Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Chongqing Jianshe Vehicle System Co., Ltd.
The Semi-Annual Report 2021
2021-046
August 2021
1
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
I. Important Notice, Table of Contents and Definitions
The Board of Directors，the Supervisory Committee, the directors, the supervisors, and executives of the
Company guarantee that there are no significant omissions, fictitious or misleading statements carried in the
Report and we will accept individual and joint responsibilities for the truthfulness, accuracy and completeness of
the Report.
Mr.Yan Xuechuan, The Company leader, Mr. Tan Mingxian, Chief financial officer and the Ms.Niu Yanli, the
person in charge of the accounting department (the person in charge of the accounting )hereby confirm the
authenticity and completeness of the financial report enclosed in the semi-report.
All the directors attended the board meeting for the review of this Report.
Prospective statements carried in this report, such as business plans for future are not constituting any substantial
commitment to the investors. Please be cautious to the risks. This report is prepared both in English and Chinese.
When there is any conflict in understanding, the Chinese version shall prevail.
The Company has described the Company's risk factors in detail in this report, so please refer to the content of the
Company's risk factors in this report.
The Company will not distribute cash dividend or bonus shares, neither capitalizing of common reserves for the
report period.
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Table of Contents
I.Important Notice, Table of contents and Definitions
II. Company Profile & Financial Highlights.
III. Management Discussion & Analysis
IV. Corporate Governance
V. Environmental & Social Responsibility
VI. Important Events
VII. Change of share capital and shareholding of Principal Shareholders
VIII. Situation of the Preferred Shares
IX. Corporate Bond
X. Financial Report
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Documents available for inspection
I. The semi-report carrying personal signature and seal of the Chairman of the Board;
II. Financial Statements with signatures of the legal representative, the financial officer, and accounting manager;
III. All of the originals of the Company’s documents and public notices publicized by the presses designated by
China Securities Regulatory Commission in the report period.
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Definition
Terms to be defined Refers to Definition
Company, the Company, Jianmo Stock, Jianshe
Refers to Chongqing Jianshe Vehicle System Co., Ltd.
Vehicle B
Shenzhen North Jianshe Motorcycle Co., Ltd. (predecessor of the
Shenjianmo Refers to
Company)
Chongqing Jianshe Motorcycle Co., Ltd. (predecessor of the
Jianmo B Refers to
Company)
China Military Equipment Group Co., Ltd. (China Southern Industry
Military Equipment Group（Southern Group） Refers to
Group Co., Ltd.)
Military Finance Co. Refers to Military Equipment Group Finance Co., Ltd.
Chongqing Jianshe Industry Co., Ltd. – former State-owned Jianshe
Jianshe Industry Refers to
Machinery Factory, Jianshe Industry (Group) Co., Ltd.
Jianshe Group Refers to Jianshe Industrial (Group) Co., Ltd.
Jianshe Mechanical and Electric Refers to Chongqing Jianshe Mechanical and Electric Co., Ltd.
HANON,KOREA HANON Refers to Korea Hanon System Co., Ltd.
Chongqing Jianshe HANON Automobile Termal Management
Jianshe HANON Refers to
System Co., Ltd.
Changan Auto Refers to Chongqing Changan Automobile Co., Ltd.
Vehicle air conditioner Refers to Chognqing Jianshe Automobile Air-conditioner Co., Ltd.
Import & Export Co. Refers to Chongqing Northern Jianshe Import & Export Co., Ltd.
Shanghai Jianshe Refers to Shanghai Jianshe Motorcycle Co., Ltd.
Chongqing Jianya Refers to Chongqing Jianshe YAMAHA Motorcycle Co., Ltd.
Pingshan Taikai Refers to Chongqing Pingshan Taikai Carburetor Co., Ltd.
South Air International Refers to South Air International Co., Ltd.
Minsheng Logistics Refers to Chongqing Changan Minsheng APLL Logistics Co., Ltd.
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
II. Company Profile & Financial Highlights.
1.Company Profile
Stock ID Jianshe Vehicle B Stock Code 200054
Stock Exchange Listed in Shenzhen Stock Exchange
Company Name in Chinese 重庆建设汽车系统股份有限公司
Short form of Company Name
建车 B
in Chinese
Company Name in English Chongqing Jianshe Vehicle System Co., Ltd
Short form of Company Name
JSVS-B
in English
Legal representative: Yan Xuechuan
2. Contact person and contact manner
Secretary of the Board Representative of Stock Affairs
Name Zhang Hushan Li Wenling
No.1 Jianshe Road, Huaxi Industrial Zone, No.1 Jianshe Road, Huaxi Industrial Zone,
Address
Ba’nan District, Chongqing Ba’nan District, Chongqing
Tel. 023-66295333 023-66295333
Fax. 023-66295333 023-66295333
E-mail. cqjsmc@jianshe.com.cn cqjsmc@jianshe.com.cn
3.Other
(1)Way to contact the Company
Whether registrations address, offices address and codes as well as website and email of the Company changed in
reporting period or not
□ Applicable □√ Not Applicable
The registered address, office address and their postal codes, website address and email address of the Company
did not change during the reporting period. The said information can be found in the 2020 Annual Report.
（2）About information disclosure and where this report is placed
Did any change occur to information disclosure media and where this report is placed during the reporting period?
□ Applicable √ Not applicable
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
The newspapers designated by the Company for information disclosure, the website designated by CSRC for
disclosing this report and the location where this report is placed did not change during the reporting period. The
said information can be found in the 2020Annual Report.
4.Summary of Accounting data and Financial index
May the Company make retroactive adjustment or restatement of the accounting data of the previous years
□ Yes √ No
Reporting period Same period of last year YOY+/-（%）
Operating income（Yuan） 456,964,429.02 334,590,261.85 36.57%
Net profit attributable to the
shareholders of the listed company -7,897,586.77 -34,695,420.32 77.24%
（Yuan）
Net profit after deducting of
non-recurring gain/loss attributable to
-10,124,040.91 -34,498,131.49 70.65%
the shareholders of listed company
（Yuan）
Cash flow generated by business
21,754,020.41 73,121,893.98 -70.25%
operation, net（Yuan）
Basic earning per share(Yuan/Share) -0.0662 -0.2906 77.22%
Diluted gains per share(Yuan/Share) -0.0662 -0.2906 77.22%
Weighted average ROE(%) -4.66% -22.41% 17.75%
As at the end of the
As at the end of last year YOY+/-（%）
reporting period
Gross assets (Yuan) 1,162,184,646.39 1,186,697,453.77 -2.07%
Shareholders’ equity attributable to
shareholders of the listed company 165,691,086.29 173,588,673.06 -4.55%
（Yuan）
5. Differences between accounting data under domestic and overseas accounting standards
1. Differences of net profit and net assets disclosed in financial reports prepared under international and Chinese
accounting standards.
□ Applicable √Not applicable
No difference.
2. Differences of net profit and net assets disclosed in financial reports prepared under overseas and Chinese
accounting standards.
□ Applicable √Not applicable
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
No difference.
6.Items and amount of deducted non-current gains and losses
√ Applicable □ Not applicable
In RMB
Items Amount Notes
Non-current asset disposal gain/loss(including the write-off part for which assets
1,566,473.14
impairment provision is made)
Government subsidy recognized in current gain and loss(excluding those closely
461,493.97
related to the Company’s business and granted under the state’s policies)
Other non-business income and expenditures other than the above 198,487.03
Total 2,226,454.14 --
For the Company’s non-recurring gain/loss items as defined in the Explanatory Announcement No.1 on
information disclosure for Compaines Offering their Securities to the Public-Non-recurring Gains and Losses and
its non-recurring gain/loss items as illustrated in the Explanatory Announcement No.1 on information Disclosure
for Companies offering their securities to the public-non-recurring Gains and losses which have been defined as
recurring gains and losses, it is necessary to explain the reason.
□ Applicable √ Not applicable
None of Non-recurring gain /loss items recorgnized as recurring gain /loss/items as defined by the information
disclosure explanatory Announcement No.1- Non –recurring gain/loss in the report period.
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
III. Management Discussion & Analysis
Ⅰ.Main Business the Company is Engaged in During the Report Period
The company engages mainly in production and sales of the vehicle air compressor including the vane iron
and aluminous compressor, piston swash-plate fixed discharge rate compressor, piston swash-plate variable
discharge rate compressor and motor compressor (with the discharge rate from 32cc to 480cc), has been awarded
“China Famous Brand”, “High-quality Product of French Technological Quality Surveillance Evaluation
Commission” and “China Recommended Product for Entry into WTO”, etc. for products and has the strategical
cooperative partners including the leading production and sales volume in terms of finished automobile such as
PEUGEOT , Great Wall Motors ,Chanan Auto, Geely Auto and Dongfeng Nissan , etc.
In the first half of the year, the Company achieved sales of 1,107,500 units of automotive air-conditioning
compressors, a YOY increase of 29.56% and completed 57.7% of the annual plan. Among them, the domestic sales
achieved sales of 577,700 units, a YOY increase of 12.60%; the foreign trade achieved sales of 529,800 units, a
YOY increase of 55.03%. Due to the increase in the Company's product sales, the Company's business revenue was
increased by 36.57% YOY. Among them, the domestic market sales revenue was increased by 29.20% YOY, and
the foreign market sales revenue was increased by 49.84% YOY. During the reporting period, the operating income
of the Company's joint venture-Construction Hanon was increased by 265% YOY, and it turned into a profit,
resulting in a YOY loss decrease by 8.98 million yuan to the Company's investment income. The increase in the
Company's operating income and investment income during the reporting period was the main reason for the loss
reduction of 26.8 million yuan in the current period.
II. Analysis On core Competitiveness
R&D capability: The Company has the largest and most complete automotive air-conditioning compressor
experimental testing center in Southwest China, and it has imported more than 50 sets of advanced reliability testing,
system testing, performance testing, NVH experimental testing equipment and other equipment from abroad, which
is worth more than 50 million yuan. In recent years, 12 major Chongqing city new products have been approved,
and more than 20 scientific and technological awards above the provincial and ministerial level have been obtained
and more than 150 various types patents including 25 invention patents have been applied. The members with
senior titles of the Company’s R&D team accounts for 18%, and the Company has a “1+3+1” technology
innovation platform (National Postdoctoral Workstation + Chongqing Enterprise Technology Center, Chongqing
Automotive Thermal Management System Engineering Technology Research Center, Chongqing Automotive Air
Conditioner Compressor Key Laboratory + Innovation Center of Jiulongpo District Chongqing City), and it has
built industry-leading NVH testing and analysis capabilities, as well as formed an integrated trial-manufacturing
capability from CAD→CAE→CAM. The production cycle of new product prototype only takes about 7 days. .
Manufacturing capacity: it has domestic first-class high-precision parts manufacturing base, Chongqing
municipal digital workshop, with an annual output of 2.5 million compressors; It has more than 40 parts
machining production lines, more than 260 sets of high-precision and high-quality processing equipment, and 9
general assembly lines with equipment value of more than RMB 650 million, of which more than 80% of the
equipment is imported from Japan, the United States, Germany, Switzerland, South Korea and other countries;
With a machining and assembly accuracy of micron, MARPOSS is largely used for online inspection, and the
machining accuracy and assembly automation are at the leading level in China.
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Quality assurance ability: The company always adheres to the tenet of "quality first, customer foremost", and
is committed to carrying out quality work in all links of the company, and constantly improving product quality,
service quality and quality-price ratio. Passed the IATF 16949 certified by the international authoritative
certification organization DNV, the OHSAS18001 and ISO14001 management system certifications, and
introduced general QSB+ quality management system, Ford Q1 system, Changan QCA system and Nissan GK
on-site management concepts, and continued to improve quality assurance capabilities, and have been fully
recognized by major customers such as Changan Auto and Great Wall Motor.
Product pedigree: Based on the introduction of the world’s advanced technology, the Company actively carried
out independent innovation. After years of development, the product series and technical system have become more
and more complete. Five product platforms of "rotating vane iron/aluminum, piston fixed/variable, and electric
product" have been formed, covering displacements from 18CC to 480CC, which can fully meet customer needs.
III. Main business analysis
Refer to relevant contents of “1.Summarization” in “Discussion and Analysis of Management”.
Changes in the financial data
In RMB
This report period Same period last year YOY change（%） Cause change
Operating income 456,964,429.02 334,590,261.85 36.57% Sales increase
Operating cost 399,274,067.43 299,582,322.70 33.28% Sales increase
Sale expenses 10,384,056.14 8,737,461.10 18.85%
Administrative expenses 33,501,329.26 34,235,208.92 -2.14%
Financing structure
Financial expenses 13,677,232.04 11,099,827.93 23.22%
changes
Income tax expenses -1,279,343.82
Increase
R & D Investment 8,173,694.94 6,371,705.72 28.28% investment in
scientific research
Increase in cash
Cash flow generated by business
21,754,020.41 73,121,893.98 -70.25% payment for
operation, net
purchases
Net cash flow generated by Investment
-1,583,237.10 -996,035.66 -58.95%
investment increase
Net cash flow generated by Financing structure
-42,103,206.93 -60,462,986.84 30.37%
financing changes
Net increasing of cash and cash Increase in cash
-21,942,375.49 11,662,871.48 -288.14%
equivalents payment
Major changes in profit composition or sources during the report period
□ Applicable √ Not applicable
The profit composition or sources of the Company have remained largely unchanged during the report period.
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Component of Business Income
In RMB
This report period Same period last year
Increase /decrease
Amount Proportion Amount Proportion
Total operating
456,964,429.02 100% 334,590,261.85 100% 36.57%
revenue
On Industry
Industry 456,964,429.02 100.00% 334,590,261.85 100.00% 36.57%
On products
Vehicle air
390,966,742.63 85.56% 309,667,672.48 92.55% 47.57%
conditioner
Other 65,997,686.39 14.44% 24,922,589.37 7.45% 164.81%
On Area
Domestic 277,820,416.05 60.80% 215,031,264.03 64.27% 29.20%
Overseas 179,144,012.97 39.20% 119,558,997.82 35.73% 49.84%
Situation of Industry, Product and District Occupying the Company’s Business Income and Operating Profit with
Profit over 10%
√ Applicable □Not applicable
In RMB
Increase/decrease Increase/decrease Increase/decrease
of revenue in the of business cost of gross profit
Gross profit
Turnover Operation cost same period of over the same rate over the same
rate(%)
the previous period of period of the
year(%) previous year (%) previous year (%)
On Industry
Industry 456,964,429.02 399,274,067.43 12.62% 36.57% 33.28% 2.16%
On products
Vehicle air
390,966,742.63 345,492,549.39 11.63% 47.57% 18.91% 5.45%
conditioner
Other 65,997,686.39 53,781,518.04 18.51% 164.81% 494.82% -45.21%
On Area
Domestic 277,820,416.05 237,005,015.21 14.69% 29.20% 24.90% 2.94%
Overseas 179,144,012.97 162,269,052.22 9.42% 49.84% 47.75% 1.28%
Under circumstances of adjustment in reporting period for statistic scope of main business data, adjusted main
business based on latest on year’s scope of period-end.
□ Applicable √Not applicable
Explanation for a year-on –year change of over 30%
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
□ Applicable √ Not applicable
IV. Non-core business analysis
√ Applicable □Not applicable
In RMB
Ratio to the total profit
Amount Notes of the causes Recurring or not
amount (%)
The joint venture realized
Investment income 767,993.22 -8.37% Yes
net income
Provision for impairment of
Asset impairment 108,153.11 1.18% No
accounts receivable
Non-operating
198,658.55 -2.16% Write off payable No
income
Non-operating
171.52 0.00% No
expenses
V. Analysis of assets and liabilities
1.Significant changes in asset composition
In RMB
End of Reporting period End of same period of last year Reason for
Change in
As a percentage of As a percentage of significant
Amount Amount percentage(%)
total assets(%) total assets(%) change
Monetary fund 123,787,878.06 10.65% 159,343,241.47 13.43% -2.78%
Accounts
210,941,638.23 18.15% 221,386,452.90 18.66% -0.51%
receivable
Inventories 145,864,862.46 12.55% 169,145,986.78 14.25% -1.70%
Real estate
23,043,398.52 1.94% -1.94%
Investment
Long-term equity
186,981,712.23 16.09% 186,213,719.02 15.69% 0.40%
investment
Fixed assets 320,167,159.27 27.55% 310,131,438.69 26.13% 1.42%
Construction in
1,824,327.45 0.16% 1,871,241.59 0.16% 0.00%
process
Short-term loans 556,410,000.00 47.88% 553,910,000.00 46.68% 1.20%
Contract
2,584,147.93 0.22% 1,479,711.62 0.12% 0.10%
liabilities
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
2. Major overseas assets
□ Applicable √ Not applicable
3.Asset and Liabilities Measured by Fair Value
□ Applicable √ Not applicable
4. Restricted asset rights as of the end of this Reporting Period
The ending balance of monetary funds is RMB 66.42 million, which is the bank acceptance bill deposit and
time deposit, and is fund with restricted use.
VI. Analysis on investment Status
1. General
√ Applicable □ Not applicable
Investments made in the Reporting Period
Investments made in the prior year (RMB) Increase/Decrease(%)
（RMB）
2,591,304.00 1,937,621.00 33.74%
2.Condition of Acquiring Significant Share Right Investment during the Report Period
□ Applicable √ Not applicable
3.Situation of the Significant Non-equity Investment Undergoing in the Report Period
√ Applicable □ Not applicable
In RMB
Accrue
Reasons
d
Accrued for not
Realize
Industry Actual Reachin
Investment d
Investm Fixed involved Investment Capit g the
amount in Project Anticip Income Disclos
ent investme in Amount up al Planned Disclos
Project name this schedu ated up to ure
ure date
metho nts or investme to the End Sourc Schedul Index
reporting le income the End
d not nt of e e and
period of
projects Reporting Anticip
Reporti
Period ated
ng
Income
Period
Electric Self-bui Yes Automot 62,000.00 62,000.00 Self 0.79% 0.00 0.00 Not January See on
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
compressor lt ive air funds applica 19,2021 www.cn
moving and conditio ble info.co
static plate ner m.cn
production line compres Announ
construction sor cement
project industry No.
2021-00
1
Total -- -- -- 62,000.00 62,000.00 -- -- 0.00 0.00 -- -- --
4.Investment of Financial Asset
（1）Securities investment
□ Applicable √ Not applicable
There was no investment in securities by the Company in the Reporting period.
（2）Investment in Derivatives
□ Applicable √ Not applicable
The Company had no investment in derivatives in the reporting period.
VII. Sales of major assets and equity
1. Sales of major assets
□ Applicable √ Not applicable
The Company had no sales of major assets in the reporting period.
2.Sales of major equity
□ Applicable √ Not applicable
VIII. Analysis of the Main Share Holding Companies and Share Participating Companies
√ Applicable □ Not applicable
Situation of Main Subsidiaries and the Joint-stock Company with over 10% net profit influencing to the Company
In RMB
Company Registered Operating
Type Main business Total assets Net assets Turnover Net Profit
name capital profit
Air Manufacturing and
Subsidiaries sales of auto 160,00 100,814.76 25,991.91 40,849.67 88.46 198.88
Conditioner air-conditioners
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Co.
Production and sales
Pingshan
of motorcycles and 8,355 9,825.78 7,792.32 2,853.86 66.32 66.3
Taikai Subsidiaries
parts
Production and sales
Jianshe Shareholding of Automobile
420,00 53,679.72 36,931.07 15,288.96 94.83 153.6
HANON company Thermal Energy
Management system
Acquirement and disposal of subsidiaries in the Reporting period
□ Applicable √ Not applicable
IX．Structured vehicle controlled by the Company
□ Applicable √ Not applicable
X. Risks facing the Company and countermeasures
Problems or risks faced: The automotive air-conditioning compressor industry is facing the dilemma of high
technical thresholds, large investment, and multiple technical routes for the new four transformations; the rapid
iteration of compressor products, rising raw material prices, tightening of payment terms from OEMs, and supply
chain security factors such as those pose a certain risk to the Company, and the industry competition has intensified,
as well as the development pressure has increased.
Measures taken: First, focus on promoting the optimization and adjustment of the industrial structure to promote
the transformation and upgrading of the Company. Build a new energy vehicle thermal management industry
platform to make the best use of resources. Actively deploy heat pump air-conditioning systems, stabilize the sales
scale of fixed-displacement compressors, accelerate breakthroughs in electric compressor products, technologies
and markets, strengthen the market expansion of variable-displacement compressors, and achieve economies of
scale. The second is focusing on the innovation of key core technologies and promote the upgrading of industrial
technology. Deepen the technical research of fixed-displacement compressor products, continue to tap into the
technical potential of fixed-displacement compressors, and accelerate technological upgrading. Speed up the
research and development of electric compressor product technology, master the key technology of electric
compressor, realize the mainstream coverage of product series, and lead the product performance independently.
Carry out research on the new energy vehicle thermal management system industry, accelerate breakthroughs in
system matching and heat pump technology, and transform and upgrade to a new energy vehicle thermal
management system. Strengthen the five major capacity building of experimental design, experimental testing,
experimental analysis, and basic ability improvement, and greatly enhance the comprehensive strength of
experimental trial production. The third is focusing on implementing the "2+2+4" economic operation quality
improvement action to improve the operation quality. Implement dual control over the debt-to-asset ratio and the
scale of interest-bearing liabilities, deepen budget control over capital revenue and expenditure, speed up the
disposal of idle assets, and take multiple measures to reduce the debt-to-asset ratio. Vigorously carry out the cost
management of product whole value chain, expenses control, and management and quality improvement, and
achieve a 3% reduction in procurement costs, a 10% reduction in management costs, and a 3% reduction in
manufacturing costs in 2021. Carry out the special control of the two items of receivables and inventories, focus on
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
the abnormal receivables and inventories, improve the long-term mechanism of the receivables and inventories
control, and ensure that the receivables and inventories indicators are greatly improved on the basis of 2020.
