meeting; (ii) toimplementresolutionsoftheshareholders’meeting; (iii) todecideonthebusinessplansandinvestmentproposalsoftheCorporation; (iv) topreparetheannualbudgetandfinalsettlementofaccountsoftheCorporation;(v) topreparetheplansforprofitdistributionandplansforcoveringlossesofthe Corporation; (vi) toprepareplansfortheincreaseandreductionoftheregisteredcapitalandthe issuanceofbondsoftheCorporationandotherplansconcerningsecuritiesand listing; (vii) todraftplansformajoracquisitionsandby-backofthesharesoftheCorporation (viii) todecideonoutsideinvestments,purchaseorsalesofassets,mortgageofassets, guaranteeforexternalparties,trustinvestments,relatedpartytransactionsand purchaseofthesharesoftheCorporationtotheextentauthorizedbythe shareholders’meeting; (ix) todeterminetheinternalmanagementstructureoftheCorporation; (x) toappointandremovethePresidentandtheSecretaryoftheBoardofDirectors oftheCorporation,toappointandremovetheExecutiveVicePresidents,Vice PresidentsandChiefFinancialOfficeronthebasisofnominationsofthe President,andtodecideontheirremunerations,awardsandpunishments; (xi) toformulatethebasicmanagementrulesoftheCorporation; (xii) toprepareproposalsforamendmentstotheseArticlesofAssociationofthe Corporation; (xiii) tocontrolmattersregardinginformationdisclosureoftheCorporation; (xiv) tosubmittotheshareholdersgeneralmeetingproposalsfortheappointmentor replacementoftheaccountingfirmthatauditsfortheCorporation; (xv) tolistentotheworkreportofthePresidentoftheCorporationandtoinspecthis work;and (xvi) otherpowersgrantedbythelaws,administrativeregulations,departmentalrules andtheseArticlesofAssociationoftheCorporation. 7.TheArticle136intheArticlesofAssociationofJMCisamendedasfollows:TheoriginalArticle136isshownasfollows: Article136 ThequorumofameetingoftheBoardofDirectorsshallbemorethantwo-thirdsoftheDirectors.ResolutionsoftheBoardofDirectorsshallbepassedbymorethanhalfofalltheDirectors,providedthat,unlessagreatermajorityisrequiredbylaw,thefollowingdecisionsoftheBoardofDirectorsshallrequiretheaffirmativevoteofmorethantwo-thirdsoftheDirectors: (i) theconveningoftheshareholders’meetings,theapprovalofthenoticeofthe shareholders’meetingsandthereportoftheBoardofDirectorsonitsworkto (ii) theimplementationofresolutionsoftheshareholders’meetings; (iii) thepreparationanddecisionoffinancialbudgets,businessplansincluding productionanddistributionplans,borrowingandinvestmentplansandfinal accountsoftheCorporation,andanyexceptionsordeviationsofsuchbudgets, plansandaccounts; (iv) theformulationoftheCorporation’sprofitdistributionplanandtheplanfor recoveryofitslosses; (v) theformulationofproposalsforincreasesorreductionsoftheCorporation’s registeredcapitalandtheissuanceofcorporatebonds,stock,sharewarrants, shareoptions,Corporationguaranteesandanyothersecuritiesorsecurity interests; (vi) thepreparationandapprovalofplansforthemerger,separationand dissolutionoftheCorporation; (vii) thepreparationandapprovaloftheputtinginplaceoftheCorporation’s internalmanagementstructureandsystemsandanychangesofsuchstructure orsystems; (viii)theappointmentanddismissaloftheCorporation’sPresident,ExecutiveVice PresidentsandotherSeniorManagementPersonneloftheCorporation,and theirremunerations; (ix) thepurchase,sale,transferorleaseofanycapitalmachineryandequipment whosevalueexceedsRMB10million; (x) thepurchase,sale,licensingortransferofanytechnologybytheCorporation ortheadditionofanynewproductotherthan“NewGenerationVehicles” developedincooperationwiththeStrategicInvestorwhoowns30%ofthe totaloutstandingsharesoftheCorporation; (xi) decisionsonthebonus,thewelfare,andthereserveanddevelopmentfunds, andtheuseorexpenditureofsuchfunds,includingthecapitalizationofany reservefundsotherthanthoserequiredbythelawsofthePeople’sRepublicof China; (xii) decisionsregardingthepurchase,saleorleaseofanyrealpropertywhose valueexceedsRMB10million,includingtheacquisitionoflanduserights, andtheconstructionofanyfacilitiesthereon; (xiii)employmentofanyindependentfinancialauditor; (xiv) conclusionorearlyterminationofcontractswithrelatedcompaniesor engagingintransactionswithrelatedcompanies; (xv) anydecisionregardinganysignificantmatternotintheordinarycourseof business; (xvi) anyothermatterswhichtheChairmanandtheVice-Chairmanreasonably determineimportant. ResolutionsofaninterimmeetingoftheBoardofDirectorsmaybemadeinformofpapermeetingbyfacsimileandsignedbytheDirectorsattendingthemeetingprovidedthattheDirectors’opportunitiestofullyexpresstheiropinionsshallbeensured. IftheBoardofDirectorsadoptsthepapermeetingformforaresolution,thepassingdateoftheresolutionshallbethedateonwhichtheboardSecretaryreceivesthesignaturepageofthelastDirectoramongstthenumberoftheDirectorsthatisrequiredforapprovingtheresolution. TheamendedArticle136isrestatedandconstitutedasArticle137thereofandshownasfollows: Article137 ThequorumofameetingoftheBoardofDirectorsshallbemorethantwo-thirdsoftheDirectors.ResolutionsoftheBoardofDirectorsshallbepassedbymorethanhalfofalltheDirectors,providedthat,unlessagreatermajorityisrequiredbylaw,thefollowingdecisionsoftheBoardofDirectorsshallrequiretheaffirmativevoteofmorethantwo-thirdsoftheDirectors: (i) theconveningoftheshareholders’meetings,theapprovalofthenoticeofthe shareholders’meetingsandthereportoftheBoardofDirectorsonitsworkto theshareholders’meetings; (ii) theimplementationofresolutionsoftheshareholders’meetings; (iii) thepreparationanddecisionoffinancialbudgets,businessplansincluding productionanddistributionplans,borrowingandinvestmentplansandfinal accountsoftheCorporation,andanyexceptionsordeviationsofsuchbudgets, plansandaccounts; recoveryofitslosses; (v) theformulationofproposalsforincreasesorreductionsoftheCorporation’s registeredcapitalandtheissuanceofcorporatebonds,stock,sharewarrants, shareoptions,Corporationguaranteesandanyothersecuritiesorsecurity interests; (vi) theplanoftheCorporationpurchasingitsownsharesforthecircumstancesas specifiedinItem(III),Item(V)andItem(VI)ofArticle28hereof; (vii) thepreparationandapprovalofplansforthemerger,separationand dissolutionoftheCorporation; (viii)thepreparationandapprovaloftheputtinginplaceoftheCorporation’s internalmanagementstructureandsystemsandanychangesofsuchstructure orsystems; (ix) theappointmentanddismissaloftheCorporation’sPresident,ExecutiveVice PresidentsandotherSeniorManagementPersonneloftheCorporation,and theirremunerations; (x) thepurchase,sale,transferorleaseofanycapitalmachineryandequipment whosevalueexceedsRMB10million; (xi) thepurchase,sale,licensingortransferofanytechnologybytheCorporation ortheadditionofanynewproductotherthan“NewGenerationVehicles” developedincooperationwiththeStrategicInvestorwhoowns30%ofthe totaloutstandingsharesoftheCorporation; (xii) decisionsonthebonus,thewelfare,andthereserveanddevelopmentfunds, andtheuseorexpenditureofsuchfunds,includingthecapitalizationofany reservefundsotherthanthoserequiredbythelawsofthePeople’sRepublicof China; (xiii)decisionsregardingthepurchase,saleorleaseofanyrealpropertywhose valueexceedsRMB10million,includingtheacquisitionoflanduserights, andtheconstructionofanyfacilitiesthereon; (xiv) employmentofanyindependentfinancialauditor; (xv) conclusionorearlyterminationofcontractswithrelatedcompaniesor engagingintransactionswithrelatedcompanies; business; (xvii)anyothermatterswhichtheChairmanandtheVice-Chairmanreasonably determineimportant. ResolutionsofaninterimmeetingoftheBoardofDirectorsmaybemadeinformofpapermeetingbyfacsimileandsignedbytheDirectorsattendingthemeetingprovidedthattheDirectors’opportunitiestofullyexpresstheiropinionsshallbeensured. IftheBoardofDirectorsadoptsthepapermeetingformforaresolution,thepassingdateoftheresolutionshallbethedateonwhichtheboardSecretaryreceivesthesignaturepageofthelastDirectoramongstthenumberoftheDirectorsthatisrequiredforapprovingtheresolution. 8.TheArticle138intheArticlesofAssociationofJMCisamendedasfollows:TheoriginalArticle138isshownasfollows: Article138 TheDirectorsshallattendmeetingsoftheBoardofDirectorsinperson.WhereaDirectorisunabletoattendsuchmeetingforanyreason,hemayappointinwritinganotherDirectortoattendsuchmeetingonhisbehalf. Theletterofauthorizationshallspecifythenameoftheproxy,themattersauthorized,thescopeandvalidperiodofsuchauthorizationandshallbesignedorsealedbytheauthorizer. ADirectorwhoattendsameetingonbehalfofanotherDirectorshallexercisetherightsofsuchDirectorwithinthescopeofauthorization.IfaDirectorwhoisunabletoattendameetingoftheBoardofDirectorsfailstoauthorizeaproxytoattendsuchmeetingonhisbehalf,heshallbedeemedtohavewaivedhisrightstovoteatsuchmeeting. TheamendedArticle138isrestatedandconstitutedasArticle139thereofandshownasfollows: Article139 TheDirectorsshallattendmeetingsoftheBoardofDirectorsinperson.WhereaDirectorisunabletoattendsuchmeetingforanyreason,hemayappointinwritinganotherDirectortoattendsuchmeetingonhisbehalf.AnIndependentDirectorshall Theletterofauthorizationshallspecifythenameoftheproxy,themattersauthorized,thescopeandvalidperiodofsuchauthorizationandshallbesignedorsealedbytheauthorizer. ADirectorwhoattendsameetingonbehalfofanotherDirectorshallexercisetherightsofsuchDirectorwithinthescopeofauthorization.IfaDirectorwhoisunabletoattendameetingoftheBoardofDirectorsfailstoauthorizeaproxytoattendsuchmeetingonhisbehalf,heshallbedeemedtohavewaivedhisrightstovoteatsuchmeeting.