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
IV. Corporate Governance
I. Annual General Meeting and Provisional Shareholders’ Meetings in the Reporting Period
1.Annual General Meeting
Investor
Meeting Type participation Convened date Disclosure date Index to disclosed information
ratio
First Provisional Provisional For details please find the Resolutions of
Shareholders’ Shareholder first provisional Shareholders’ Meeting
74.45% February 3,2021 February 4,2021
general meeting of s’ general of 2021, Announcement 2021-009
2021 meeting http://www.cninfo.com.cn
For details please find the Resolutions of
Annual
Annual General Shareholders’ Meeting of 2020,
General 74.49% May 28,2021 May 29,2021
Meeting of 2020 Announcement 2021-040
Meeting
http://www.cninfo.com.cn
2. Preferred shareholders with the restoration of voting rights made a request for the Special Meeting of
Shareholders
□ Applicable √ Not applicable
II. Change in shares held by directors, supervisors and senior executives
√ Applicable □Not applicable
Name Positions Types Date Reason
Deputy General
Fan Aijun Dismiss January 18,2021 Job change
Manager
Fan Aijun General Manager Appointed January 18,2021 Hired as general manager
Fan Aijun Director Elected February 3,2021 Be elected as a director
Zhang Di Director Leave office April 28,2021 Job change
Shi Qingong Director Elected May 28,2021 Be elected as a director
Employee
Rao Song Appointed March 3,2021 Job change
Supervisor
Employee The Company's employee delegation leader
Liao Jian Elected March 3,2021
Supervisor meeting was elected as employee supervisor
III. Pre-plan for profit allocation and turning capital reserve into share capital for the reporting period
□ Applicable √ Not applicable
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
The Company planned not to distribute cash dividend and bonus share, and not to convert capital reserves into
share capital in half year.
IV. Implementation of any equity incentive plan, employee stock ownership plan or other incentive
measures for employees
□ Applicable √ Not applicable
The Company has no equity incentive plan, employee stock ownership plans or other employee incentives in
Period.
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
V. Environmental & Social Responsibility
I. Significant environmental issues
Whether the Company or any of its subsidiaries is identified as a key polluter by the environment authorities
□ Yes √ No
Administrative penalties for environmental problems during the reporting period
Impact on the
Company's
Name of company or Reasons for production and
Violation situation Penalty result rectification
subsidiary punishment operation of listed
measures
companies
Chongqing Jianshe
No violations and
Vehicle System Co., Not applicable Not applicable Not applicable Not applicable
penalties
Ltd.
Chongqing Jianshe
Automobile No violations and
Not applicable Not applicable Not applicable Not applicable
Air-conditioner Co., penalties
Ltd.
Refer to other environmental information disclosed by key pollutants
Main Emission Impleme
Excessiv
Company or pollutant Emission port Emission nted
Emission Total emission Verified total e
subsidiary and specific port distributio concentration pollutant
way emission(Tons) emission
name pollutant number n emission
condition
name condition standards
Vehicle air Main 1 Total COD：152mg/L Simplified Simplified No
conditioner pollutants of wastewate petroleum：1.33mg/L management of management of
Indirect
wastewater: r discharge ammonia nitrogen： pollutant pollutant
discharge: it
COD, outlet 27.4mg/L discharge permits, discharge permits,
is
ammonia no total amount no total amount
discharged total phosphorus：
nitrogen, Grade III required required
into 2.48mg/L
total Standard
Zhongliangs PH：7.51-7.56
phosphorus, of the
han sewage total zinc：0.01mg/L
PH Integrate
treatment
particular d
plant after
pollutants: Wastewat
reaching the
total zinc er
Grade III
Main Discharg
standard of
pollutants of e
the
wastewater: Standard
Integrated
COD,
Wastewater
ammonia
Discharge
nitrogen,
Standard
total
phosphorus,
19
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
PH
particular
pollutants:
Petroleum
category
6 Outlet of Nitrogen oxide： Simplified Simplified No
phosphatin 20mg/m3 management of management of
g particulate matter： pollutant pollutant
production 12.1mg/m3 discharge permits, discharge permits,
line 1, hydrogen chlorid： no total amount no total amount
outlet of 36.8mg/m3 required required
Limit
Waste gas: phosphatin
xylene：0.118mg/m3 value of
Main Direct g
main
pollutants: emission: production
urban
nitrogen The line 2,
area of
oxides, treatment outlet of
the
particulate meets the tin plating
Integrate
matter; Integrated production
d
characteristi Emission line,
Emission
c pollutants: Standard of surface
Standard
hydrogen Air treatment
of Air
chloride, Pollutants line, outlet
Pollutant
xylene of shot
s
peening
workshop
and outlet
of PTFE
production
line
Vehicle air Main Indirect 1 Total COD：148mg/L Simplified Simplified No
conditioner pollutants of discharge: it wastewate petroleum：1.94mg/L management of management of
wastewater: is r discharge ammonia nitrogen： Grade III pollutant pollutant
COD, discharged outlet Standard discharge permits, discharge permits,
9.66mg/L
ammonia into of the no total amount no total amount
total phosphorus：
nitrogen, Zhongliangs Integrate required required
7.25mg/L
total han sewage d
PH：7.6-7.89
phosphorus, treatment Wastewat
PH plant after er
particular reaching the Discharg
pollutants: Grade III e
Petroleum standard of Standard
category the
Integrated
20
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Wastewater
Discharge
Standard
Waste gas: 1 Exhaust Nitrogen oxide： Limit Simplified Simplified No
Main gas 56mg/m3 value of management of management of
Direct
pollutants: outlet particulate matter： main pollutant pollutant
emission:
sO 2， ofmeltin 6.5mg/m3 urban discharge permits, discharge permits,
The
nitrogen g furnace sO 2：20mg/m3 area of no total amount no total amount
treatment
oxides, the required required
meets the
particulate Integrate
Integrated
matter; d
Emission
characteristi Emission
Standard of
c Standard
Air
pollutants:N of Air
Pollutants
one Pollutant
s
Prevention and control of pollution facilities construction and operation
Wastewater: The Company and its subsidiary vehicle air-conditioning company have respectively built a
wastewater treatment station. The wastewater station is operating steadily, equipment maintenance is carried out
regularly, and the treatment effect is good, and the discharge of pollutants from the total discharge outlet of the
wastewater has continued and steadily reached the standard.
Exhaust gas: the acid mist produced by phosphating, tinning and surface treatment is absorbed by the spray tower to
reach the standard. The exhaust gas at the outlet of the shot blasting workshop is washed and filtered with the
particle absorption device to reach the standard. The exhaust gas of the PTFE production line is equipped with
activated carbon adsorption + light Catalytic oxidation treatment to reach the standard. The melting furnace uses the
clean energy-natural gas, which reaches the standard at directly discharge. The pollution control facilities are
operating well and the operation records are complete.
Conditions of environmental impact assessment and other environmental protection administrative licensing of
construction projects
Three synchronizations for construction projects shall be conducted as required to obtain acceptance approval, and
pollution discharge permits shall be applied in accordance with regulations.
Emergency plan for emergency environmental incidents
In order to establish a sound emergency response mechanism for environmental pollution incidents, improve the
Company’s ability to respond to sudden environmental pollution incidents involving public crises, prevent
environmental emergencies from polluting the public environment (atmosphere and water), maintain social stability,
protect the life, health and property safety of enterprises and the surrounding public, protect the environment, and to
promote the comprehensive, coordinated and sustainable development of society, the Company and its
wholly-owned subsidiary vehicle air-conditioning company have prepared the "Emergency Plan for Emergent
Environmental Incidents", which has been reviewed and approved by experts and thus it’s been implemented.
Environmental self-monitoring program
21
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
The environmental protection administrative department does not require the Company to conduct self-monitoring.
The Company entrusts qualified Chongqing Yujiu Environmental Protection Industry Co., Ltd to monitor the waste
water, organized exhaust gas, unorganized exhaust gas and noise discharged by the Company and its wholly-owned
subsidiary vehicle air-conditioning company every year.
According to the monitoring results by the "Monitoring Report" (No. WT425-[2021]Yujiu (Supervised)) issued on
April 7, 2021and the "Monitoring Report" (No. WT426-[2021] Yujiu (Supervised)) issued on March 30, 2021, the
waste water, organized waste gas, unorganized waste gas and noise produced by the Company and its wholly-owned
subsidiary vehicle air-conditioning company met the relevant emission standards.
Administrative penalties for environmental problems during the reporting period
None.
Other environmental information that should be disclosed
For environmental disclosure information, please refer to the Company's extranet http://www.jianshe.com.cn.
Reasons for not disclosing other environmental information
Not applicable
II. Social responsibilities
In the first half of the year, the Company actively participated in poverty alleviation activities by consumption of
unsalable agricultural and sideline products in Yanshan County, Yunnan, and purchased 21,600 yuan of unsalable
agricultural and sideline products. It actively promoted the employment and poverty alleviation work, participated
in national school recruitment activities organized by the Military Equipment Group and Zhilian Recruitment
Platform, participated in 4 on-site and online double selection meetings, received more than 200 resumes,
interviewed more than 30 people through WeChat video and other methods, and admitted 4 people. The Company
successfully passed the evaluation and audit conducted by SGS-CSTC Standard Technical Service Co., Ltd for the
Company's social responsibility system.
22
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
VI. Important Events
I. The fulfilled commitments in the reporting period and under-fulfillment commitments by the end of the
reporting period made by the company, shareholder, actual controller, acquirer, director, supervisor,
senior management personnel and other related parities.
□ Applicable √Not applicable
There is no commitment that has not been fulfilled by actual controller, shareholders, related parties, acquirers of
the Company
II. Particulars about the non-operating occupation of funds by the controlling shareholder
□ Applicable √ Not applicable
No non-operational fund occupation from controlling shareholders and its related party in period
III. Illegal provision of guarantees for external parties
□ Applicable √ Not applicable
No such cases in the reporting period.
IV. Engagement and disengagement of CPAs firm
Whether the semi-annual financial report has been audited
□ Yes √ No
The semi-annual financial report of the Company has not been audited
V. Notes for “non-standard audit report” of CPAs firm during the Reporting Period by board of directors
and supervisory board
□ Applicable √ Not applicable
VI. Notes for the related information of “non-standard audit reports” last year by board of directors
□ Applicable √ Not applicable
VII. Bankruptcy and restructuring
□ Applicable √ Not applicable
No such cases in the reporting period.
23
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
VIII. Litigations and arbitrations
Significant lawsuits or arbitrations
√ Applicable □Not applicable
Involved Index to
General Decisions and Execution of Disclosure
amount (Ten Provision Progress disclosed
information effects decisions date
thousand) information
Chongqing
HYOSOW have
failed to pay
Vehicle Air
Conditioning
Company, a
full-owned
subsidiary of the
Company for the
air conditioner See details
compressors. The in the
Vehicle Air company’s
Conditioning announcem
Company filed a ent
lawsuit with In 2020, 947 published
Chongqing Yubei compressors had on
District People's been securities
Court in November The Company has implemented to times,
The trial August
2018, who held a 1,232.5 No fully accrued bad return, yet the Hongkong
ends 16.2019
hearing on July 11, debts in 2018. case is still Commercial
2019. The being daily and
Company received implemented. http//www.c
the "Civil ninfo.com.c
Judgment of n
Chongqing Yubei (Announce
District People's ment
Court" on August No.:2019-0
6, 2019 ((2018) 70)
Y0112 MC, No.
24010), where the
"General Rules for
Purchase of Parts
and Materials"
signed by the
Company and
Chongqing
HYOSOW was
24
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
cancelled.
Chongqing
HYOSOW
returned 4,017 sets
of goods to the
Vehicle Air
Conditioning
Company, and paid
12,325,044.85
yuan and loss of
capital occupation.
The Company’s
wholly-owned
subsidiary
Automotive Air
Conditioning
Company sued Ran
Ping, Luo
Fangqing, Zhang
Ye, Changzhou
Kang Purui
Automotive Air
Conditioning Co.,
Ltd, Chongqing Suzhou
Yuxian Sanji Auto Intermediate
www.cninfo
Parts Co., Ltd, and People's
The trial will be .com.cn.An
Chongqing Court
100 No held on April 8, Not judged April 28,2020 nouncement
Dongdian Minchu
2021. No.:2020-0
Refrigeration No.305
24
Equipment in the (2021) Su
Fifth Intermediate 05
People’s Court of
Chongqing
Municipality over
the case of
infringement of
technical secrets,
which had been
transferred to the
jurisdiction of the
Suzhou
Intermediate
People's Court.
25
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
The Company’s
wholly-owned
subsidiary-
Automotive Air
Conditioning
Company-sued in
the People’s Court
of Xiangyang
High-tech Zone for
a dispute over the
sale and purchase
contract,
demanding that
Hubei Meiyang In March 021, it
Automobile applied for
www.cninfo
Industry Co., Ltd Min Chu The Company has compulsory
.com.cn.An
pay 1,408,800 No. fully accrued bad execution, but
154.32 No April 30,2021 nouncement
yuan in arrears and 3234-(2019) debts of 1.4088 no property has
No.:2021-0
return 260 E 0691 million in 2020 been executed
17
compressors. yet.
According to the
civil judgment of
the Min Chu No.
3234-(2019) E
0691 on November
19, 2020, the
defendant shall pay
the
air-conditioning
company
1,408,800 yuan for
goods and interest
losses, and return
260 compressors.
Hafei Automobile Hafei In May 2020, it See details
Co., Ltd. Automobile received the in the
(hereinafter Co., Ltd. judgment of company’s
referred to as: failed to termination of announcem
The Company has
Hafei Automobile) make the execution (Black November ent
400 No fully accrued bad
have failed to pay payment on No.0108247 16,2018 published
debts in 2018.
3,999,944.43 yuan schedule. In (2019)), and no on
for air conditioning December property was securities
compressors of 2018, the executed，The times,
Vehicle Air Vehicle Air case has been Hongkong
26
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Conditioning Conditioner closed. Commercial
Company, a applied to daily and
full-owned the court for http//www.c
subsidiary of the compulsory ninfo.com.c
Company. The enforcement n
Vehicle Air . and no (Announce
Conditioning property ment
Company filed a was No.:2018-0
lawsuit with executed， 65 and
Harbin Pingfang The case 2019-070)
District People's has been
Court in August closed.
2018. On October
24, 2018, the
Harbin Pingfang
District People's
Court mediated
and issued a “Civil
Mediation
Document” [(2018)
H0108MC, No.
1416], agreeing to
pay the arrears of
3,999,944.43 yuan
in installments
from October 2018
to February 2019.
However, Hafei
Automobile Co.,
Ltd. did not pay on
schedule. In
December 2018,
the
Air-conditioning
Company applied
to the Harbin
Pingfang District
People's Court,
Heilongjiang
Province for
compulsory
enforcement. and
no property was
executed，The case
27
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
has been closed.
Min Chu
No. 4664
The Company -(2020) Yu
sued in the Ba’nan 0113
District People’s Judgment,
Court of Min Chu
Chongqing City for No. 4665-
a dispute over a (2020) Yu
lease contract and 0113 The application
required the lessee Judgment, for enforcement
Chongqing Min Chu was applied in www.cninfo
The Company has
Construction Lijue No. 4684 September 2020, .com.cn.An
fully accrued bad
Industrial Co., Ltd 139.87 No -(2020) Yu and no property April 30,2021 nouncement
debts of 1.4789
to pay a lease fee 0113 has been No.:2021-0
million in 2020.
with 5 cases Judgment, executed yet. 17
totaling 1,398,700 Min Chu The case has
yuan. According to No. 4685 been closed.
the court’s -(2020) Yu
judgment 0113
(mediation) in June Judgment,
2020, the Min Chu
defendant shall pay No. 4686
981,800 yuan. -(2020) Yu
0113
Judgment
Other litigation matters
□ Applicable √ Not applicable
IX. Punishments and rectifications
□ Applicable √ Not applicable
No such cases in the Reporting Period.
X. Credit conditions of the Company as well as its controlling shareholder and actual controller
□ Applicable √ Not applicable
28
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
XI. Material related transactions
1. Related transactions in connection with daily operation
√ Applicable □Not applicable
Whether
Trading
Principl over the
Amount limit Market Index
Subjects e of
of approve price of of
of the pricing Ratio in approve Date of
Related Relation Type of Price of trade(Te Way of similar inform
related the similar d disclosu
parties ship trade trade n payment trade ation
transacti related trades d (Ten re
thousan availabl disclos
ons transacti limited
d) e ure
ons thousan
or not
d yuan)
(Y/N)
http//w
ww.cni
nfo.co
Jianshe Controll
Purchas Fair m.cn.
Mechani ing Spare January
e of Market 0 0 0.00% 350 No Cash 0 Annou
cal and sharehol parts 19,2021
goods Price nceme
Electric der
nt
No.:20
21-030
http//w
ww.cni
nfo.co
Purchas
Under Fair m.cn.
Jianshe e the January
same Energy Market 88 88 17.48% 200 No Cash 88 Annou
Industry raw 19,2021
control Price nceme
material
nt
No.:20
21030
http//w
ww.cni
nfo.co
Under Fair m.cn.
Jianshe January
same Services Test fee Market 34 34 59.53% 100 No Cash 34 Annou
Industry 19,2021
control Price nceme
nt
No.:20
21030
China http//w
Under Accept Fair Bill+Ca January
Changa Services 48 48 10.03% 250 No 48 ww.cni
same mainten Market sh 19,2021
n nfo.co
29
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Automo control ance Price m.cn.
bile Annou
Group nceme
Co., nt
Ltd. No.:20
And its 21030
affiliate
d
Enterpri
ses
Southwe
st
Ordnanc http//w
e ww.cni
Chongqi nfo.co
ng Under Fair m.cn.
January
Institute same Services Services Market 78 78 85.20% 240 No Cash 78 Annou
19,2021
of control Price nceme
Environ nt
mental No.:20
Protecti 21030
on Co.,
Ltd.
Minshen http//w
g Joint ww.cni
Logistri venture nfo.co
cs of Fair m.cn.
January
And its controlli Services Services Market 182 182 18.13% 100 Yes Cash 182 Annou
19,2021
affiliate ng Price nceme
d sharehol nt
Enterpri der No.:20
ses 21030
Changa
n http//w
Automo ww.cni
Sale of
bile nfo.co
finished
Group Under Fair m.cn.
Sales of parts Bill+Ca January
Co., same Market 10140 10,140 22.61% 19,000 No 10140 Annou
goods and sh 19,2021
Ltd. control Price nceme
compon
And its nt
ents
affiliate No.:20
d 21030
Enterpri
30
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
ses
http//w
ww.cni
nfo.co
Jianshe
Under Rental Fair m.cn.
Mechani Sales of January
same warehou Market 0 0 0.00% 350 No Cash 0 Annou
cal and goods 19,2021
control se Price nceme
Electric
nt
No.:20
21030
http//w
Joint ww.cni
Jianshe venture nfo.co
Yamaha of Spare Fair m.cn.
Sales of January
Motorcy controlli parts Market 660 660 1.47% 1,100 No Cash 660 Annou
goods 19,2021
cle Co., ng sales Price nceme
Ltd. sharehol nt
der No.:20
21030
http//w
Joint ww.cni
South venture nfo.co
Air of Spare Fair m.cn.
Sales of January
Internati controlli parts Market 0 0 0.00% 50 No Cash 0 Annou
goods 19,2021
onal ng sales Price nceme
sharehol nt
der No.:20
21030
http//w
ww.cni
nfo.co
Jianshe Spare Fair m.cn.
Joint Sales of January
HANO part Market 235 235 0.52% 600 No Cash 235 Annou
venture goods 19,2021
N sales Price nceme
nt
No.:20
21030
Jianshe Fair
Joint Sales of
HANO Energy Market 408 408 85.23% 0 Yes Cash 408
venture goods
N Price
Jianshe Under Sales of Fair January http//w
Energy 20 20 4.26% 50 No Cash 20
Industry same goods Market 19,2021 ww.cni
31
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
control Price nfo.co
m.cn.
Annou
nceme
nt
No.:20
21030
http//w
Joint ww.cni
Jianshe venture nfo.co
Yamaha of Fair m.cn.
January
Motorcy controlli Services Test Market 0 0 0.00% 10 No Cash 0 Annou
19,2021
cle Co., ng Price nceme
Ltd. sharehol nt
der No.:20
21030
Total -- -- 11,893 -- 22,400 -- -- -- -- --
Details of any sales return of a large
None
amount
The estimated total amount of "purchasing raw materials from related parties" is RMB 5.5
Give the actual situation in the report
million, and the actual amount incurred is RMB 880，000.
period where a forecast had been
The estimated total amount of "selling products and commodities to related parties" is RMB
made for the total amounts of routine
211.5 million, and the actual amount incurred is RMB 114.63 million.
related-party transactions by type to
The estimated total amount of "accepting labor services provided by related parties" is RMB
occur in the current period(if any)
7 million, and the actual amount incurred is RMB 3.42 million.
Reason for any significant difference
between the transaction price and the Not applicable
market reference price (if applicable)
2. Related-party transactions arising from asset acquisition or sold
□Applicable √ Not applicable
No such cases in the reporting period.
3. Related-party transitions with joint investments
□Applicable √ Not applicable
No such cases in the reporting period.
4. Credits and liabilities with related parties
√ Applicable □ Not applicable
32
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Does there exist non-operating current associated rights of credit and liabilities
□ Yes √No
No such cases in the reporting period.
5. Transactions with related finance company, especially one that is controlled by the Company
√ Applicable □ Not applicable
Deposit business
Related party Relationship Maximum daily Deposit interest Beginning The amount Ending
Deposit rate range balance(Ten incurred(Ten balance(Ten
Limit(Ten thousand yuan) thousand yuan) thousand yuan)
thousand yuan)
Military Finance Under same
30,000.00 0.45%-1.95% 7,529.99 838.47 8,368.46
Company control
Loan business
Related party Relationship Beginning The amount Ending
Loan limit(Ten Loant interest rate
balance(Ten incurred(Ten balance(Ten
thousand yuan) range
thousand yuan) thousand yuan) thousand yuan)
Military Finance Under same
25,000.00 3.92%-4.35% 17,041.00 5,000.00 22,041.00
Company control
Credit extension or other financial services
Related party Relationship Business type Total amount(Ten Actual amount
thousand yuan) incurred(Ten thousand
yuan)
Military Finance
Under same control Credit 25,000.00 12,000.00
Company
6. Other significant related-party transactions
□Applicable √ Not applicable
No such cases in the reporting period.
XII. Significant contracts and execution
1.Entrustments, contracting and leasing
（1）Entrustment
□Applicable √ Not applicable
No such cases in the reporting period.
33
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
（2）Contracting
□Applicable √ Not applicable
No such cases in the reporting period.
（3）Leasing
□Applicable √ Not applicable
No such cases in the reporting period.
2.Significant Guarantees
√ Applicable □ Not applicable
In RMB
Guarantee of the Company for the controlling subsidiaries (Exclude controlled subsidiaries)
Guarante
Relevant e
Date of
disclosure Counter Complete for
Name of happening Actual
date/No. of Amount of Guarantee Guaranty -guarant Guarantee implemen associate
the (Date of mount of
the Guarantee type （If any） ee（If term tation d
Company signing guarantee
guaranteed any） or not parties
agreement)
amount (Yes or
no)
Total of external guarantee approved in the report Total of external guarantee actually
0 0
term (A1) occurred in the report term (A2)
Total of external guarantee approved as of end of Total of external guarantee actually
0 0
report term (A3) occurred as of end of report term (A4)
Guarantee of the company for its subsidiaries
Guarante
Relevant Date of e
disclosure happening Complete for
Name of Actual Guarant Counter-gu
date/No. of Amount of (Date of Guarantee Guarantee implemen associate
the mount of y（If arantee（If
the Guarantee signing type term tation d
Company guarantee any） any）
guaranteed agreement or not parties
amount ) (Yes or
no)
Vehicle air April Joint 12
May 22,2020 2,500 2,500 Yes No
conditioner 13,2020 liabilities months
Vehicle air April Joint 12
May 22,2020 1,000 1,000 Yes No
conditioner 20,2020 liabilities months
Vehicle air January Joint 12
May 22,2020 1,771 1,771 Yes No
conditioner 17,2020 liabilities months
34
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Vehicle air April Joint 12
May 22,2020 2,501 2,501 Yes No
conditioner 28,2020 liabilities months
Vehicle air July Joint
May 22,2020 1,751.4 1,751.4 6 months Yes No
conditioner 31,2020 liabilities
Vehicle air February Joint 12
May 22,2020 5,000 5,000 Yes No
conditioner 28,2020 liabilities months
Vehicle air September Joint
May 22,2020 3,248 3,248 6 months Yes No
conditioner 23,2020 liabilities
Vehicle air October Joint
May 22,2020 2,000 2,000 6 months Yes No
conditioner 16,2020 liabilities
Vehicle air November Joint
May 22,2020 2,000 2,000 7 months Yes No
conditioner 3,2020 liabilities
Vehicle air October Joint
May 22,2020 3,450 3,450 7 months Yes No
conditioner 12,2020 liabilities
Vehicle air October Joint
May 22,2020 2,000 2,000 7 Months Yes No
conditioner 15,2020 liabilities
Vehicle air October Joint
May 22,2020 2,549 2,549 7moths Yes No
conditioner 19,2020 liabilities
Vehicle air June Joint 12
May 22,2020 3,000 3,000 Yes No
conditioner 19,2020 liabilities months
Vehicle air February January Joint
1,750 1,750 6 months No No
conditioner 3,2021 11,2021 liabilities
Vehicle air July Joint 12
May 22,2020 3,000 3,000 No No
conditioner 29,2020 liabilities months
Vehicle air August Joint 12
May 22,2020 3,000 3,000 No No
conditioner 11,2020 liabilities months
Vehicle air August Joint 12
May 22,2020 1,000 1,000 No No
conditioner 27,2020 liabilities months
Vehicle air December Joint 12
May 22,2020 5,579 5,579 No No
conditioner 4,2020 liabilities months
Vehicle air February January Joint 12
1,750 1,750 No No
conditioner 3,2021 11,2021 liabilities months
Vehicle air February January Joint 12
1,771 1,771 No No
conditioner 3,2021 15,2021 liabilities months
Vehicle air February January Joint 12
2,501 2,501 No No
conditioner 3,2021 25,2021 liabilities months
Vehicle air February March Joint 12
5,000 5,000 No No
conditioner 3,2021 5,2021 liabilities months
35
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Vehicle air February March Joint
3,248 3,248 6 months No No
conditioner 3,2021 18,2021 liabilities
Vehicle air February April Joint
2,000 2,000 6 months No No
conditioner 3,2021 22,2021 liabilities
Vehicle air February April Joint 12
2,000 2,000 No No
conditioner 3,2021 9,2021 liabilities months
Vehicle air February April Joint 12
2,549 2,549 No No
conditioner 3,2021 23,2021 liabilities months
Vehicle air February May Joint 12
3,450 3,450 No No
conditioner 3,2021 13,2021 liabilities months
Vehicle air February June Joint 12
2,000 2,000 No No
conditioner 3,2021 11,2021 liabilities months
Total amount of approving guarantee for Total amount of actual occurred guarantee for
61,000 28,019
subsidiaries in report period（B1） subsidiaries in report period（B2）
Total amount of approved guarantee for subsidiaries Total amount of actual occurred guarantee for
61,000 40,598
at the end of reporting period（B3） subsidiaries at the end of reporting period（B4）
Guarantee of the subsidiaries for its subsidiaries
Guarante
Relevant e
Date of
disclosure Counter Complete for
Name of happening Actual
date/No. of Amount of Guarantee Guaranty -guarant Guarantee implemen associate
the (Date of mount of
the Guarantee type （If any） ee（If term tation d
Company signing guarantee
guaranteed any） or not parties
agreement)
amount (Yes or
no)
Total of Company’s guarantee（namely total of the large three aforementioned）
Total of actual guarantee in the Period
Total of guarantee in the Period（A1+B1+C1） 61,000 28,019
（A2+B2+C2）
Total of actual guarantee at Period-end
Total of guarantee at Period-end（A3+B3+C3） 61,000 40,598
A4+B4+C4）
The Company’s total guarantee(i.e.total of the first three main
245.02%
items)（A4+B4+C4）
Including：
Amount of guarantee for shareholders, actual controller and its
0
associated parties（D）
The debts guarantee amount provided for the
Guaranteed parties whose assets-liability ratio exceed 40,598
70% directly or indirectly（E）
36
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Proportion of total amount of guarantee in net assets of the
32,313
company exceed 50%（F）
Total guarantee Amount of the abovementioned guarantees
40,598
（D+E+F）
Description of the guarantee with complex method
3. Finance management on commission
□Applicable √ Not applicable
No such cases in the reporting period.
4.Major contracts for daily operations
□ Applicable √ Not applicable
5. Other significant contract
□ Applicable √ Not applicable
No such cases in the reporting period.
XIII. Explanation on other significant events
□Applicable √ Not applicable
No such cases in the reporting period.
XIV. Significant event of subsidiary of the Company
□Applicable √ Not applicable
37
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
VI. Change of share capital and shareholding of Principal Shareholders
I. Changes in share capital
1. Changes in share capital
In shares
Before the change Increase/decrease（+，-） After the Change
Amount Proportion Capitalizatio
Share Bonus n of Subtot Proport
Other Quantity
allotment shares common al ion
reserve fund
I. Unlisted shares 89,375,000 74.87% 0 0 0 0 0 89,375,000 74.87%
1. Founder's stock 89,375,000 74.87% 0 0 0 0 0 89,375,000 74.87%
Including: State-owned shares 84,906,250 71.13% 0 0 0 0 0 84,906,250 71.13%
Shares held by domestic legal
1,750,000 1.47% 0 0 0 0 0 1,750,000 1.47%
persons
Share held by foreign investors 0 0.00% 0 0 0 0 0 0 0.00%
Other 2,718,750 2.28% 0 0 0 0 0 2,718,750 2.28%
2. Raising legal person shares 0 0.00% 0 0 0 0 0 0 0.00%
3. Internal staff shares 0 0.00% 0 0 0 0 0 0 0.00%
4. Preferred stock or other 0 0.00% 0 0 0 0 0 0 0.00%
II Listed shares 30,000,000 25.13% 0 0 0 0 0 30,000,000 25.13%
1. Common shares in RMB 0 0.00% 0 0 0 0 0 0 0.00%
2. Foreign shares in domestic
30,000,000 25.13% 0 0 0 0 0 30,000,000 25.13%
market
3. Foreign shares in overseas
0 0.00% 0 0 0 0 0 0 0.00%
market
4. Others 0 0.00% 0 0 0 0 0 0 0.00%
100.00
III. Total of capital shares 119,375,000 100.00% 0 0 0 0 0 119,375,000
%
Reasons for share changed
□Applicable √Not applicable
Approval of Change of Shares
□Applicable √Not applicable
Ownership transfer of share changes
□Applicable √Not applicable
Influence on the basic EPS and diluted EPS as well as other financial indexes of net assets per share attributable to
common shareholders of Company in latest year and period
□Applicable √Not applicable
Other information necessary to disclose for the company or need to disclosed under requirement from security
38
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
regulators
□Applicable √Not applicable
Progress on any share repurchase:
□ Applicable √ Not applicable
Progress on reducing the repurchased shares by means of centralized bidding:
□ Applicable √ Not applicable
Influence on the basic EPS and diluted EPS as well as other financial indexes of net assets per share attributable to
common shareholders of Company in latest year and period
□ Applicable √ Not applicable
Other information necessary to disclose for the company or need to disclosed under requirement from security
regulators
□ Applicable √Not applicable
2. Self-defined Chapter
When the company was founded in 1995, North China Industrial Shenzhen Co., Ltd., one of the founders,
held 17,875,000 shares of the company, accounting for 3.74% of the company's total share capital. According to
the Civil Order of the Shenzhen Intermediate People’s Court of Guangdong Province- [2006] Shenzhong Famin
Two Bankruptcy Zi No. 21-4) on March 6th, 2007, it’s ruled that the proprietary rights of the 3.74% stake
(17,875,000 legal person shares) of the company held by North China Industrial Shenzhen Co., Ltd. belongs to the
buyers Gu Zuocheng, Yangpu Xinyufeng Investment Co., Ltd. and Feng Yonghui. Thereinto, Gu Zuocheng held
8,875,000 shares; Yangpu Xinyufeng Investment Co., Ltd. held 7,000,000 shares; Feng Yonghui held 20,000
million shares.
On September 12, 2013, the company implemented a 4:1 share-shrunk. After the share-shrunk, Gu
Zuocheng held 2,218,750 shares; Anhui Hengsheng Economic Development Group Co., Ltd. (The shares
transferred by Yangpu Xinyufeng Investment Co., Ltd. held 1,750,000 shares; Feng Yonghui held 500,000 shares.
Therefore, in the above “Changes in Shares” table, the number of shares that’s filled in the “others” for the sponsors’
shares is the total shares held by the natural persons Gu Zuocheng and Feng Yonghui, namely: 2,718,750 shares.
3. Change of shares with limited sales condition
□ Applicable √ Not applicable
Ⅱ. Issuing and listing
□ Applicable √Not applicable
III. Shareholders and shareholding
In Shares
Total number of common Total number of preferred
shareholders at the end of the 7,310 shareholders that had restored 0
reporting period the voting right at the end of the
39
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
reporting period (if any) (note 8)
Particulars about shares held above 5% by shareholders or top ten shareholders
Number of Amount of Number of share
Proportion Changes in Amount of
Nature of shares held un-restrict pledged/frozen
Shareholders of shares reporting restricted shares
shareholder at period ed shares State of Amoun
held（%） period held
-end held share t
China Military
State-owned legal
Equipment Group Co., 71.13% 84,906,250 84,906,250 0
person
Ltd.
Domestic natural
Gu Zuocheng 1.89% 2,261,000 2,218,750 42,250
person
Anhui Hengsheng
Domestic
Investment
non-state-owned 1.47% 1,750,000 1,750,000 0
Development Co.,
legal person
Ltd.
Increase
Domestic natural holdings
Xu Yuanhui 0.77% 913,999 0 913,999
person by136110
shares
Decrease
Domestic natural holdings by
Liu Dan 0.74% 880,476 0 880,476
person 37775
shares
Domestic natural
Chen Xinqiang 0.51% 612,400 0 612,400
person
CORE Increase
PACIFIC-YAMAICHI Overseas Legal holdings
0.45% 534,650 0 534,650
INTERNATIONAL person by3500
(H.K.) LIMITED shares
Domestic natural
Zhang Meilan 0.43% 513,560 0 513,560
person
Domestic natural
Feng Yonghui 0.42% 500,000 500,000 0
person
Increase
Domestic natural
Li Jianping 0.37% 436,300 holdings by 0 436,300
person
1800 shares
Strategic investor or general legal person
becoming top-10 ordinary shareholder None
due to rights issue (if any)（See Note 3)
There isn’t any associated relationship between the sponsoring shareholder and the other
Related or acting-in-concert parties shareholders among the top-10 list. None of them are regarded as ‘Acting in concert’ in
among shareholders above accordance with ‘The rules of information disclosure on change of shareholding.’
Foreign shareholders are unknown for their condition of ‘Associated relationship’ and
40
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
‘Acting in concert’.
Above shareholders entrusting or
entrusted with voting rights, or waiving Not applicable
voting rights
Top 10 shareholders including the special
account for repurchase (if any) (see note Not applicable
11)
Top 10 holders of unconditional shares
Category of shares
Amount of unconditional shares held at end of
Name of the shareholder Category of
period Amount
shares
Foreign shares
placed in
Xu Yuanhui 913,999 913,999
domestic
exchange
Foreign shares
placed in
Liu Dan 880,476 880,476
domestic
exchange
Foreign shares
placed in
Chen Xinqiang 612,400 612,400
domestic
exchange
Foreign shares
CORE PACIFIC-YAMAICHI placed in
534,650 534,650
INTERNATIONAL (H.K.) LIMITED domestic
exchange
Foreign shares
placed in
Zhang Meilan 513,560 513,560
domestic
exchange
Foreign shares
placed in
Li Jianping 436,300 436,300
domestic
exchange
Foreign shares
placed in
Chen Houping 423,561 423,561
domestic
exchange
Foreign shares
Lv Gang 418,099 418,099
placed in
41
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
domestic
exchange
Foreign shares
placed in
Liu Guosheng 345,575 345,575
domestic
exchange
Foreign shares
placed in
Zhang Long 336,877 336,877
domestic
exchange
There is no affiliated relationship between the top ten non-restricted tradable
shareholders and the controlling shareholder China Military Equipment Group Co., Ltd.
Action-in-concert among top 10 nor do they belong to the consistent actors stipulated in the Administrative Measures for
non-restricted current share holders, top the Acquisition of Listed Companies; it is unknown to the company whether there is an
10 non-restricted current share holders affiliated relationship between the top ten non-restricted tradable shareholders as well as
and top 10 shareholders between the top ten non-restricted tradable shareholders and the other top ten
shareholders, or whether they are included in the consistent actors stipulated in the
Administrative Measures for the Acquisition of Listed Companies.
Explanation on shareholders participating
in the margin trading business(if Not applicable
any )(See Notes 4)
Whether top ten common shareholders or top ten common shareholders with un-restrict shares held have a
buy-back agreement dealing in reporting period.
□ Yes √ No
The top ten common shareholders or top ten common shareholders with un-restrict shares held of the Company
have no buy –back agreement dealing in reporting period.
IV. Changes in shareholdings of directors, supervisors and executive officers
□ Applicable √Not applicable
There was no change in shareholding of directors, supervisors and senior management staffs, for the specific
information please refer to the 2020 Annual Report
V. Change of the controlling shareholder or the actual controller
Change of the controlling shareholder in the reporting period
□ Applicable √ Not Applicable
There was no any change of the controlling shareholder of the Company in the reporting period.
Change of the actual controller in the reporting period
□ Applicable √ Not applicable
There was no any change of the actual controller of the Company in the reporting period.
42
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
VIII. Situation of the Preferred Shares
□Applicable √Not applicable
The Company had no preferred shares in the reporting period
43
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
IX. Corporate Bond
□ Applicable √ Not applicable
44
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
X. Financial Report
I. Audit report
Has this semi-annual report been audited?
□ Yes √ No
The semi-annual financial report has not been audited.
II. Financial statements
Currency unit for the statements in the notes to these financial statements: RMB
1. Consolidated balance sheet
Prepared by: Chongqing Jianshe Vehicle System Co., Ltd.
June 30, 2021
In RMB
Items June 30,2021 December 30,2020
Current asset：
Monetary fund 123,787,878.06 159,343,241.47
Settlement provision
Outgoing call loan
Transactional financial assets
Derivative financial assets
Note receivable 124,019,463.07 66,548,530.50
Account receivable 210,941,638.23 221,386,452.90
Financing of receivables
Prepayments 6,704,203.33 8,539,316.15
Insurance receivable
Reinsurance receivable
Provisions of Reinsurance contracts
receivable
Other account receivable 2,852,368.78 1,253,612.91
Including：Interest receivable
Dividend receivable
Repurchasing of financial assets
45
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Inventories 145,864,862.46 169,145,986.78
Contract assets
Assets held for sales
Non-current asset due within 1 year
Other current asset 2,018,362.24 3,396,186.56
Total of current assets 616,188,776.17 629,613,327.27
Non-current assets：
Loans and payment on other’s behalf
disbursed
Creditor's right investment
Other creditor's right investment
Long-term receivable
Long term share equity investment 186,981,712.23 186,213,719.02
Other equity instruments investment
Other non-current financial assets
Real estate investment 23,043,398.52
Fixed assets 320,167,159.27 310,131,438.69
Construction in progress 1,824,327.45 1,871,241.59
Production physical assets
Oil & gas assets
Use right assets
Intangible assets 28,514,765.32 27,384,056.97
Development expenses
Goodwill
Long-germ expenses to be amortized 140,327.83 24,750.00
Deferred income tax asset 6,274,078.12 6,274,078.12
Other non-current asset 2,093,500.00 2,141,443.59
Total of non-current assets 545,995,870.22 557,084,126.50
Total of assets 1,162,184,646.39 1,186,697,453.77
Current liabilities
Short-term loans 556,410,000.00 553,910,000.00
Loan from Central Bank
Borrowing funds
Transactional financial liabilities
46
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Derivative financial liabilities
Notes payable 139,770,000.00 110,020,000.00
Account payable 240,725,746.54 288,803,247.07
Advance receipts
Contract liabilities 2,584,147.93 1,479,711.62
Selling of repurchased financial assets
Deposit taking and interbank deposit
Entrusted trading of securities
Entrusted selling of securities
Employees’ wage payable 28,748,853.18 28,427,402.84
Tax payable 16,481,094.80 18,106,616.93
Other account payable 9,704,354.89 10,260,888.23
Including：Interest payable
Dividend payable
Fees and commissions payable
Reinsurance fee payable
Liabilities held for sales
Non-current liability due within 1 year
Other current liability 335,939.23 192,362.51
Total of current liability 994,760,136.57 1,011,200,229.20
Non-current liabilities：
Reserve fund for insurance contracts
Long-term loan
Bond payable
Including：preferred stock
Sustainable debt
Lease liability
Long-term payable
Long-term remuneration payable to
staff
Expected liabilities
Deferred income
Deferred income tax liability 1,733,423.53 1,908,551.51
Other non-current liabilities
47
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Total non-current liabilities 1,733,423.53 1,908,551.51
Total of liability 996,493,560.10 1,013,108,780.71
Owners’ equity
Share capital 119,375,000.00 119,375,000.00
Other equity instruments
Including：preferred stock
Sustainable debt
Capital reserves 958,565,294.29 958,565,294.29
Less：Shares in stock
Other comprehensive income 9,800.00 9,800.00
Special reserve
Surplus reserves 125,686,000.00 125,686,000.00
Common risk provision
Retained profit -1,037,945,008.00 -1,030,047,421.23
Total of owner’s equity belong to the
165,691,086.29 173,588,673.06
parent company
Minority shareholders’ equity
Total of owners’ equity 165,691,086.29 173,588,673.06
Total of liabilities and owners’ equity 1,162,184,646.39 1,186,697,453.77
Legal Representative: Yan Xuechuan
Person in charge of accounting：Tan Mingxian
Person in charge of Accounting institute: Niu Yanli
2.Parent Company Balance Sheet
In RMB
Items June 30,2021 December 31,2020
Current asset：
Monetary fund 22,316,394.39 1,039,038.26
Transactional financial assets
Derivative financial assets
Note receivable 7,490,000.00 11,600,000.00
Account receivable 3,003,547.30 2,189,335.14
Financing of receivables
48
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Prepayments 2,251,292.55 5,477,412.18
Other account receivable 1,816,416.14 934,239.22
Including：Interest receivable
Dividend receivable
Inventories 2,137,522.96 1,645,305.96
Contract assets
Assets held for sales
Non-current asset due within 1 year
Other current asset 3,179.92
Total of current assets 39,015,173.34 22,888,510.68
Non-current assets：
Creditor's right investment
Other creditor's right investment
Long-term receivable
Long term share equity investment 386,027,156.19 385,259,162.97
Other equity instruments investment
Other non-current financial assets
Real estate investment 23,043,398.52
Fixed assets 125,474,756.03 110,261,716.77
Construction in progress 66,037.74
Production physical assets
Oil & gas assets
Use right assets
Intangible assets 13,959,780.47 14,171,538.97
Development expenses
Goodwill
Long-germ expenses to be amortized
Deferred income tax asset
Other non-current asset
Total of non-current assets 525,461,692.69 532,801,854.97
Total of assets 564,476,866.03 555,690,365.65
Current liabilities
Short-term loans 15,000,000.00
Transactional financial liabilities
49
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Derivative financial liabilities
Notes payable
Account payable 185,794,336.08 265,278,880.90
Advance receipts
Contract liabilities 159,843.70 248,849.01
Employees’ wage payable 9,658,571.01 10,058,993.74
Tax payable 15,115,564.12 15,199,300.72
Other account payable 310,787,267.79 231,990,706.48
Including：Interest payable
Dividend payable
Liabilities held for sales
Non-current liability due within 1 year
Other current liability 20,779.68 32,350.37
Total of current liability 536,536,362.38 522,809,081.22
Non-current liabilities：
Long-term loan
Bond payable
Including：preferred stock
Sustainable debt
Lease liability
Long-term payable
Long-term remuneration payable to
staff
Expected liabilities
Deferred income
Deferred income tax liability
Other non-current liabilities
Total non-current liabilities
Total of liability 536,536,362.38 522,809,081.22
Owners’ equity
Share capital 119,375,000.00 119,375,000.00
Other equity instruments
Including：preferred stock
Sustainable debt
50
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Capital reserves 958,575,094.29 958,575,094.29
Less：Shares in stock
Other comprehensive income
Special reserve
Surplus reserves 125,686,000.00 125,686,000.00
Retained profit -1,175,695,590.64 -1,170,754,809.86
Total of owners’ equity 27,940,503.65 32,881,284.43
Total of liabilities and owners’ equity 564,476,866.03 555,690,365.65
3.Consolidated Income statement
In RMB
Items The first half year of 2021 The first half year of 2020
I. Income from the key business 456,964,429.02 334,590,261.85
Incl：Business income 456,964,429.02 334,590,261.85
Interest income
Insurance fee earned
Fee and commission received
II. Total business cost 469,027,653.86 362,297,018.78
Incl：Business cost 399,274,067.43 299,582,322.70
Interest expense
Fee and commission paid
Insurance discharge payment
Net claim amount paid
Net amount of withdrawal of insurance contract reserve
Insurance policy dividend paid
Reinsurance expenses
Business tax and surcharge 4,017,274.05 2,270,492.41
Sales expense 10,384,056.14 8,737,461.10
Administrative expense 33,501,329.26 34,235,208.92
R & D costs 8,173,694.94 6,371,705.72
Financial expenses 13,677,232.04 11,099,827.93
Including：Interest expense
Interest income
Add: Other income 461,493.97 412,200.00
51
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Investment gain（“-”for loss） 767,993.22 -8,214,068.19
Incl: investment gains from affiliates 767,993.22 -8,214,068.19
Financial assets measured at amortized cost cease to be
recognized as income
Gains from currency exchange
Net exposure hedging income
Changing income of fair value
Credit impairment loss -108,153.11 -7,385.32
Impairment loss of assets 1,430,078.95
Assets disposal income 1,566,473.14 -54,625.39
III. Operational profit（“-”for loss） -9,375,417.62 -34,140,556.88
Add ：Non-operational income 198,658.55 79,499.99
Less: Non-operating expense 171.52 634,363.43
IV. Total profit(“-”for loss) -9,176,930.59 -34,695,420.32
Less：Income tax expenses -1,279,343.82
V. Net profit -7,897,586.77 -34,695,420.32
(I) Classification by business continuity
1.Net continuing operating profit
2.Termination of operating net profit
(II) Classification by ownership
1.Net profit attributable to the owners of parent company -7,897,586.77 -34,695,420.32
2.Minority shareholders’ equity
VI. Net after-tax of other comprehensive income
Net of profit of other comprehensive income attributable to owner
s of the parent company.
（I）Other comprehensive income items that will not be
reclassified into gains/losses in the subsequent accounting period
1.Re-measurement of defined benefit plans of changes in net debt
or net assets
2.Other comprehensive income under the equity method investee
can not be reclassified into profit or loss.
3. Changes in the fair value of investments in other equity
instruments
4. Changes in the fair value of the company’s credit risks
5.Other
52
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
（II）
Other comprehensive income that will be reclassified into profit o
r loss.
1.Other comprehensive income under the equity method investee
can be reclassified into profit or loss.
2. Changes in the fair value of investments in other debt
obligations
3. Other comprehensive income arising from the reclassification
of financial assets
4.Allowance for credit impairments in investments in other debt
obligations
5. Reserve for cash flow hedges
6.Translation differences in currency financial statements
7.Other
Net of profit of other comprehensive income attributable to Minor
ity shareholders’ equity
VII. Total comprehensive income -7,897,586.77 -34,695,420.32
Total comprehensive income attributable to the owner of the
-7,897,586.77 -34,695,420.32
parent company
Total comprehensive income attributable minority shareholders
VIII. Earnings per share
（I）Basic earnings per share -0.0662 -0.2906
(II)Diluted earnings per share -0.0662 -0.2906
The current business combination under common control, the net profits of the combined party before achieved ne
t profit of RMB 0.00, last period the combined party realized RMB0.00.
Legal Representative: Yan Xuechuan
Person in charge of accounting：Tan Mingxian
Person in charge of Accounting institute: Niu Yanli
4. Income statement of the Parent Company
In RMB
Items The first half year of 2021 The first half year of 2020
I. Income from the key business 297,472,060.19 222,468,662.97
Incl：Business cost 287,010,577.69 206,762,567.75
53
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Business tax and surcharge 1,331,918.72 562,313.55
Sales expense 305,392.04 770,265.75
Administrative expense 16,241,678.56 20,937,668.90
R & D expense 152,163.97 641,292.41
Financial expenses -54,183.63 559,663.50
Including：Interest expenses
Interest income
Add：Other income 9,403.42
Investment gain（“-”for loss） 767,993.22 -8,214,068.19
Including: investment gains from affiliates 767,993.22 -8,214,068.19
Financial assets measured at amortized cost cease to be
recognized as income
Net exposure hedging income
Changing income of fair value
Credit impairment loss
Impairment loss of assets
Assets disposal income
II. Operational profit（“-”for loss） -5,139,428.02 -16,137,535.83
Add ：Non-operational income 198,647.24 55,100.00
Less：Non -operational expenses 633,882.63
III. Total profit(“-”for loss) -4,940,780.78 -16,716,318.46
Less：Income tax expenses
IV. Net profit -4,940,780.78 -16,716,318.46
1.Net continuing operating profit
2.Termination of operating net profit
V. Net after-tax of other comprehensive income
（I）Other comprehensive income items that will not be
reclassified into gains/losses in the subsequent accounting period
1.Re-measurement of defined benefit plans of changes in net debt
or net assets
2.Other comprehensive income under the equity method investee
can not be reclassified into profit or loss.
3. Changes in the fair value of investments in other equity
instruments
4. Changes in the fair value of the company’s credit risks
54
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
5.Other
(II)Other comprehensive income that will be reclassified into prof
it or loss
1.Other comprehensive income under the equity method investee
can be reclassified into profit or loss.
2. Changes in the fair value of investments in other debt
obligations
3. Other comprehensive income arising from the reclassification
of financial assets
4.Allowance for credit impairments in investments in other debt
obligations
5. Reserve for cash flow hedges
6.Translation differences in currency financial statements
7.Other
VI. Total comprehensive income -4,940,780.78 -16,716,318.46
VII. Earnings per share
（I）Basic earnings per share -0.0414 -0.1400
(II)Diluted earnings per share -0.0414 -0.1400
5. Consolidated Cash flow statement
In RMB
Items The first half year of 2021 The first half year of 2020
I.Cash flows from operating activities
Cash received from sales of goods or rending of services 275,878,351.04 218,102,030.44
Net increase of customer deposits and capital kept for brother
company
Net increase of loans from central bank
Net increase of inter-bank loans from other financial bodies
Cash received against original insurance contract
Net cash received from reinsurance business
Net increase of client deposit and investment
Cash received from interest, commission charge and commission
Net increase of inter-bank fund received
Net increase of repurchasing business
55
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Net cash received by agent in securities trading
Tax returned 10,762,678.49 3,751,715.83
Other cash received from business operation 5,109,205.63 6,565,809.34
Sub-total of cash inflow 291,750,235.16 228,419,555.61
Cash paid for purchasing of merchandise and services 192,460,861.01 93,632,722.83
Net increase of client trade and advance
Net increase of savings in central bank and brother company
Cash paid for original contract claim
Net increase in financial assets held for trading purposes
Net increase for Outgoing call loan
Cash paid for interest, processing fee and commission
Cash paid to staffs or paid for staffs 55,354,015.78 48,032,744.83
Taxes paid 9,550,656.23 2,496,399.06
Other cash paid for business activities 12,630,681.73 11,135,794.91
Sub-total of cash outflow from business activities 269,996,214.75 155,297,661.63
Net cash generated from /used in operating activities 21,754,020.41 73,121,893.98
II. Cash flow generated by investing
Cash received from investment retrieving
Cash received as investment gains
Net cash retrieved from disposal of fixed assets, intangible assets, and
1,609,454.58
other long-term assets
Net cash received from disposal of subsidiaries or other operational
units
Other investment-related cash received
Sub-total of cash inflow due to investment activities 1,609,454.58
Cash paid for construction of fixed assets, intangible assets and other
3,192,691.68 996,035.66
long-term assets
Cash paid as investment
Net increase of loan against pledge
Net cash received from subsidiaries and other operational units
Other cash paid for investment activities
Sub-total of cash outflow due to investment activities 3,192,691.68 996,035.66
Net cash flow generated by investment -1,583,237.10 -996,035.66
III.Cash flow generated by financing
Cash received as investment
56
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Including: Cash received as investment from minor shareholders
Cash received as loans 330,210,000.00 317,720,000.00
Other financing –related cash received 244,002.56 140,229,885.72
Sub-total of cash inflow from financing activities 330,454,002.56 457,949,885.72
Cash to repay debts 327,710,000.00 240,000,000.00
Cash paid as dividend, profit, or interests 12,038,512.41 11,106,520.85
Including: Dividend and profit paid by subsidiaries to minor
shareholders
Other cash paid for financing activities 32,808,697.08 267,306,351.71
Sub-total of cash outflow due to financing activities 372,557,209.49 518,412,872.56
Net cash flow generated by financing -42,103,206.93 -60,462,986.84
IV. Influence of exchange rate alternation on cash and cash
-9,951.87
equivalents
V.Net increase of cash and cash equivalents -21,942,375.49 11,662,871.48
Add: balance of cash and cash equivalents at the beginning of term 79,310,253.55 9,390,326.10
VI ..Balance of cash and cash equivalents at the end of term 57,367,878.06 21,053,197.58
6. Cash Flow Statement of the Parent Company
In RMB
Items The first half year of 2021 The first half year of 2020
I.Cash flows from operating activities
Cash received from sales of goods or rending of services 106,427,010.24 60,980,104.52
Tax returned
Other cash received from business operation 4,060,057.61 5,840,848.89
Sub-total of cash inflow 110,487,067.85 66,820,953.41
Cash paid for purchasing of merchandise and services 64,778,291.50 44,567,550.59
Cash paid to staffs or paid for staffs 18,463,252.41 24,407,469.95
Taxes paid 3,936,592.64 600,648.78
Other cash paid for business activities 16,462,800.95 2,625,236.39
Sub-total of cash outflow from business activities 103,640,937.50 72,200,905.71
Net cash generated from /used in operating activities 6,846,130.35 -5,379,952.30
II. Cash flow generated by investing
Cash received from investment retrieving
Cash received as investment gains
57
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Net cash retrieved from disposal of fixed assets, intangible assets, and
1,609,454.58
other long-term assets
Net cash received from disposal of subsidiaries or other operational
units
Other investment-related cash received
Sub-total of cash inflow due to investment activities 1,609,454.58
Cash paid for construction of fixed assets, intangible assets and other
2,181,728.80 996,035.66
long-term assets
Cash paid as investment
Net cash received from subsidiaries and other operational units
Other cash paid for investment activities
Sub-total of cash outflow due to investment activities 2,181,728.80 996,035.66
Net cash flow generated by investment -572,274.22 -996,035.66
III. Cash flow generated by financing
Cash received as investment
Cash received as loans 15,000,000.00
Other financing –related ash received 210,210,000.00 187,229,125.01
Sub-total of cash inflow from financing activities 225,210,000.00 187,229,125.01
Cash to repay debts
Cash paid as dividend, profit, or interests
Other cash paid for financing activities 210,206,500.00 182,260,000.00
Sub-total of cash outflow due to financing activities 210,206,500.00 182,260,000.00
Net cash flow generated by financing 15,003,500.00 4,969,125.01
IV. Influence of exchange rate alternation on cash and cash
equivalents
V.Net increase of cash and cash equivalents 21,277,356.13 -1,406,862.95
Add: balance of cash and cash equivalents at the beginning of term 1,039,038.26 4,448,232.99
VI ..Balance of cash and cash equivalents at the end of term 22,316,394.39 3,041,370.04
7. Consolidated Statement on Change in Owners’ Equity
Amount in this period
In RMB
The first half year of 2021
Owner’s equity Attributable to the Parent Company
Minor Total
Items Other Equity shareh of
Share Capital Less: Other Specia Surplu Comm Retain
Subtot
Capit instrument reserve Shares Compr lized s on risk ed Other olders’ owners
al
al Other s in ehensi reserve reserve provisi profit equity ’
Prefe
58
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
rred Susta stock ve s on equity
stock inabl Incom
e e
debt
119,3 958,56 125,68 -1,030, 173,58 173,58
I.Balance at the 9,800.
75,00 5,294. 6,000. 047,42 8,673. 8,673.
end of last year 00
0.00 29 00 1.23 06 06
Add: Change of
accounting
policy
Correcting of
previous errors
Merger of
entities under
common control
Other
II.Balance at the 119,3 958,56 125,68 -1,030, 173,58 173,58
9,800.
beginning of 75,00 5,294. 6,000. 047,42 8,673. 8,673.
00
current year 0.00 29 00 1.23 06 06
III.Changed in -7,897, -7,897, -7,897,
the current year 586.77 586.77 586.77
（1）Total
-7,897, -7,897, -7,897,
comprehensive
586.77 586.77 586.77
income
（II）Investment
or decreasing of
capital by
owners
1 ． Ordinary Sh
ares invested by
shareholders
2．Holders of o
ther equity instr
uments invested
capital
3．Amount of
shares paid and
accounted as
owners’ equity
4．Other
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
（III）Profit
allotment
1.Providing of
surplus reserves
2.Providing of
common risk
provisions
3．Allotment to
the owners (or
shareholders)
4．Other
(IV) Internal
transferring of
owners’ equity
1. Capitalizing
of capital
reserves (or to
capital shares)
2. Capitalizing
of surplus
reserves (or to
capital shares)
3．Making up
losses by
surplus
reserves.
4.Change
amount of
defined benefit
plans that carry
forward
Retained
earnings
5．Other
comprehensive
income
carry-over
retained
earnings
6．Other
60
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
(V). Special
reserves
1. Provided this
year
2．Used this
term
（VI）Other
IV. Balance at 119,3 958,56 125,68 -1,037, 165,69 165,69
9,800.
the end of this 75,00 5,294. 6,000. 945,00 1,086. 1,086.
00
term 0.00 29 00 8.00 29 29
Amount in last year
In RMB
The first half year of 2020
Owner’s equity Attributable to the Parent Company
Other Equity
instrument Other
Minor
Less: Compr Surplu Comm Total of
Items shareho
Share Capital Specia Retain
Shares ehensi s on risk Subtot owners’
Capit Prefe Susta reserve lized ed Other lders’
in ve reserve provisi al equity
al rred inabl Other s reserve profit equity
stock Incom s on
stock e
e
debt
119,3 958,56 125,68 -1,031, 172,17
I.Balance at the 9,800. 172,172
75,00 5,294. 6,000. 463,36 2,730.
end of last year 00 ,730.61
0.00 29 00 3.68 61
Add: Change of
accounting
policy
Correcting of
previous errors
Merger of
entities under
common
control
Other
II.Balance at 119,3 958,56 125,68 -1,031, 172,17
9,800. 172,172
the beginning 75,00 5,294. 6,000. 463,36 2,730.
00 ,730.61
of current year 0.00 29 00 3.68 61
III.Changed in 1,415, 1,415, 1,415,9
the current year 942.45 942.45 42.45
（1）Total 1,415, 1,415, 1,415,9
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
comprehensive 942.45 942.45 42.45
income
（II）
Investment or
decreasing of
capital by
owners
1．Ordinary Sh
ares invested b
y shareholders
2 ． Holders of
other equity ins
truments invest
ed capital
3．Amount of
shares paid and
accounted as
owners’ equity
4．Other
（III）Profit
allotment
1.Providing of
surplus reserves
2.Providing of
common risk
provisions
3．Allotment to
the owners (or
shareholders)
4．Other
(IV) Internal
transferring of
owners’ equity
1. Capitalizing
of capital
reserves (or to
capital shares)
2. Capitalizing
of surplus
reserves (or to
62
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
capital shares)
3．Making up
losses by
surplus
reserves.
4.Change
amount of
defined benefit
plans that carry
forward
Retained
earnings
5．Other
comprehensive
income
carry-over
retained
earnings
6．Other
(V). Special
reserves
1. Provided this
year
2．Used this
term
（VI）Other
IV. Balance at 119,3 958,56 125,68 -1,030, 173,58
9,800. 173,588
the end of this 75,00 5,294. 6,000. 047,42 8,673.
00 ,673.06
term 0.00 29 00 1.23 06
8.Statement of change in owner’s Equity of the Parent Company
Amount in this period
In RMB
The first half year of 2021
Other Equity instrument
Other
Less: Specializ Total of
Items Share Preferr Capital Compreh Surplus Retaine
Sustain Shares in ed Other owners’
capital ed Other reserves ensive reserves d profit
able stock reserve equity
stock Income
debt
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
119,37 -1,170,
I.Balance at the 958,565, 125,686, 32,881,28
5,000.0 9,800.00 754,80
end of last year 294.29 000.00 4.43
0 9.86
Add: Change of
accounting
policy
Correcting of
previous errors
Other
II.Balance at the 119,37 -1,170,
958,565, 125,686, 32,881,28
beginning of 5,000.0 9,800.00 754,80
294.29 000.00 4.43
current year 0 9.86
III.Changed in -4,940, -4,940,780
the current year 780.78 .78
（I）Total
-4,940, -4,940,780
comprehensive
780.78 .78
income
(II) Investment
or decreasing of
capital by
owners
1．Ordinary Sha
res invested by s
hareholders
2．Holders of ot
her equity instru
ments invested c
apital
3.Amount of
shares paid and
accounted as
owners’ equity
4．Other
（III）Profit
allotment
1.Providing of
surplus reserves
2．Allotment to
the owners (or
shareholders)
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
3．Other
(IV) Internal
transferring of
owners’ equity
1. Capitalizing
of capital
reserves (or to
capital shares)
2. Capitalizing
of surplus
reserves (or to
capital shares)
3．Making up
losses by surplus
reserves.
4.Change
amount of
defined benefit
plans that carry
forward
Retained
earnings
5．Other
comprehensive
income
carry-over
retained earnings
6．Other
(V) Special
reserves
1. Provided this
year
2．Used this term
（VI）Other
IV. Balance at 119,37 -1,175,
958,565, 125,686, 27,940,50
the end of this 5,000.0 9,800.00 695,59
294.29 000.00 3.65
term 0 0.64
Amount in last year
In RMB
Items The first half year of 2020
65
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Other Equity
instrument Other
Less: Specializ Total of
Share Capital Compre Surplus Retained
Preferr Shares ed Other owners’
Capital Sustai reserves hensive reserves profit
ed Other in stock reserve equity
nable Income
stock
debt
119,37
I.Balance at the 958,565 9,800.0 125,686 -1,128,13 75,497,950.
5,000.
end of last year ,294.29 0 ,000.00 8,143.30 99
00
Add: Change of
accounting
policy
Correcting of
previous errors
Other
II.Balance at 119,37
958,565 9,800.0 125,686 -1,128,13 75,497,950.
the beginning 5,000.
,294.29 0 ,000.00 8,143.30 99
of current year 00
III.Changed in -42,616,6 -42,616,666
the current year 66.56 .56
（I）Total
-42,616,6 -42,616,666
comprehensive
66.56 .56
income
(II) Investment
or decreasing of
capital by
owners
1．Ordinary Sh
ares invested by
shareholders
2．Holders of o
ther equity instr
uments invested
capital
3.Amount of
shares paid and
accounted as
owners’ equity
4．Other
（III）Profit
66
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
allotment
1.Providing of
surplus reserves
2．Allotment to
the owners (or
shareholders)
3．Other
(IV) Internal
transferring of
owners’ equity
1. Capitalizing
of capital
reserves (or to
capital shares)
2. Capitalizing
of surplus
reserves (or to
capital shares)
3．Making up
losses by
surplus
reserves.
4.Change
amount of
defined benefit
plans that carry
forward
Retained
earnings
5．Other
comprehensive
income
carry-over
retained
earnings
6．Other
(V) Special
reserves
1. Provided this
year
67
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
2．Used this
term
（VI）Other
IV. Balance at 119,37
958,565 9,800.0 125,686 -1,170,75 32,881,284.
the end of this 5,000.
,294.29 0 ,000.00 4,809.86 43
term 00
III．Basic Information of the Company
Chongqing Jianshe Vehicle System Co.,Ltd. (hereinafter referred to as the "Company", "Company" or
"Chongqing Jianshe")，the company’s original name is Chongqing Jianshe Motorcycle Co.,Ltd.，was jointly set up
in July 1995 by the Construction Industry (Group) Co., Ltd. and China North Industries Shenzhen Corporation.
The Business License of the Enterprise: No. 915000007474824231. The Company was listed in July 1995 at the
Shenzhen Stock Exchange. The Company is engaged in the manufacturing industry. On December 27, 2017, the
company issued an announcement that it has completed the relevant business registration procedures for the
change in Chinese, obtained the notice of approval for change of registration of Chongqing administration of
industry and commerce (Chongqing Industrial and commercial registration of changes [2017] No.1206-1)，got an
issue of a business license and approval rear of implementing the Shenzhen stock exchange. The name of the
company was changed from " Chongqing Jianshe Motorcycle Co., Ltd." to " Chongqing Jianshe Vehicle System
Co.,Ltd.". Abbreviation of the company was changed from "Jianmo B" to "Jianshe B", and the securities code of
the company was unchanged at 200054.
On October 22, 2018, Chongqing Jianshe mechanical and electrical co., LTD., the controlling shareholder of
the company, signed the "Equity transfer Agreement for State-owned listed companies" with China South
Industries Group Corporation (hereinafter referred to as "GSGC"). The Chongqing Jianshe mechanical and
electrical co., LTD. transferred 84,906,250 shares of its state-owned legal person shares to the GSGC, it accounts
for 71.13% of the Chongqing Jianshe 's total share capital.
On December 21, 2018, the company received the " Confirmation of registration of securities transfer "
issued by the Shenzhen Branch of China Securities Registration and Clearing Co., Ltd., and the registration
procedures for the transfer of shares under this agreement have been completed in the Shenzhen branch of China
Securities Registration and settlement Co., Ltd. After the completion of this agreement transfer, Chongqing
Jianshe mechanical and electrical co., LTD., would no longer hold shares of the company. GSGC was became the
controlling shareholder of the company, the proportion of shareholding is 71.13%, and the nature of the shares is
State-owned legal person shares.
The ultimate controller of the Company is the State-owned Assets Supervision and Administration
Commission (SASAC).
As at June 30, 2021, the Company issued 119,375,000 shares in total and had the registered capital of
119,375,000. The registration place: NO.1, JIANSHE ROAD HUAXI INDUSTRY PARK, BANAN DISTRICT,
CHONGQING; the headquarters address: Banan District, Chongqing Municipality. Legal representative:
Hongxian Lv. The main business activities: research and development, processing, manufacturing and related
technical services of Motorcycles, auto parts, accessories, machinery products, design , manufacturing and related
technical services of tooling (except for those subject to national special provisions) ; R & D, production and sales
of motorcycle engines; research , development and processing of mechanical and electrical products, home
appliances, bicycles, environmental protection product; imports, wholesale, retail, commission agency (except
68
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
auction) of similar products of these products.
The disclosure of the financial report was approved by the Board of Directors on August 26, 2021.
The scope consolidated financial statements of the first half year of 2021 has reduced 2 subsidiary，see "Note 7
Equity in other subjects " for details.
The company and Chongqing Jianshe Automobile A/C Co., Ltd., its important subsidiary, mainly engaged
in the manufacture, sale of air conditioners and accessories, air conditioning and spare parts maintenance.
IV. Basis for the Preparation of financial statements
1.Basis for Preparation
The Company prepares the financial statements on the basis of going concern, according to actual transactions and
events, and in accordance with the Accounting Standards for Business Enterprises – Basic Standards and 38
concrete accounting standards issued by the Ministry of Finance on February 15, 2006, the subsequently issued
Accounting Standards for Business Enterprises – Application Guidelines, and the Accounting Standards for
Business Enterprises– Interpretations and other relevant provisions (hereinafter collectively referred to as –
Accounting Standards for Business Enterprises‖), as well as Compilation Rules for Information Disclosure by
Companies Offering Securities to the Public No. 15 - General Provisions on Financial Reports issued by China
Securities Regulatory Commission.
In accordance with relevant provisions of the Accounting Standards for Business Enterprises, the Group adopted
the accrual basis in accounting. Except for some financial instruments, where impairment occurred on an asset, an
impairment reserve was withdrawn accordingly pursuant to relevant requirements.
2. Going Concern
The Company was on a going concern basis in 12 months as of the end of the current reporting period and was not
affected by any material event having impact on the going concern.
V. Principal accounting policies and accounting estimates
Specific accounting policies and accounting estimates:
None
1. Statement on compliance with accounting standards for business Enterprises
The Company state: the financial statements prepared are in line with the requirements in enterprise accounting st
andards in line with of system, and have truly and completely reflected of the financial status in June
30, 2021 operational results, cash flow, and other relevant information of January–June 2021.
2 .Accounting period
The Company’s fiscal periods include fiscal years and fiscal periods shorter than a complete fiscal year from
January 1 to December 31 as one accounting year.
3.Operating cycle
The normal operating cycle refers to the period from the assets used for processing after purchased by the
company to the cash or cash equivalents achieved. 12 months are regarded as one operating cycle in the company,
69
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
and which is as the division criterion for the liquidity of assets and liabilities.
4.Functional currency
The functional currency is Renminbi.
5. Accounting treatments of the combination of enterprises under common control and the combination of
enterprises not under the common control
Business combination refers to the transactions or items with one reporting entity formed by the combination of
two or more separate enterprises. The business combination shall be divided into the business combination under
common control and the business combination under non-common control.
（1）Business combination under common control
The business combination under common control refers to the business combination in which all of the combining
enterprises are ultimately controlled by the same party or parties both before and after the combination, and that
control is not transitory. Of which, the combining party is that acquiring the control right to other combining
enterprises at combining date, and the combining date means the date that the combining party actually acquires
the control right of the combined party. The acquisition date means the date that the acquirer actually obtains the
control right of the acquiree.
The assets and liabilities acquired by the combining party are measured in accordance with the book value of the
combined party at the combining date. For the balance between the book value of net assets acquired by the
combining party and the book value of the combining valuable consideration (or the nominal amount of issued
shares), the capital reserves (stock premium) shall be adjusted, or the retained earnings shall be adjusted when the
capital reserves (stock premium) are insufficient.
All the costs directly incurred for the business combination by the combining party shall be recorded into the
current profits and losses when occurred.
（2）Combination of enterprises not under the common control
The business combination under non-common control refers to the business combination in which all of the
combining enterprises are not ultimately controlled by the same party or parties both before and after the
combination. Of which, the acquirer is that obtaining the control right to other combining enterprises at
acquisition date, and other combining enterprises refers to the acquiree. The acquisition date means the date that
the acquirer actually obtains the control right of the acquiree.
For the business combination under non-common control, the merger costs include the assets paid for
obtaining the control right of acquiree by the acquirer, the liabilities occurred or borne and the fair value of equity
securities issued, the intermediary fees for audit, legalservices, evaluation and consultation when the business
combination issued, and other management costs shall be recorded into the current profits and losses when
occurred. The transaction costs of equity securities or debt securities issued for the merger consideration by the
acquirer shall be included into the initially recognized amount of the equity securities or the debt securities. The
contingent consideration involved shall be recorded into the merger cost as per the fair value at the acquisition
date. Within 12 months after the acquisition date, the combining business reputation should be adjusted
correspondingly if the contingent consideration is required to adjust because of new or further evidence for the
70
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
existed situation on the acquisition date. The merger cost issued by the acquirer and the identifiable net assets
acquired in the combination are measured as per the fair value on the acquisition date. The difference of the
merger cost less the fair value shares of identifiable net assets obtained by the acquiree during the merger on the
acquisition date, is recognized as the business reputation. While the merger cost is less than the fair value shares
of identifiable net assets obtained by the acquiree during the merger, all the measurement on the identifiable assets,
the liabilities, the fair value of liabilities and the merger cost obtained by the acquiree should firstly be rechecked,
and the difference shall be recorded into the current profits and costs if the merger cost is still less than the fair
value shares of identifiable net assets obtained by the acquiree during the merger after rechecking.
If the deductible temporary difference of acquiree obtained by the acquirer is not recognized due to the
recognition condition of the deferred income tax assets unmet on the acquisition date within 12 months after the
acquisition date, the relevant deferred income tax assets shall be recognized and the business reputation shall be
reduced if the acquired new or further evidence shows that the relevant situation has already existed and the
economic benefit gained by the acquiree from the deductible temporary difference is expected to achieve, and the
differences are recognized as the current profits and losses if the business reputation is insufficient to offset. With
the exception of the above, the deferred income tax assets related to the business combination are recorded into
the current profits and losses. For the business combination under non-common control realized step-by-step
through multiple transactions, the multiple transactions shall be judged if belong to “the package deal” according
to the “Notice on Issuance of Interpretation of Accounting Standards for Business Enterprises from Ministry of
Finance” (Finance and Accounting [2012] No.19) and the judgment standards on “the package deal” in Article
51st of “Accounting Standards for Business Enterprises No.33 – Consolidated Financial Statement” (please see
Note 3.6 (2)).
For the package deal, please refer to above description of this section and Note 3.14 “Long-term Equity
Investment” to conduction the accounting treatment. For the non-package deal, the relevant accounting treatment
should be respectively conducted for the individual financial statement and the consolidated financial statements:
For the individual financial statements, the sum of the book value of equity investment from the purchased
party held before the purchase date and the new investment cost at the purchase date shall be as the initial
investment cost of the investment. For the other comprehensive incomes involved in the equity of the acquiree
held before the acquisition date, the investment and the relevant other comprehensive incomes shall be disposed
through the accounting treatment on the same basis of the direct disposal of the relevant assets or liabilities by the
acquiree (Namely, the rest is transferred into the current investment incomes with the exception of the
corresponding shares of changes caused by the net liabilities or the net assets of the defined benefit plans
re-measured by the acquiree as per the equity method). In the consolidated financial statements, the equity of the
acquiree held before the acquisition date shall be measured again as per the fair value of the equity on the
acquisition date, and the difference between the fair value and the book value is recorded into the current
investment income.
For the other comprehensive incomes involved in the equity of the acquire held before the acquisition date,
the relevant other comprehensive incomes shall be disposed through the accounting treatment on the same basis of
the direct disposal of the relevant assets or liabilities by the acquire (Namely, the rest is transferred into the current
investment incomes on the acquisition date, with the exception of the corresponding shares of changes caused by
the net liabilities or the net assets of the defined benefit plans re-measured by the acquire as per the equity
method).
6. Preparation of consolidated financial statements
（1）Principle for determining the consolidation scope
71
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
The consolidation scope for financial statements is determined on the basis of control. The term “control” is the
power of the Group upon an investee, with which it can take part in relevant activities of the investee to obtain
variable returns and is able to influence the amount of returns. The scope of consolidation includes the Company
and its all subsidiaries. A subsidiary is an enterprise or entity controlled by the Group.
Once any changes in the relevant facts or situations resulted in any changes in the elements involved in the
aforesaid definition of “control”, the Company shall carry out a reassessment.
（2）Compiling method of consolidated accounting statements
The company starts to include the actual control right to the net assets and the production and management
decisions of the subsidiaries into the combination scope since the date of the actual right acquired, and will stop
covering into the combination scope on the date of the actual right lost. For the disposed subsidiaries, the business
performance and the cash flow before the disposal date have been properly covered in the consolidated profit
statement and the consolidated cash flow statement. For the subsidiaries disposed in the current period, the
opening balance of the consolidated balance sheet shall not be adjusted. through the business combination under
non-common control, the business performance and the cash flow after the acquisition date have been properly
included in the consolidated profit statement and the consolidated cash flow statement, and the opening balance
and the comparison balance of the consolidated financial statement shall not be adjusted. For the subsidiaries
increased through the business combination under common control, the business performance and the cash flow
from the beginning of current combination period to the combination date have been properly included in the
consolidated profit statement and the consolidated cash flow statement, and the comparison balance of the
consolidated financial statement shall be adjusted simultaneously.
With the preparation of the consolidated financial statement, the necessary adjustment shall be made according to
the accounting policy of the company and the financial statement of the subsidiaries during the fiscal period if the
accounting policy or the fiscal period adopted by the subsidiaries and the company is discrepant. For the
subsidiaries acquired through the business combination under non-common control, the financial statement shall
be adjusted on the basis of the fair value of the identifiable net assets on the acquisition date.
All the major balances, transactions and the unrealized profits of the company shall be offset in the preparation of
the consolidated financial statement.
Those not belong to the company in the shareholders’ equity and the current net profit or loss of the subsidiaries
shall be respectively as the minority equity and the minority interest income and individually listed under the
shareholders’ equity and the net profit of the consolidated financial statement. The minority equity portion from
the net profit or loss in current period shall be as “minority interest income” and listed under the net profit in the
consolidated financial statement. Moreover, the minority equity is still offset even if the losses of the subsidiaries
undertaken by the minority shareholders are beyond the portion of the shareholders’ equity shared by the minority
shareholders of the company at the beginning of period.
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
When the control on the original subsidiaries lost due to the disposal of partial equity investment or other reasons,
the remaining equity should be measured again according to the fair value on the control lost date. The difference
of the consideration acquired by the disposal of equity and the fair value of the surplus equity minus the net assets
portion of the original subsidiaries calculated from the purchase date as per the original stock proportion shall be
recorded into the current investment income after the control lost. Other comprehensive returns relevant to the
original subsidiary shares investment shall be disposed through the accounting treatment on the same basis of the
direct disposal of the relevant assets or liabilities by the acquiree when the control lost (Namely, all the rest are
transferred into the current investment incomes, with the exception of the changes caused by the net liabilities or
the net assets of the defined benefit plans re-measured by the original subsidiaries). Thereafter, the subsequent
measurement shall be made for the rest equity according to the relevant provisions of “Accounting Standards for
Business Enterprises No. 2 – Long-term Equity Investment” or “Accounting Standards for Business Enterprises
No. 22 – Recognition and Measurement of Financial Instruments”. For the details, please see Notes 3.14
“Long-term Equity Investment” or Notes 3.10 “Financial Instruments”.
For the equity investment in the subsidiary through the step-by-step disposal of multiple transactions till the
control right lost, the company should respectively dispose all the transactions if belong to the package deal. As
long as the terms, conditions and economic influence on all the transactions of the disposal of the equity
investment in the subsidiary meet one status below, it usually shows that the multiple transactions matters should
be conducted the accounting treatment as the package deal: ① these transactions are made simultaneously or
under the consideration of the influence each other. ② these transactions shall be as the whole to achieve one
complete business results. ③ one transaction occurs depending on the appearance of other one transaction at least.
④ one transaction is economic under the consideration with other transactions even if it is not economic when
individually considerate. For the non-package deal, each transaction shall be respectively conducted the
accounting treatment according to the applicable principles of “Partial Disposal of Long-term Equity Investment
in Subsidiary without Control Lost” (please refer to (2) ④ in Note 3.14) and “The Control on Original
Subsidiary Lost due to Disposal of Part of Equity Investment or Other Reasons” (details please see forepart). For
the package deal from the transactions after the disposal of equity investment in the subsidiary till the control right
lost, the transactions shall be as one transaction of the disposal of subsidiary and the control lost for the
accounting treatment. Therefore, every balance between the net assets proportion of the subsidiary shared relative
to the disposal price and the disposal investment before the control right lost, shall be recognized as other
comprehensive incomes in the consolidated financial treatment and transferred into the current profits and losses
when the control lost.
7. Joint venture arrangements classification and Co-operation accounting treatment
Joint enterprise arrangement is two or more parties jointly control the enterprise. The company enjoys rights and
bears obligations based on joint enterprise arrangement. Joint enterprise arrangement is composed of joint
operation and joint enterprises. Joint operation means the company has the right to arrange related assets and
related liabilities. Joint enterprises means the company only has the right to arrange the net asset.
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The company adopts equity method to calculate investment to joint enterprises by referring to accounting policies
stated in "Long-term Stock Ownership for Equity Method Calculation" (please refer to (2) ② in Note 3.13)
As one party of joint operation, the company confirms assets and liabilities only held by itself and confirms joint
assets and liabilities as proportion of the company’s shares; confirm incomes from sales and production in the way
of joint operation as proportion of the company’s shares; confirm the company’s own expenses and all expenses in
the way of joint operation as proportion.
As a party of joint operation, the company funds or sells assets (not used for operation, the same below) of joint
operation or purchases assets from joint operation. Before the assets are sold to a third party, the company only
confirms the loss and benefit in the trade which belong to other parties in the joint operation. In case the assets is
in conformity to the asset impairment loss regulated in Asset Impairment --No.8 of Accounting Criteria for
Enterprises, the company confirms all losses in full amount for the company funding or selling assets of joint
operation. The company confirms the loss as proportion of shares for the company purchasing assets from joint
operation.
8.Recognition criteria of cash and cash equivalents
For the purpose of preparing the statement of cash flows, the term “cash” refers to cash on hand and deposits of
that are readily available for payment. And the term “cash equivalents” refers to short-term (maturing within three
months from acquisition) and highly liquid investments that are readily convertible to known amounts of cash and
which are subject to an insignificant risk of change in value.
9. Foreign currency business and foreign currency translation
（1）Translation Method of Foreign Currency Transaction
The shot exchange rate (usually refers to the middle rate at the date of currency exchange published by the
People’s Bank of China, hereinafter inclusive) on the transaction date is adopted to convert to the amount of
functional currency when the foreign currency transaction issued in the company is initially recognized. However,
the foreign currency exchanges or the transactions relative to the foreign currency exchanges occurred in the
company shall be translated into the amount of functional currency as per the actually adopted exchange rate.
（2）Translation Method for Monetary Items of Foreign Currency and Non-monetary Items of Foreign Currency
On the balance sheet date, the monetary items of foreign currency are translated as per the shot exchange rate on
the balance sheet date, and the foreign exchange conversion gap arising from which shall be recorded into the
profits and losses of the current period, except for ① the balance of exchange arising from special foreign
currency borrowings for the purchase and construction of qualified assets subject to the principle of borrowing
costs. ② the exchange balance generated from other book balances in the foreign currency monetary items
available for sale with the exception of the post-amortization costs shall be recorded into other comprehensive
incomes.
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When it involves overseas business in preparing the consolidated financial statement, for the translation difference
of foreign currency monetary items of net investment in overseas business arising from the change in exchange
rate, it shall be recorded into the other comprehensive income; and be recorded into disposal gains and losses at
current period when disposing overseas business.
The non-monetary items of foreign currency measured at the historical cost shall still be measured by the amount
of functional currency translated at the spot exchange rate on the transaction date. The non-monetary items of
foreign currency measured at the fair value shall be translated at the spot exchange rate on the fair value
recognized date, and the gap of the translated amount of functional currency and the original the amount of
functional currency shall be as the fair value variation (change in exchange rate included) to make treatment and
recorded into the current profits and losses or recognized as other comprehensive incomes.
（3）Translation Method of Foreign Currency Financial Statement
For the overseas business operation involved in the preparation of the consolidated financial statement, the
exchange balance arising from the change in exchange rate for the foreign currency monetary items of the net
investment in the overseas business, shall be as “translation reserve of foreign currency statement” and recognized
as other comprehensive incomes. The profits and losses of the current disposal period shall be recorded when
disposal of the overseas business operations.
The foreign currency financial statement of the overseas business operation shall be translated as RMB
statement as per the following methods: the assets and liabilities in the balance sheet shall be translated at a spot
exchange rate on the balance sheet date. For the shareholders’ equity items, other items shall be translated at a spot
exchange rate when occurring, except for the “undistributed profit” items. The earnings and expenses items in the
profit statement shall be translated at a spot exchange rate on the transaction date. Moreover, the Retained
Earnings at the beginning of this year are the profits translated at the end of last year which shall be distributed
and listed all the items measurement as per the translated profits. The difference between the translated assets
items and the sum of the liability’s items and the shareholders’ equity items shall be as the translation reserve of
foreign currency statement and recognized as other comprehensive incomes. When disposing the overseas
business operation and losing the control right, the translation reserves of foreign currency statement related to the
overseas business operation which listed in the shareholders’ equity items in the balance sheet, are all recorded
into the current disposal profits and losses or shifted as per the disposal proportion of the overseas business
operation.
The cash flows of foreign currency and overseas subsidiary shall be translated at the spot exchange rate on the
cash flow date. The influence amount of the change in exchange rate on the cash shall be individually listed and
reported as the adjustment items in the cash flow statement.
The amount at the beginning of this year and the actual amount of last year shall be listed according to the
translated amount of the financial statement.
If the control on the overseas business operation lost due to the disposal of partial equity investment or other
reasons when disposing all the owners’ equity of the overseas business operation of the company, the translation
reserves of foreign currency statement belong to the owners’ equity of the parent company related to the overseas
business operation which listed in the shareholders’ equity items in the balance sheet, are all recorded into the
current disposal profits and losses.
If the held equity proportion of the overseas business operation reduced due to the disposal of partial equity
investment or other reasons, but the control on the overseas business operation not lost, the translation reserves of
foreign currency statement related to the partial disposal of the overseas business operation shall be belong to the
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minority equity and not recorded into the current profits and losses. When disposing partial equity of the joint
ventures or the cooperative enterprises of the overseas business operations, the translation reserves of foreign
currency statement related to the overseas business operations shall be recorded into the current disposal profits
and losses as per the disposal proportion of the overseas business operations.
10 Financial instruments
A financial instrument refers to a contract that concludes the financial assets of one party and the financial
liabilities or equity instruments of another party. Related financial assets or financial liabilities are recognized
when the company becomes a party to a financial instrument contract.
Financial assets and financial liabilities are measured at fair values at the initial recognition: (i) for the
financial assets and financial liabilities measured at fair values with variations recorded into the current profits and
losses, related transaction expenses are directly recorded into the current profits and losses;(ii) for other kinds of
financial assets and financial liabilities, related transaction expenses are included in the initial recognition
amounts. Furthermore, subsequent measurements of financial assets and liabilities are decided by their own
classifications.
A financial asset or financial liability that qualified with one of the following conditions are indicating its
transactional purposes: (i) the purpose of acquiring relevant financial assets or assuming relevant financial
liabilities is mainly made for the purpose of selling or repurchasing in the near future; (ii) the initial confirmation
is a part of the identifiable portfolio of financial instruments under centralized management, and there is objective
evidence that the short-term profit model actually exists in the near future;(iii) where it is defined as the derivative
instrument, but conforms to the financial guarantee contract definition and is designated as an effective hedging
instrument of the derivative instruments.
（1）Debt Instruments
Debt instruments refer to the instruments that conform to the definition of financial liabilities from the
perspective of the issuers. The classifications and subsequent measurements of debt instruments depends on the
company's business models for financial assets management and the contractual cash flow characteristics of
financial assets. Where it fails to pass the cash flow characteristic test, direct classification as a financial asset
measured at fair values shall be adopted with variations to be recorded into the current profits and losses; where it
succeed to pass the cash flow characteristic test, its classification shall be determined on the business model of
financial assets management, and its qualification as a financial asset measured at fair values, of which variations
shall be recorded into the current profit and loss.
1) To be measured at amortized costs.
The company's business models for the management of such financial assets are aimed at the collection of the
contract cash flows, of which the characteristics of the contract cash flow shall be consistent with the benchmark
lending arrangement, that is, the cash flows generated at a certain date are referred to the payment of the principal
and the interest based on the outstanding principal amount only while the financial assets are not designated to be
measured at fair values, but their variations are recorded into the current profits and losses. However, the company
recognizes interest incomes for such financial assets in accordance with the effective interest rate methods. The
profits or losses of such financial assets due to the termination of recognition together with the losses as a result of
the impairment are directly recorded into the current profits and losses.
2) To be measured at fair values with its variations included in other comprehensive incomes.
The company's business model for managing such financial assets is both to receive the contract cash flows
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and to sell, of which the characteristics of the contract cash flows shall be consistent with the benchmark lending
arrangements, that is, the cash flow generated at acertain date is only the payment of the principal and the interest
based on the outstanding principal amount while the financial assets are not designated to be measured at fair
values, but their variations are recorded into the current profits and losses. However, such financial assets are
measured at fair values and their variations are included in other comprehensive incomes, but impairment losses
or gains, exchange gains & losses and interest incomes calculated according to the actual interest rate method are
included in the current profits and losses. Furthermore, variations in fair values accumulated into other
comprehensive incomes will be carried forward to the current profits and losses when the recognition of such
financial assets is terminated. Such financial assets are listed as other lending investments.
3) To be measured at fair values with variations booked into the current profits and losses.
Debt instruments held by the company that are not divided into those measured at amortized costs and those
measured at fair values with their variations recorded in other comprehensive incomes are measured at fair values
and their variations are recorded into the current profits and losses, of which those classified as financial assets are
measured at fair values with variations recorded into current profits and losses are listed as transactional financial
assets or other non-current financial assets.
（2）Equity Instruments
An equity instrument is one that is analyzed from the perspective of the issuers in accordance with the
definition of an equity instrument. Equity instrument investments is measured at fair values with variations
recorded into current profits and losses, which are listed as transactional financial assets, except that the
management of the company that is specified to be measured at fair values with variations recorded into other
comprehensive incomes. Items designated to be measured at fair values with variations included in the
comprehensive incomes are listed as the investments of other equity instruments, of which related changes in fair
values shall not be carried forward to the current profits and losses, and such designation shall not be revoked
once made. However, related dividend gains are booked into the current profits and losses, and no impairment
provision is included in the other equity instruments. When terminate recognition, the accumulated gains or losses
as previously recorded in other comprehensive incomes are transferred from other comprehensive incomes and
recorded in retained earnings.
（3）Financial Liabilities
Financial liabilities are classified as financial liabilities and other financial liabilities which are measured at
fair values with variations to be recorded into the current profits and losses at the initial recognition.
Financial liabilities measured at fair values with variations recorded into the current profits and losses
includes trading financial liabilities and financial liabilities that are specified to be measured at fair values with
variations booked into the current profit and loss. Financial liabilities can be designated as financial liabilities to
be measured at fair values at the initial measurement with their variations recorded into the current profits and
losses upon the any of the following conditions:
1）the designation can eliminate or significantly reduce the accounting mismatches;
2）The portfolio of financial liabilities or the portfolio of financial assets and financial liabilities is managed
and evaluated on the basis of fair values, and reported to key management within the company thereafter
according to the risk management or investment strategies stated in the official written documents. Such
designation shall not be revoked once made.
For financial liabilities designated to be measured at fair values with variations recorded in the current profits
and losses, variations in fair values caused by changes in the company's own credit risks shall be recorded in other
comprehensive incomes, while variations of other fair values are booked into the current profits and losses.
Furthermore, when terminate the recognition of such financial liabilities, the accumulated gains or losses as
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
previously recorded in other comprehensive incomes are transferred from other comprehensive incomes and
recorded in retained earnings.
Other financial liabilities of the company mainly include short-term loans, long-term loans and the like. For
such financial liabilities, effective interest methods are adopted with subsequent measurement to be made
according to the amortized costs.
（4）Termination Recognition of Financial Assets and Financial Liabilities
A financial asset shall be terminated upon one of the following circumstances:
1) The contractual right to receive the cash flow of the financial assets is terminated;
2) The financial asset with almost all the risks and rewards from the ownership of the financial assets have
been transferred to the transferee;
3) Although the company has neither transferred nor retained nearly all the risks and rewards in the ownership
of the financial asset, the financial assets of the company have been transferred and have relinquished control of
the financial assets.
Where the current obligations of a financial liability (or any part thereof) have been discharged, the company
ceases to recognize such financial liability (or any part thereof).
（5）Impairment of Financial Instruments
The company carries out impairment accounting treatment to the financial instruments based on expected
credit losses and confirms loss provisions. Expected credit loss refers to the weighted average credit losses of
financial instruments by the risks of defaults, and credit losses refer to the difference between all contract cash
flow receivable under the contract as well as all cash flows expected to be collected that discounted at the original
real interest rates, that is, the present values of all cash shortfalls.
Measuring methods of the company's expected credit losses on financial instruments reflects the following
factors: unbiased probability weighted averages as determined by a range of possible outcomes; the time value of
money; reasonable and informed information about past events, current conditions and future economic conditions
available up to the balance sheet date without unnecessary additional costs or efforts. The company determines the
expected credit losses of relevant financial instruments in the following manners:
1) For financial assets, the credit losses are the present values of the difference between the contract cash
flows and the expected cash flows payable by the company;
2) For leasing receivables, the credit losses are the present values of the difference between the contract cash
flows and the expected cash flows payable by the company;
3) For any uncommitted loan commitment, the credit losses are the present values of the difference between
the contract cash flows payable by the company and the cash flows expected to be collected if the loan
commitment holder withdraws corresponding loans. The company's estimations on the expected credit losses of
the loan commitment are consistent with its expectations on the utilization of the loan commitments;
4) In the case of a financial guarantee contract, the credit losses are the present values of the difference
between the amount the company expects to receive from the contract holders, debtors or any other party, and the
amount of money the company expects to pay to the contract holder in respect of the credit losses incurred by the
contract holder;
5) In the case of a financial asset whose credit impairment has occurred on the date as indicated by the
balance sheets but is not purchased or originated, the credit losses are referred to the difference between the book
balance of the financial assets and the present values of the estimated future cash flow discounted at the original
real interest rates.
Three stages are adopted to identify expected credit losses by assessing whether its credit risks have increased
significantly since its initial recognition together with considerations to the reasonable and evidence-based
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information (including forward-looking information) on each balance sheet date. In the case that the credit risk
has not increased significantly since the initial confirmation, the expected credit losses are defined as the first
stage, and the loss provisions are measured according to the expected credit losses of the financial instruments
within the next 12 months; where the credit risk has increased significantly since the initial confirmation but no
credit impairment has occurred, the expected credit losses are defined as the first stage, and the loss provisions are
made according to the expected credit losses of the financial instruments for the entire duration; in the event that a
credit impairment has occurred since the initial recognition, the expected credit losses are defined as the third
stage, and the loss provisions are measured in accordance with the expected credit losses of the financial
instruments throughout its duration. For financial instruments of the first and second stages, the interest income
shall be calculated according to the book balance and the actual interest rates; for financial instruments of the third
stage, the interest income shall be determined according to its amortized costs and the real interest rates.
For purchased or originated financial assets with credit impairment, only the cumulative variations in the
expected credit losses during the entire period (up to the date as indicated by balance sheet) after the initial
recognition are recognized as loss provisions, and its interest gains are determined according to the amortized
costs of financial assets and the real interest rates as adjusted by credit.
An increase or reversal of the loss provisions is recorded as an impairment loss or gain of the current period.
For debt instruments as held at fair values with variations recorded into othercomprehensive incomes, impairment
losses or gains are recorded into the current profits and losses, and other comprehensive incomes is adjusted
synchronously.
A. Provisions of the company for the losses are measured on the expected credit losses for the entire duration
The company divides notes and accounts receivable into several combinations and calculates the expected
credit losses with reference to the combination based on the characteristics of credit risks.
For notes receivable by portfolios, the expected credit losses are calculated by the default risk exposures and
the expected credit loss rates of the entire duration with reference to company's historical credit loss experience,
and the combination with the current situation and the forecast of future economic conditions. Determining basis
of the portfolios is as follows:
Portfolio A of notes receivable trade acceptances
Portfolio B of notes receivable bank acceptances
For accounts receivable by portfolios, a comparison table of the expected credit loss rates is prepared between
the age of accounts receivable and the entire duration to calculate the expected credit losses with reference to
company's historical credit loss experience, and the combination with the current situation and the forecast of
future economic conditions. Determining basis of the portfolios is as follows:
Portfolio A of accounts receivable vintage analysis
Portfolio B of accounts receivable specific identification
The company divides other receivables and long-term receivables into several portfolios according to the
characteristics of credit risks and calculates the expected credit losses on the basis of such portfolios when
individual other receivables and long-term receivables fails to obtain the information to assess the expected credit
losses at a reasonable cost. Determining basis of the portfolios is as follows:
Portfolio A of other receivables deposits and securities receivable
Portfolio B of other receivables advanced money receivable
Portfolio A of long-term receivables lease receivables
For lease receivables by portfolios, the expected credit losses are calculated by the default risk exposures and
the expected credit loss rates of the entire duration with reference to company's historical credit loss experience,
and the combination with the current situation and the forecast of future economic conditions. For other
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receivables and long-term receivables divided into combinations other than lease receivables, the expected credit
losses are calculated by the default risk exposure and the expected credit loss rates for the next 12 months or the
entire duration.
（6）Derivatives and Embedded Derivatives
Derivatives of the company's mainly include forward contracts, futures contracts and swap contracts.
Derivatives are initially measured at the fair values at the execution dates of the derivative trading contracts, and
are subsequently measured at their fair values thereafter. The gains or losses arising from the variations in the fair
values of the company's derivatives are directly recorded into the current profits and losses.
Embedded derivative refers to the derivatives that are embedded in the non-derivative instruments (i.e., the
master contracts), which constitutes the hybrid contracts with the master contracts. Where the master contracts
contained inside the hybrid contract are assets regulated by the Standards for Financial Instruments, the company
does not split the embedded derivatives from the hybrid contracts, and instead, the hybrid contracts are applied as
a whole to relevant provisions of the financial instrument criterion on the classification of financial assets.
In the case that the master contracts contained in the hybrid contracts are not assets under the financial
instrument criterion but meet the following conditions, the company splits the embedded derivative from the
master contracts and settle as separate derivatives:
1) The economic characteristics and risks of the embedded derivative instruments are not closely related to
the economic characteristics and risks of the master contracts.
2) Separate instruments with terms associated with embedded derivatives are conforming to the definition of
derivatives;
3) The hybrid contracts are not measured at fair values and its variations are recorded into the current profits
and losses for accounting settlements.
（7）Offsets of Financial Assets and Liabilities
When the company is legally entitled to offset the recognized financial assets and financialliabilities, and such
right is currently enforceable, and when the company plans to settle such financial assets and pay off the financial
liabilities on a net basis or liquidate the financial assets and liabilities, the amount of financial assets and financial
liabilities offset against each other are stated in the balance sheets. In addition, financial assets and financial
liabilities are shown separately in the balance sheets and are not offset against each other.
（8）The Fair Values Determination of Financial Instruments
For financial instruments with active markets, the fair values of assets are determined by the price the market
participant who would have to pay to receive or transfer a liability from the sale of such asset in an orderly
transaction on the measurement date. Where there are financial instruments without active markets, the fair values
is determined by valuation methodologies. In the valuations, the input values consistent with the characteristics of
the assets or liabilities as considered by the market participants in the transaction of the relevant assets or
liabilities, together with relevant observable input values as preferred reference are adopted by the company
through the valuation techniques that are applicable in the current situation and are supported by sufficient data
and other information available. An un-observable input value is adopted when relevant observable input values
cannot be obtained or is not feasible to obtain
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11.Notes receivable
12.Account receivable
13. Financing of receivables
14.Other account receivable
Determination method of expected credit loss of other receivables and accounting treatment method
15. Inventories
16.Contract assets
The company presents contract assets or liabilities in the balance sheet according to the relationship between
performance obligation and customer payment. Contract assets are the right of the company to receive
consideration for the goods transferred to the customer, and the right depends on other factors other than the
passage of time. Contract liability is the obligation of the company to transfer goods to the customer for the
consideration it has received or receivable from the customer.
The contract assets are prepared for impairment according to the expected credit loss method. No matter whether
it contains significant financing components or not, the company measures its loss provision according to the
amount of expected credit loss in the whole duration on the balance sheet date. If the expected credit loss is
greater than the book amount of current contract asset impairment provision, the difference is recognized as
impairment loss, otherwise, it is recognized as impairment gain. The relevant contract assets are deemed to be
unable to be recovered and have actual impairment loss, which shall be written down after approval.
17. Contract costs
On the balance sheet date, the contract assets and liabilities are listed separately due to different contracts. For
contract assets and contract liabilities under the same contract, the net amount is shown as the debit balance, and
the contract assets or other non-current assets are listed respectively according to their liquidity. If the provision
for impairment has been accrued, the balance at the end of the period minus the provision for impairment of
contract assets shall be listed; If the net amount is the credit balance, it shall be listed as contract liabilities or other
non-current liabilities according to their liquidity.
18. Held-for-sale assets
The Company will retrieve its book value by means of selling assets (including the exchange of commercial
non-monetary assets) instead of sequentially using a non-monetary asset or a disposal group, and when meeting
two of the following conditions, the book value will be divided into held-for-sale category: (1) When a certain
non-monetary assets or a certain disposal group sells such kind of assets in similar transactions in accordance with
the convention , assets can be sold immediately under the current situation. (2)The Company has made decision
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for the selling plans and has acquired assured purchase commitment, predicting that selling will be completed
within one year.( The selling, which can only be sold after acquiring approval from relevant authorities or
supervision departments according to relevant provision requirement , has acquired its approval ).
The Company will be specifically for dividing the non-current assets or disposal group which are acquired from
reselling into on-sales category on acquisition date if on acquisition date they can meet the stipulated condition
that the predicted selling will be completed within one year , and in a short term (usually 3 months) they are likely
to meet other conditions of dividing into on-sales category.
When the non-monetary assets and disposal group were measured by the Company at the beginning or remeasured
and divided into held-for-sale category on balance sheet date, if its book value is higher than the net amount after
fair value deducts selling expense, the book value will be written down to the net amount after fair value deducts
selling expense, and the written-down amount will be confirmed as assets impairment losses and counted into the
current profits and losses, and the impairment provision with held-for-sale assets will be withdrawn in the
meanwhile. For the held-for-sale disposal group’s confirmed amount of loss of asset impairment, the book value
of goodwill will be deducted first, and its book value will then be deducted proportionally according to the book
value’s percentages of all non-current assets in the disposal group which can be adopted by the measurement
stipulations of Accounting Standards for Business Enterprises NO.42- Held-for-sale Non-current Assets, Disposal
Groups and Operation Termination
If any increment occurs in the net amount after the held-for-sale non-current assets on the subsequent balance
sheet date deducts selling expense, the amount deducted previously will be recovered and will be transferred back
within the amount of asset impairment losses confirmed after being divided into held-for-sale category, and the
amount transferred back will be counted into the current profits and losses. There will be no restitution for asset
impairment losses confirmed before being divided into held-for-sale category. The amount deducted previously of
held-for-sale disposal group shall be recovered, and when after being divided into held-for-sale category, it will be
transferred back within the amount of impairment confirmed by non-current assets by the means of the measure
stipulations of Accounting Standards for Business Enterprises NO.42- Held-for-sale Non-current Assets, Disposal
Groups and Operation Termination, and the amount transferred back will be counted into the current profits and
losses. There will be no restitution for the book value of goodwill which has been deducted and for asset
impairment losses confirmed before being divided into held-for-sale category which can be adopted by the
measure stipulation of this principle.
Non-current held-for-sale assets or non-current assets in the disposal group shall not be depreciated or amortized,
and interest and other expenses on liabilities held in the disposal group for sale shall continue to be recognized.
When the non-current assets or the disposal group can not meet the conditions of dividing into on-sales category,
the Company will not continue to divide it into on-sales category or remove the non-current assets from the
on-sales disposal group, and the valuation will be made according to the lower one between two of followings: （1）
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Book value before being divided into on-sales category, and the amount of money after being under the situation
where book value is supposed not to be divided into on-sales category and adjustment is made in depreciation,
amortization or impairment which should have been confirmed. （2）Recoverable amount.
When derecognizing the on-sales non-current assets or disposal group, the Company will count the gains and
losses which are yet to be confirmed into the current profits and losses.
19. Creditor's investment
20.Other creditor's investment
21.Long-term account receivable
22. Long-term equity investment
The long-term equity investment in this section refers to the long-term equity investment of this enterprise that is
able to control to or does joint control with or significant influences over the invested enterprise. For the
long-term equity investment of this enterprise that is not able to control to or does not do joint control with or
have significant influences over the invested enterprise, this enterprise shall record it as available-for-sale
financial asset or the financial asset measured by its fair value with its changes in fair value recorded into the
profits or losses of current period as the changes. For details of its accounting policy, please refer to Note 3.10
"Financing Instruments".
The term "joint control" refers to the joint control over an arrangement of this enterprise in accordance with the
contracts and agreements, and decisions over relevant activity of such arrangement shall not be unless the assent
on sharing the control power. The term "significant influences" refers to this enterprise's power to participate in
making decisions on the financial and operating policies of the invested enterprise, but not to control or do joint
control together with other parties over the formulation of these policies.
（1）Determination of investment cost
For the merger of enterprises under the same control, it shall, on the date of merger, regard the share of the book
value of the owner's equity of the merged enterprise as the initial cost of the long-term equity investment. The
difference between the initial cost of the long-term equity investment and the payment in cash, no-cash assets
transferred as well as the book value of the debts borne by the merging party shall offset against the capital reverse.
If the capital reserve is insufficient to dilute, the retained earnings shall be adjusted. If the consideration of the
merging enterprise is that it issues equity securities, it shall, on the date of merger, regard the share of book value
of the owner’s equity of the merged enterprise as the initial cost of the long-term equity investment. The total face
value of the stocks issued shall be regarded as the capital stock, while the difference between the initial cost of the
long-term equity investment and total face value of the shares issued shall offset against the capital reserve. If the
capital reserve is insufficient to dilute, the retained earnings shall be adjusted. For the merger of enterprises under
the same control through gaining the shares of the combined enterprise by multiple steps of deals, it shall deal
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with it in the following two ways depending on that if it belongs to "a package deal": if it belongs to "a package
deal", it shall deal with all the deals as one obtaining the control power; if it does not belong to "a package deal",
it shall, on the date of merger, regard the share of book value of the owner’s equity of the merged enterprise as the
initial cost of the long-term equity investment. The total face value of the stocks issued shall be regarded as the
capital stock, while the difference between the initial cost of the long-term equity investment and total face value
of the shares issued shall offset against the capital reserve. If the capital reserve is insufficient to dilute, the
retained earnings shall be adjusted. The equity investment held by this enterprise before the date of merger shall
be accounted for by equity method, or shall be recorded as the other comprehensive income recognized as
available-for-sale financial asset and not accounted for.
For the merger of enterprises not under the same control, it shall, on the date of merger, regard the share of the
book value of the owner's equity of the merged enterprise as the initial cost of the long-term equity investment.
The merger costs include the assets paid, liabilities occurred or borne and sum of the fair value of the equity
securities issued by the purchaser. For the merger of enterprises not under the same control through gaining the
shares of the combined enterprise by multiple steps of deals, it shall deal with it in the following two ways
depending on that if it belongs to "a package deal": if it belongs to "a package deal", it shall deal with all the deals
as one obtaining the control power; if it does not belong to "a package deal", it shall, on the date of merger, regard
the sum of book value of the owner’s original equity of the merged enterprise and the newly increased investment
cost as the initial cost of the long-term equity investment. For the shares originally held by this enterprise
accounted for by weighted equity method, the relevant other comprehensive income shall not be accounted for
temporarily. For the equity investment accounted for as available-for-sale financial asset, the difference of its fair
value and its face value and the accumulated changes in its fair value originally recorded as other comprehensive
income shall be switched to the profits or losses of the current period.
The audit cost, law service cost, evaluation and consultation fees and agent commissions as well as other related
administration costs occurred and borne by the merging or purchasing enterprise for the purpose of merger, shall
be recorded into the profits or losses of current period at the time when the costs occurred.
Other equity investments except the long-term equity investment formed by merger of enterprises shall be initially
ascertained by their costs which, depending on the different ways in acquiring the long-term equity investments,
shall be recognized separately as cash purchasing prices actually paid by this enterprise, fair value of the equity
securities issued by this enterprise, agreed value of the investment contracts or agreements, fair value or original
book value of the assets obtained by exchange of no-monetary assets, the fair value of the long-term equity
investment itself, etc. The relevant expenses, tax payments as well as other necessary expenses directly associated
with obtaining the long-term equity investment shall be recorded into the investment costs as well. If this
enterprise is able to do joint control or significant influence, which does not constitute control, over the invested
entity as a result of additional investment, the long-term equity investment cost shall be the sum of the fair value
of the equity investment ascertained in accordance with the Accounting Standards for Enterprises No. 22 -
Recognition and Measurement of Financial Instrument and the cost of the increased investment.
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（2）Subsequent measurement and recognition of profit or loss
A long-term equity investment of this enterprise that does joint control (not including joint venture) or significant
influences over the invested entity shall be measured by employing the equity method. Besides, the cost method is
employed in this enterprise's financial reports to measure the long-term equity investment that could form control
over the invested entity.
① Long-term equity investment calculated under the cost method
The price of a long-term equity investment measured by employing the cost method shall be included at its initial
investment cost. If there are additional investments, the cost of the long-term equity investment shall be adjusted.
Except the prices actually paid when obtaining the investment or cash dividends or profits being approved in the
consideration but not yet issued, the investment income of the current period shall be recognized in accordance
with the cash dividends or profits being approved by the invested entity.
② Long-term equity investment calculated under the equity method
If the initial cost of a long-term equity investment is more than the investing enterprise's attributable share of the
fair value of the invested entity's identifiable net assets for the investment, the initial cost of the long-term equity
investment may not be adjusted. If the initial cost of a long-term equity investment is less than the investing
enterprise's attributable share of the fair value of the invested entity's identifiable net assets for the investment, the
difference shall be included in the current profits and losses and the cost of long-term equity investment shall be
adjusted simultaneously.
When employing the equity method, this enterprise shall, in accordance with the attributable share of the net
profits or losses of the invested entity, recognize the investment profits or losses and adjust the book value of the
long-term equity investment. This enterprise shall, in the light of the profits or cash dividends declared to
distribute by the invested entity, calculate the proportion it shall obtain, and shall reduce the book value of the
long-term equity investment correspondingly. Where any change is made to the owner's equity other than the net
profits and losses of the invested entity, the book value of the long-term equity investment shall be adjusted and
included in the capital reserves. This enterprise shall, on the ground of the fair value of all identifiable assets of
the invested entity when it obtains the investment, recognize the attributable share of the net profits and losses of
the invested entity after it adjusts the net profits of the invested entity. If the accounting policies and accounting
periods adopted by the invested entity are different from those adopted by this enterprise, an adjustment shall be
made to the financial statements of the invested entity in accordance with the accounting policies and accounting
periods of this enterprise and recognize the investment profits or losses and other comprehensive incomes. For the
transactions between this enterprise and its joint ventures and associated entities, where the assets invested or sold
do not constitute a business, the unrealized internal transaction profits or losses shall be calculated in accordance
with proportion shared, with the proportion shared by this enterprise offset and recognize the investment profits or
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losses based thereof. However, if losses occurred in the internal transaction between the invested entities is the
impairment loss of transferred assets, they shall not be offset. When the assets invested by this enterprise to its
joint ventures or associated entities constitute a business, and the investing party obtains long-term equity but
without control power, the fair value of the invested business shall be recognized as the initial investment cost of
the additional long-term equity investment. The total difference between the original investment cost and the book
face of the invested business shall be recorded into the profits or losses of the current period. If the assets
purchased from the joint ventures or associated entities constitute a business, this enterprise shall account for the
business in accordance with this enterprise Accounting Standard No. 20 - Business Combinations, with the total
profits or losses associated with the transaction recognized.
The Company bears the net losses of its invested business to the limit of the book value of its long-term equity
investment and other long-term equity that in real terms constitutes investment on the business. For additional loss
of its invested business, if the Company is obligated to undertake, it shall be recognized as estimated liabilities
accordingly and recorded in current investment losses. If the invested business earns profits afterwards, the
Company shall reinstate and recognize its share of gains after compensating its unrecognized share of losses.
③ Purchase of minority interest
While compiling consolidated financial statements, the Company adjusts its capital reserve in terms of the
difference between the increase of long-term equity investments due to purchase of minority interest and its share
of the subsidiaries’ net assets since the purchase (or combination) date or dates. If its capital reserve is not
sufficient to write down the difference, then the Company adjusts its retained income.
① Disposal of long-term equity investment
In consolidated financial statements, the Company records in shareholders’ equity the difference between partial
disposals of its long-term equity investments in its subsidiaries and its share of the subsidiaries’ net assets if it
does not lose control of the subsidiaries; and if such partial disposals result in loss of its control of the subsidiaries,
the difference shall be treated in accordance with the accounting policies related and specified in “Compiling
Principles for Consolidated Financial Statements”. ( Please refer to (2) in Note 3.6 )
For disposals of long-term equity investments under other circumstances, the difference between the book value
and the actual received consideration is recorded in current profit and loss.
For the long-term equity investments calculated by equity method, the same method applies to the remaining
equity after disposal. Meanwhile, the other comprehensive gains originally recorded in shareholders’ equity is
treated pro rata by the same method how the invested businesses handle the accounts while directly disposing the
related assets or liabilities. The investor recognizes the ownership interest due to equity changes except net profit
and loss, other comprehensive gains and profit distribution, and carries it over pro rata to current profit and loss.
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For long-term equity investments calculated by costs method, the same method applies to the remaining equity
after disposal. Other comprehensive gains calculated and recognized by equity method or recognition and
measurement principles for financial instruments before the Company obtains control of the invested businesses
are treated on the same basis that the invested businesses directly dispose the related assets or liabilities, and it
will be carried over pro rata to current profit and loss; and among the invested businesses’ net assets that are
calculated and recognized by equity method are all other equity changes than net profit and loss, other
comprehensive gains and profit distribution carried over pro rata to current profit and loss.
For disposals of long-term investment equity resulting in loss of control over the invested businesses, when
compiling individual financial statements, the Company changes to adopt equity method to calculate the
remaining equity that is still sufficient to exert joint control or significant influence, and to make adjustments as
since it was acquired; and if the remaining equity is not sufficient, it will be handled in accordance with the
relevant recognition and measurement principles for financial instruments and the difference between its fair value
and book value will be recorded in current profit and loss since the Company loses control of the invested
businesses. For other comprehensive gains recognized by equity method or recognition and measurement
principles for financial instruments before the Company obtains control over the invested businesses, the
Company adopts the same basis to handle the accounts as the invested businesses directly dispose the related
assets or liabilities, and among the invested businesses’ net assets that are calculated and recognized by equity
method are all other equity changes than net profit and loss, other comprehensive gains and profit distribution
carried over pro rata to current profit and loss. For the remaining equity calculated by equity method, other
comprehensive gains and other ownership interests will be carried over pro rata while for those treated in
accordance with the recognition and measurement principles for financial instruments, other comprehensive gains
and other ownership interests will be carrier over entirely.
Under the circumstances that the Company loses joint control over or has no significant influence on the invested
businesses due to partial equity disposal, the remaining equity changes to be calculated in accordance with the
recognition and measurement principles for financial instruments, and the difference between its fair value on the
date that the Company loses the joint control and significant influence and the book value is recorded in current
profit and loss. For other comprehensive gains recognized due to calculation of the original equity investments by
equity method, the Company adopts the equity method no longer but the same basis to handle the accounts as the
invested businesses directly dispose the related assets or liabilities while carrying over to current profit and loss all
the ownership interest recognized due to other equity changes than net profit and loss, other comprehensive gains
and profit distribution.
If the Company gradually loses control of a subsidiary through multiple transactions, which is a package deal as a
whole, then all these transactions will be treated as control losing equity disposal, and before loss of control, the
difference between each transaction consideration and the book value of the corresponding long-term equity
investment is recognized as other comprehensive gains and in the end, carried over to current profit and loss upon
loss of control.
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23. Investment property
The measurement mode of investment property
The measurement by the cost method
Depreciation or amortization method
Investment properties are properties to earn rentals or for capital appreciation or both. Examples include land
leased out under operating leases, land held for long-term capital appreciation, buildings leased out under
operating leases, (including buildings that have been constructed or developed for future lease out under operating
leases, and buildings that are being constructed or developed for future lease out under operating leases).
The Company makes initial measurement at the costs that the properties is acquired and records as part of the
property costs the subsequent expenses that could bring economic benefit inflows and be measured reliably while
other subsequent expenses as part of current profit and loss. Such properties are depreciated or amortized in
accordance with the relevant regulations for fixed assets or intangible assets.
24. Fixed assets
(1) Recognition criteria for fixed assets
（1）Criteria for recognition of fixed assets，Fixed assets refer to tangible assets that are held for production,
services, leases or operations and the useful life of which are over one accounting year. Fixed assets are
recognized if it produces economic benefit inflows and its costs can be measured reliably. The Company makes
initial measurements on fixed assets at the costs that they are acquired.（2）Classification and depreciation policy
of fixed assets，The company adopts the Straight-line method to carry out depreciation. The fixed assets shall
begin to be depreciated upon reaching the intended usable state, and shall cease to be depreciated upon
termination of recognition or when they are classified as non-current & held-for-sale assets. Without taking into
account the provision for impairment, the Company determines the annual depreciation rates of all types of fixed
assets according to the type of fixed assets, the expected useful life and the estimated residual value as follows:
（2）Depreciation method
The method for
Category Expected useful life Estimated residual value Depreciation
depreciation
Buildings and
Straight-line method 25-35 3 2.77-3.88
constructions
Straight-line method 7-15 3 6.47-13.86
Machinery equipment
Transportation
Straight-line method 8-10 3 9.70-12.13
equipment
Other equipment Straight-line method 5-10 3 9.70-19.40
Thereinto, the fixed asset whose asset impairment provision has been withdrawn should also have its
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accumulated amount deducted to count and confirm the depreciation rate.
At the end of each year, the company reviews the useful life, estimated net residual value and depreciation
method of fixed assets. If the estimated useful life is different from the original estimate, the useful life of the
fixed assets shall be adjusted. If the estimated net residual value is different from original estimated, the estimated
net residual value shall be adjusted
（3）Recognition basis, pricing and depreciation method of fixed assets by finance lease
Fixed assets leased by the Company are recognized as financing leased fixed assets when they meet one or
more of the following criteria:
1) At the end of the lease term, ownership of the leased assets is transferred to the Company.
2) The Company has the option to purchase leased assets, and the contracted purchase price is expected to
be well below the fair value of the leased assets at the time of exercise of the option, So it can be
reasonably certain that the Company will exercise this option on the date of commencement of the lease.
3) Even if ownership of the assets is not transferred, the lease term accounts for the majority of the useful
life of the leased assets.
4) The present value of the minimum lease payment of the Company at the date of commencement of the
lease is almost equivalent to the fair value of the leased assets on the date of commencement of the lease.
5) The leased assets are of a special nature, if no major modifications are made, only the company can use
them.
Fixed assets from financial leasing are depreciated during the useful life if it is reasonable to determine
that the ownership could be obtained upon lease expiration; otherwise, the Company should choose the
shorter of the lease period and the remaining useful life to depreciate the assets.
（4）Charge for Major repair
The Company conducts regular checking on major overhaul fee incurred in the fixed asset, and any parts of
the fee that have unambiguous evidence to indicate they conform with the condition for confirming fixed
asset will be counted into the fixed asset costs, otherwise into the profit and loss of the current period. During
the interval period of regular major overhaul, the fixed asset will be depreciated as before.
25 .Projects under construction
26. Borrowing expenses
Borrowing expenses include interest, amortization of discount or premium, auxiliary expenses, translation
differences arising from borrowings in foreign currency etc. The Company starts to capitalize the borrowing
expenses in direct connection to purchase, construction or production of the assets that meet capitalization
conditions when there are assets expenditures and borrowing expenses incurred and/or the Company starts all the
necessary events to purchase, construct or produce such assets till the assets can be used and sold. Other
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borrowing expenses are recognized as costs when incurred.
The Company capitalizes the actual interest expense incurred by use of special borrowings, minus the interest
income from the remaining borrowing funds in bank or any investment income earned from the interim
investment of those borrowings; and for general borrowings, the amount to capitalize is the weighted average of
the accumulated assets expenditures in exceed of the special borrowings times the capitalization rate of the used
general borrowings, which is determined by the weighted average interest rate of the general borrowings.
During capitalization, all translation differences of special borrowings in foreign currency should be capitalized
while those of general borrowings in foreign currency are recorded in current profit and loss.
The qualifying assets to be capitalized are fixed assets, investment properties and inventories which need to be
acquired, constructed or produced through a long period of time, in order to become ready for its intended use or
sale.
The Company stops capitalization of borrowing costs if an abnormal interruption more than 3 consecutive months
occurs during purchase, construction or production of the assets that are eligible to capitalization till all those
restart.
27. Biological assets
28. Oil-gas assets
29. Assets of the right to use
30. Intangible assets
1 Pricing method, useful life and impairment test
The Company makes initial measurements on intangible assets in terms of the costs and determines the useful life
when obtaining the assets. For intangible assets of a limited useful life, from the time the assets are available for
use, the Company adopts the amortization method that reflects realization of the expected economic benefits, or
the straight-line amortization method if unable reliably to determine how to realize the expected economic
benefits; and no amortization are made for intangible assets of an unlimited useful life.
At the end of each year, the Company reviews the useful life and amortization methods of intangible assets of a
limited useful life and makes adjustments and accounting treatment if different from the previous estimates.
For the intangible assets that are estimated to produce no more economic benefits in the future, the Company
records the book value of such assets all in current profit and loss.
（2）Research and development expenses
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The expenditures for internal research and development projects of an enterprise shall be classified into research
expenditures and development expenditures.
The research expenditures shall be recorded into the profit or loss for the current period.
The development expenditures shall be capitalized when they satisfy the following conditions simultaneously: It is
feasible technically to finish intangible assets for use or sale; Having the intention to complete the intangible asset
and use or sell it; The usefulness of methods for intangible assets to generate economic benefits shall be proved,
including being able to prove that there is a potential market for the products manufactured by applying the
intangible assets or there is a potential market for the intangible assets itself for the intangible assets will be used
internally; It is able to finish the development of the intangible assets, and able to use or sell the intangible assets,
with the support of sufficient technologies, financial resources and other resources; Expenditures attributable to
the development phase of the intangible assets can be measured reliably. Development expenditures that do not
meet the above conditions are included in the profits and losses of the current period.
After meeting the above conditions, the corresponding projects of the company study their technical feasibility
and economic feasibility, and enter the development stage after the formation of the project.
31 Impairment of the long-term assets
On balance sheet dates, the Company determines whether there are impairments occurring to fixed assets,
construction in progress, intangible assets of a limited life, investment properties measured in the cost model as
well as non-current and non-financial assets like the long-term equity investments on subsidiaries, joint ventures
and associated companies. If impaired, the Company estimates the retrievable amount and conducts an
impairment test. Impairment tests need to be done on goodwill, intangible assets of an unlimited life and the
intangible assets that are not yet to reach the usable status, no matter they are impaired or not.
If the impairment test result shows the retrievable amount lower than the book value, impairment provisions will
be set aside and recorded in impairment loss. The retrievable amount is the fair value of the assets minus the
disposal expenses or the present value of the estimated future cash flows of the assets, whichever is higher. The
fair value of the assets is determined in terms of the price specified in the selling agreement that is fair trade; if no
selling agreement but there is an active assets market existing, it is determined in terms of the buyer’s offer; and if
no selling agreement and active assets market, the fair value can be estimated based on the best available
information. Disposal expenses include all related legal charges, taxes, delivery fees or the direct expenses
incurred to have the assets reach the usable or sellable status. To determine the present value of the estimated
future cash flows from the assets, the Company chooses an appropriate discount rate in the light of the continual
usage of the assets and the estimated future cash flows occurring upon final disposal. Impairment provisions of the
assets are calculated and recognized on the basis of individual assets. If unable to estimate the retrievable amount
of individual assets, the Company determines the amount by reference to the asset group that includes the
individual assets. Asset groups are the minimum assets combination that independently produces cash inflows.
For the goodwill separately listed in financial statements, while an impairment test being conducted, the book
value is apportioned to the asset groups or combination of asset groups expected to benefit from the synergy
effects arising from business combinations. The Company recognizes impairment losses when the test result
shows that the retrievable amount of the asset groups or combination of asset groups is lower than their book
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values. The impairment loss will be first used to write down the book values of the asset groups or combination of
asset groups and then those of other assets pro rata.
Once the aforesaid impairment losses are recognized, they cannot be reinstated in the future.
32. Long-term amortizable expenses
Long-term unamortized expenses are valued at the actual costs and amortized at average in an estimated beneficial
period of time. If those cannot benefit the Company in future accounting periods, the remaining will be recorded
all in current profit and loss.
33.Constract Liabilities
34. Employee compensation
1.Accounting treatment of short-term remuneration
Employee compensation refers to all kinds of rewards or compensations given in return for employees’ services or
employment termination. It includes short-term compensation, post-employment benefits, demission benefit.
Short-term compensation includes payroll, bonus, allowances and subsidies, employee welfare, medical insurance,
injury insurance and birth insurance, housing fund, labor union and employee training expenditures, non-monetary
benefits and other short-term rewards. It recognizes as liabilities the actual short-term compensation incurred
during the accounting period that the employees provide their services and records in current profit and loss or the
relevant asset costs. Non-monetary benefits are measured at the fair value.
2.Accounting treatment of benefits paid after departure
Post-service benefits mainly include defined contribution plan and defined benefit plan. The defined contribution
plan mainly includes basic pension, unemployment insurance etc. The corresponding contributions are recorded in
the relevant asset costs or current profit and loss when incurred.
3.Accounting treatment of dismissal welfare
When terminating labor relations before expiration of contract, or layoffs with compensations, and the Company
cannot terminate the labor relations unilaterally or reduce the demission welfare, remuneration and liabilities
produced from the demission welfare should be determined and included in current profits and losses when
determining the costs of demission welfare and recombination. However, demission welfare not fully paid within
12 months after annual Reporting Period should be handled the same as other long-term employees’ payrolls.
The inside employee retirement plan is treated by adopting the same principle with the above demission
welfare. The Company would record the salary and the social security insurance fees paid and so on from the
employee’s service terminative date to normal retirement date into current profits and losses (demission welfare)
under the condition that they meet the recognition conditions of Retained Earnings.
4 .Accounting treatment of other long term employee benefits
The inside employee retirement plan is treated by adopting the same principle with the above demission welfare.
The Company would recorded the salary and the social security insurance fees paid and so on from the
employee’s service terminative date to normal retirement date into current profits and losses (demission welfare)
under the condition that they meet the recognition conditions of Retained Earnings.
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35. Lease liabilities
36. Estimated Liabilities
The Company recognizes obligations relating to contingent events as estimated liabilities if they meet the
following conditions:
A. That obligation is a present obligation of the enterprise;
B. It is probable that an outflow of economic benefits from the enterprise will be required to settle the obligation;
C. A reliable estimate can be made of the amount of the obligation.
The estimated liabilities is initially measured on the basis of the best estimate of the expenditure required to meet
the relevant current obligations, taking into account factors such as risks, uncertainties and the time value of the
currency associated with contingencies. Where the time value of the currency has a significant impact, the best
estimate is determined by discounting the relevant future cash outflows.
When all or some of the expenses necessary for the liquidation of an estimated liabilities of an enterprise is
expected to be compensated by a third party, the compensation should be separately recognized as an asset only
when it is virtually certain that the reimbursement will be obtained. Besides, the amount recognized for the
reimbursement should not exceed the book value of the estimated liabilities.
37.Share-based Payment
38 . Other financial instruments such as preferred shares and perpetual capital securities
39.Revenues
Accounting policies used for revenue recognition and measurement
Different business models of similar businesses lead to differences in revenue recognition accounting policies.
40. Governmental subsidy
Government subsidy means the Company gratuitously obtains monetary assets or non-monetary assets from the
government, not including the capital into which the government invests as an investor who has relevant
ownership interest. Government subsidies are divided into the subsidy related to assets and the other related to
earnings. Government subsidies related to monetary assets will be measured according to the amount received or
the amount receivable. Those which related to non-monetary assets will be measured according to fair value; For
any fair value which cannot be reliable to be obtained, the assets will be measured according to the nominal
amount, and the one measured according to the nominal amount will be directly counted into the current profits
and losses.
Government subsidies can only be recognized when the company is able to meet the conditions attached to
government subsidies and is able to receive government subsidies.
Government subsidies are divided into asset-related government subsidies and income-related government
subsidies. Government subsidies related to assets refer to government subsidies obtained by companies for the
purchase, construction or other formation of long-term assets. Government subsidies related to income refer to
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government subsidies in addition to those related to assets.
The government grants pertinent to assets are recognized as deferred income and are credited to profit or loss by
stages in accordance with a reasonable and systematic method within the useful life of the pertinent assets. If the
pertinent assets are sold, transferred, scrapped or destroyed before the end of their useful life, the non-allocated
pertinent deferred income balance shall be transferred to the profit or loss of the period of assets disposal, and the
recognized government grant needs to be refunded, then it shall write down the carrying amount of the relevant
deferred income and the excess part shall be included in the current profit and loss. The government grants
pertinent to income that are used to compensate the relevant costs or losses of the subsequent period of the
enterprise are recognized as deferred income and are credited to the current profit or loss for the period when the
relevant costs, expenses or losses are recognized; those government grants used for compensating the related
expenses or losses incurred to the enterprise shall be directly included in the current profits and losses.
For the government subsidy which includes both the assets related part and the income related part, the different
parts are treated separately; if it is difficult to distinguish, the whole is classified as the government subsidy related
to the income.
Government subsidies related to the daily activities of the company shall be included in other earnings in
accordance with the substance of the economic business. Government subsidies not related to the daily activities
of the company shall be included in the non-operating income and expenditure.
41.Deferred income tax assets and deferred income tax liabilities
The balance between the book value and the tax basis of some items of assets and liabilities, as well as the
temporary differences issued as the balance between the book value and the tax basis of the tax basis items that
unrecognized as assets and liabilities but can be determined as per the provisions of tax law, which shall be
determined as the deferred income tax assets and the deferred income tax liabilities in accordance with the balance
sheet debt law.
Taxable temporary differences related to the initial recognition of goodwill, as well as the initial recognition of an
asset or liability in a transaction that neither belongs to a business consolidation, nor affects the accounting profit
and taxable income (or deductible loss) when it happens, the relevant deferred income tax liabilities shall not be
recognized. In addition, as for taxable temporary differences associated with investments in subsidiaries,
associates and joint ventures, if the Company could control the reverse time of such differences and such
differences cannot be reversed in the foreseeable future, the relevant deferred income tax liabilities also shall not
be recognized. Apart from the above-mentioned exceptional cases, the Company recognizes all other deferred
income tax liabilities caused by taxable temporary differences.
Deductible temporary differences related to the initial recognition of an asset or liability in a transaction that
neither belongs to a business consolidation, nor affects the accounting profit and taxable income (or deductible
loss) when it happens, the relevant deferred income tax assets shall not be recognized. In addition, as for
deductible temporary differences associated with investments in subsidiaries, associates and joint ventures, if such
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
differences cannot be reversed in the foreseeable future or are not likely to obtain the taxable income to deduct the
deductible temporary differences of the taxable income, the relevant deferred income tax assets shall not be
recognized. Apart from the above-mentioned exceptional cases, the Company recognizes other deferred income
tax assets caused by deductible temporary differences within the limit of likely obtained taxable income that can
be used to deduct the deductible temporary differences of the taxable income.
The corresponding deferred tax assets of deductible loss and tax reduction that can be carried forward during
subsequent years shall be recognized within the limit of likely obtained future taxable income that can be used to
deduct the deductible loss and tax reduction.
As per the provisions of tax law, the deferred income tax assets and deferred income tax liabilities shall be
measured at the applicable tax rates used during the period of expectation recovery of relevant assets or pay-off
relevant liabilities at the balance sheet date.
The book value of the deferred income tax assets shall be re-checked at the balance sheet date. The book value of
the deferred income tax assets shall be written-down if it is unlikely to obtain sufficient taxable income in the
future to deduct the benefit of the deferred tax assets and the written-down amount shall be carried forward if it is
likely to obtain sufficient taxable income.
42. Self-defined Chapter
Income tax
Income tax is composed of current income tax and deferred income tax. All taxes and expenses are written in
current profit and loss except those for reputation adjustment in enterprise combination or trades directly counted
into shareholder’s equity or some deferred income tax which is counted in shareholder’s equity.
Current income tax is payable tax amount currently calculated as current taxable income. Payable tax amount
is calculated by adjusting pre-tax accounting profit specified in related tax laws.
The company confirms deferred income tax by adopting liability method in Balance Sheet based on the
temporary difference between book value of asset and liability in Balance Sheet and tax base.
Temporary difference of items of payable taxes are confirmed to be related deferred income tax liabilities,
except the temporary difference of payable taxes are made in the following conditions:
A. Initial confirmation of reputation or that of assets or liabilities made in trades with these features: the trade
is not enterprise combination and it neither influences accounting profit nor amount of payable tax when it
happens.
B. As for temporary difference of items of payable taxes related to investment to subsidiaries, joint
enterprises and associated enterprises. The temporary difference return time may be controlled and may not return
in foreseeable future.
On the date of balance sheet , the company will calculate deferred income tax assets and deferred income tax
liabilities according to applicable tax between expected recovered assets and paid liabilities, and also the company
95
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
will reflect the income tax influence in ways of expected recovered assets and paid liabilities on the date of
balance sheet.
On the date of balance sheet, the company will check the book value of the deferred income tax assets. If it
was unlikely to obtain sufficient taxable income taxes to offset benefit of deferred income tax assets, while it was
likely to obtain sufficient taxable income, carrying amount of deferred income tax assets shall be written down.
43.Operational leasing
1.Accounting treatment of operating lease
The Company will transfer substantially all the risks and rewards of ownership of an asset lease are recognized as
a finance lease. Other forms of lease besides financial leasing are considered as operating leasing.
At the commencement of the lease term, an amount equal to the lower of the fair value of the leased asset and the
present value of the minimum lease payments shall be regarded as the recorded value of the leased assets and an
amount equal to the minimum lease payments shall be recognized as a long-term recorded value of the leased
assets of payables. The balance between the recorded amount of the leased asset and the recorded amount of the
payable shall be accounted for as unrecognized finance charge.
Lease payments under an operating lease shall be accounted into the relevant asset cost or current profit or loss
over the lease term on a straight-line basis.
2.Accounting treatment of financing lease
44. Other significant accounting policies and estimates
（1）Discontinued Operation
Discontinued operation means enterprises which can meet one of the following conditions and can be
distinguished into a constituent part separately, and this part has been disposed or divided into a on-sales category.
① This constituent part represents an independent main business or a separate main business area;
② This part is a one of the related parts which proposes to dispose an independent main business or an
independent main business area.
③This part is a subsidiary acquired from being specifically for reselling.
For accounting treatment methods for discontinued operation, see the relevant descriptions at Article 12-
Possession of On-Sales Asset in Note III
45.Change of main accounting policies and estimations
(1)Change of main accounting policies
□ Applicable √ Applicable
96
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
(2) Change of main accounting estimations
□ Applicable √ Not applicable
（3）Adjustments to the Financial Statements at the Beginning of the First Execution Year of any New Standards
Governing Financial Instruments, Revenue or Leases from year 2021
Not applicable
（4）Retrospective Restatement of Previous Comparative Data due to the First Execution of any New Standards
Governing Financial Instruments or Leases from year 2021
□ Applicable √ Not applicable
46.Other
VI. Taxation
1. Main categories and rates of taxes
Class of tax Tax basis Tax rate
VAT Income should be taxed 13,10,9,6
City maintenance and construction tax Levied based on the taxable income 7
Enterprise income tax Levied based on the taxable income 25,15
Education surcharges Levied based on the taxable income 3
Local education surcharges Levied based on the taxable income 2
The disclosure on the rate of income tax of taxpayers in different enterprises is stated below
Name of Taxpayer Rate of Income Tax
2.Preferential tax treatment
（1）Chongqing Jianshe Automobile A/C Co., Ltd. by high and new technology enterprise qualification on
November21, 2019, acquire the qualification of new high-tech enterprises, Certificate No. GR201951100777,
valid for three years. The company calculates and pay enterprise income tax shall be levied at the reduced tax rate
15% from 2020 to 2022.
（2）The tax rebate for export of a company shall be exempted from deductions and the tax rebate rate shall be
13%.
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
3.Other
VII. Notes on major items in consolidated financial statements of the Company
1. Monetary funds
In RMB
Items Closing balance Opening balance
Cash on hand 5,418.26
Bank deposits 57,367,878.06 79,304,835.29
Other cash and cash equivalents 66,420,000.00 80,032,987.92
Total 123,787,878.06 159,343,241.47
The total amount of money that has
restrictions on use due to pledge or 66,420,000.00 80,032,987.92
freezing
Other note
2. Transactional financial assets
In RMB
Items Closing balance Opening balance
Of which ：
Of which：
Other note
3. Derivative financial assets
In RMB
Items Closing balance Opening balance
Other note
4. Note receivable
(1) Notes receivable listed by category
In RMB
Items Closing balance Opening balance
Bank acceptance bill 124,019,463.07 65,509,530.50
Trade acceptance bill 1,039,000.00
Total 124,019,463.07 66,548,530.50
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
In RMB
Closing balance Opening balance
Book balance Bad debt provision Book balance Bad debt provision
Category Book Book
Proportio Proportio Proportio Proportio
Amount Amount value Amount Amount value
n% n% n% n%
Of which
Of which
Accrual of bad debt provision by single item:
In RMB
Closing balance
Name
Book balance Bad debt provision Proportion Reason
Accrual of bad debt provision by portfolio:
In RMB
Closing balance
Name
Book balance Bad debt provision Proportion
Note：
Relevant information of the provision for bad debts will be disclosed with reference to the disclosure method of
other receivables if the provision for bad debts of bills receivable is accrued according to the general model of
expected credit loss:
□ Applicable √ Not applicable
(2) Accounts receivable withdraw, reversed or collected during the reporting period
The withdrawal amount of the bad debt provision：
In RMB
Amount of change in the current period
Category Opening balance Reversed or Closing balance
Accrual Write-off
collected amount
Of which the significant actual write-off accounts receivable:
□ Applicable √ Not applicable
（3）Notes receivable pledged by the Company at the end of the period
In RMB
Items Pledged amount
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
（4）Notes receivable which had endorsed by the Company or had discounted and had not due on the balance
sheet date at the period-end
In RMB
Amount of recognition termination at the Amount of not terminated recognition at
Items
period-end the period-end
Bank acceptance bill 263,981,094.36
Total 263,981,094.36
（5）Notes transferred to accounts receivable because drawer of the notes fails to executed the contract or
agreement
In RMB
Amount of the notes transferred to account receivable at the
Items
period-end
Other note
（6） The actual write-off accounts receivable
In RMB
Items Amount
Of which the significant actual write-off accounts receivable:
In RMB
Whether occurred
Name Nature Amount Reason Process from the related
transactions
Note of the write-off the accounts receivable:
5. Accounts receivable
(1) Accounts receivable disclosed by category
In RMB
Closing balance Opening balance
Book balance Bad debt provision Book balance Bad debt provision
Category Book
Proportio Proportio Proportio Proportio Book value
Amount Amount value Amount Amount
n% n% n% n%
Accrual of bad debt
28,211,4 28,211,4 28,211,46 28,211,46
provision by single
65.26 65.26 5.26 5.26
item
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Including：
Accrual of bad debt
217,865, 6,924,04 210,941,6 228,202,3 6,815,890 221,386,45
provision by
681.97 3.74 38.23 43.53 .63 2.90
portfolio
Including：
246,077, 35,135,5 210,941,6 256,413,8 35,027,35 221,386,45
Total
147.23 09.00 38.23 08.79 5.89 2.90
Accrual of bad debt provision by single item:
In RMB
Closing balance
Name
Book balance Bad debt provision Proportion Reason
Unable to
Chongqing Huansu Auto Parts Co.,Ltd. 12,723,992.31 12,723,992.31 100.00%
recover
Chongqing Bisu Yunbo Power Unable to
5,396,775.35 5,396,775.35 100.00%
Technology Co.,Ltd. recover
Unable to
Hafei Automobile co., Ltd. 3,999,944.43 3,999,944.43 100.00%
recover
Chongqing Kaite Power Technology Unable to
1,481,654.59 1,481,654.59 100.00%
Co.,Ltd. recover
Guangqi Jiao Auto Co.,Ltd..Luqiao Unable to
75,821.20 75,821.20 100.00%
Branch recover
Unable to
Dongying Jiao Auto Co.,Ltd. 48,579.85 48,579.85 100.00%
recover
Unable to
Beiqi Yinxiang Auto Co.,Ltd. 20,700.00 20,700.00 100.00%
recover
Hangzhou Fuyang Instrument Factory Unable to
2,821,287.26 2,821,287.26 100.00%
Co., Ltd. recover
Unable to
Guangqi Jiao Auto Co.,Ltd. 67,998.51 67,998.51 100.00%
recover
Hubei Meiyang Automobile Industry Unable to
1,408,811.40 1,408,811.40 100.00%
Co., Ltd. recover
Beiqi Heibao(Weihai)Automobile Co., Unable to
51,021.77 51,021.77 100.00%
Ltd. recover
Dongfeng Xiaokang Automobile Co., Unable to
102,720.66 102,720.66 100.00%
Ltd.Changqing Branch recover
Unable to
Suchuan Yema Automobile Co., Ltd. 12,157.93 12,157.93 100.00%
recover
Total 28,211,465.26 28,211,465.26 -- --
101
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Accrual of bad debt provision by single item:
In RMB
Closing balance
Name
Book balance Bad debt provision Proportion Reason
Accrual of bad debt provision by portfolio:
In RMB
Closing balance
Name
Book balance Bad debt provision Proportion
Note：
Relevant information of the provision for bad debts will be disclosed with reference to the disclosure method of
other receivables if the provision for bad debts of bills receivable is accrued according to the general model of
expected credit loss:
□ Applicable √ Not applicable
Disclosure by aging
In RMB
Aging Closing balance
Within 1 year（Including 1 year） 239,291,604.96
1-2 years 71,687.60
2-3 years 299,974.73
Over 3 years 6,413,879.94
3-4 years 28,434.38
4-5 years 6,385,445.56
Over 5 years 246,077,147.23
Total
(2) Accounts receivable withdraw, reversed or collected during the reporting period
The withdrawal amount of the bad debt provision：
In RMB
Amount of change in the current period
Category Opening balance Reversed or Closing balance
Accrual Write-off Other
collected amount
Credit
35,027,355.89 108,153.11 35,135,509.00
impairment loss
Total 35,027,355.89 108,153.11 35,135,509.00
Of which the significant amount of the reversed or collected part during the reporting period
In RMB
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Items Reversed or collected amount Method
(3) The actual write-off accounts receivable
In RMB
Items Amount
Of which the significant actual write-off accounts receivable:
In RMB
Whether occurred
Name Nature Amount Reason Process from the related
transactions
Note of the write-off the accounts receivable:
(4) Top 5 of the closing balance of the accounts receivable collected according to the arrears party
In RMB
Proportion of Amount of
Amount of
Company Name total accounts ending balance
ending balance
receivable % for bad debts
PSA group 122,912,109.83 56.42%
Chongqing Changan Auto 25,454,777.42 11.68%
Zhejiang Yuanjing Auto Parts Co.,Ltd. 20,284,809.84 9.31%
Chongqing Yongchuan Great Wall Auto
16,051,803.13 7.37%
Parts Co., Ltd.
Chongqing Huansu Auto Parts Co.,Ltd. 12,723,992.31 5.84% 12,723,992.31
Total 197,427,492.53 90.62%
(5) Account receivable which terminate the recognition owning to the transfer of the financial assets
(6) The amount of the assets and liabilities formed by the transfer and the continues involvement of accounts
receivable
Other note:
6. Financing of receivables
In RMB
Items Closing balance Opening balance
Changes in the current period of receivables financing and fair value
□ Applicable √ Not applicable
Relevant information of the financing provision for bad debts will be disclosed with reference to the disclosure
103
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
method of other receivables if the provision for bad debts of bills receivable is accrued according to the general
model of expected credit loss:
□ Applicable √ Not applicable
7.Prepayments
(1) List by aging analysis:
In RMB
Closing balance Opening balance
Aging
Amount Proportion % Amount Proportion %
Within 1 year 6,474,854.70 96.58% 8,133,267.52 95.24%
1-2 years 176,700.00 2.07%
2-3 years 169,785.97 2.53% 169,785.97 1.99%
Over 3 years 59,562.66 0.89% 59,562.66 0.70%
Total 6,704,203.33 -- 8,539,316.15 --
Notes of the reasons of the prepayment ages over 1 year with significant amount but failed settled in time
(2) Top 5 of the closing balance of the prepayment collected according to the prepayment target
Other note：
8. Other accounts receivable
In RMB
Items Closing balance Opening balance
Other accounts receivable 2,852,368.78 1,253,612.91
Total 2,852,368.78 1,253,612.91
（1）Interest receivable
1) Category of interest receivable
In RMB
Items Closing balance Opening balance
2) Significant overdue interest
Whether occurred
Borrower Closing balance Overdue time Reason impairment and its
judgment basis
Other note：
3）Bad-debt provision
104
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
□ Applicable √Not applicable
(2)Dividend receivable
1) Dividend receivable
In RMB
Items Closing balance Opening balance
2) Significant dividend receivable aged over 1 year
In RMB
Whether occurred
Items Closing balance Aging Reason impairment and its
judgment basis
Other notes：
3）Bad-debt provision
□ Applicable √ Not applicable
Other note：
（3） Other accounts receivable
1) Other accounts receivable classified by the nature of accounts
In RMB
Nature Closing book balance Opening book balance
Petty cash and borrowings with small
2,852,757.96 1,254,002.09
amount
Fully provided provision for bad debts
regarding long-term receivables and 6,490,804.90 6,490,804.90
payables
Total 9,343,562.86 7,744,806.99
2）Bad-debt provision
In RMB
Stage 1 Stage 2 Stage 3
Expected credit Expected credit losses for
Bad Debt Reserves Expected credit loss over Total
losses over the next the entire duration (credit
life (no credit impairment)
12 months impairment occurred)
Balance as at January 1,
6,491,194.08 6,491,194.08
2021
105
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Balance as at January 1,
—— —— —— ——
2021 in current
Balance as at June
6,491,194.08 6,491,194.08
30,2021
Loss provision changes in current period, change in book balance with significant amount
□ Applicable √Not applicable
Disclosure by aging
In RMB
Aging Closing balance
Within 1 year(Including 1 year） 5,217,702.95
Over 3 years 4,125,859.91
Over 5 years 4,125,859.91
Total 9,343,562.86
3) Accounts receivable withdraw, reversed or collected during the reporting period
The withdrawal amount of the bad debt provision：
In RMB
Increased amount Decreased amount
Closing
Items Opening balance Reverse or Remark
Withdrawal Other Other balance
write-off
Of which the significant amount of the reversed or collected part during the reporting period
In RMB
Items Reversed or collected amount Method
4) The actual write-off accounts receivable
In RMB
Items Amount
Of which the significant actual write-off accounts receivable:
In RMB
Whether occurred
Name Nature Amount Reason Process from the related
transactions
Note of the write-off other accounts receivable:
106
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
5) Top 5 of the closing balance of the other accounts receivable collated according to the arrears party
In RMB
Proportion of the
total year end Closing balance of
Name Nature Closing balance Aging
balance of the bad debt provision
accounts receivable
Shenzhen Jianshe
Current account 3,013,664.00 Over 5 years 32.25% 3,013,664.00
Motorcycle Co.,Ltd.
Chongqing Jianshe
Lijue Industry Co., Current account 1,478,870.07 Within 2 years 15.83% 1,478,870.07
Ltd.
Ningbo Jianshe
Current account 329,628.73 Over 5 years 3.53% 329,628.73
Motorcycle Co., Ltd.
Ningbo Jianshe
Current account 692,035.31 Over 5 years 7.41% 692,035.31
Chongqing Office
Temporary supplier Current account 390,655.08 Over 3 years 4.18% 390,655.08
Total -- 5,904,853.19 -- 63.20% 5,904,853.19
6) Accounts receivable involved with government subsidies
In RMB
Estimated received time,
Name Project of government Opening balance Closing balance
amount and basis
7) Other account receivable which terminate the recognition owning to the transfer of the financial assets
8) The amount of the assets and liabilities formed by the transfer and the continues involvement of other accounts
receivable
Other note:
9. Inventories
Whether the company need to comply with the disclosure requirements of the real estate industry
No
（1）Category of Inventory
In RMB
Closing book balance Opening book balance
Items
Book balance Provision for Book value Book balance Provision for Book value
inventory inventory
107
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
impairment impairment
Raw materials 18,445,057.19 1,396.55 18,443,660.64 21,059,315.45 1,396.55 21,057,918.90
Goods in progress 7,862,252.89 210,319.10 7,651,933.79 6,915,376.31 210,319.10 6,705,057.21
Stock goods 119,708,041.31 2,920,686.69 116,787,354.62 141,445,525.10 3,387,974.33 138,057,550.77
Turnover
4,292,998.35 1,311,084.94 2,981,913.41 4,636,544.84 1,311,084.94 3,325,459.90
materials
Total 150,308,349.74 4,443,487.28 145,864,862.46 174,056,761.70 4,910,774.92 169,145,986.78
(2) Falling price reserves of inventory
In RMB
Increased amount Decreased amount
Items Opening balance Reverse or Closing balance
Withdrawal Other Other
write-off
Raw materials 1,396.55 1,396.55
Goods in progress 210,319.10 210,319.10
Stock goods 3,387,974.33 467,287.64 2,920,686.69
Turnover
1,311,084.94 1,311,084.94
materials
Total 4,910,774.92 467,287.64 4,443,487.28
(3)Description of The closing balance of inventories contain the amount of borrowing costs capitalized
（4）Description of amortization amount of contract performance cost in the current period
10.Contact assets
In RMB
Closing balance Opening balance
Items Provision for Provision for
Book balance inventory Book value Book balance inventory Book value
impairment impairment
Amount and reason of material change of book value of contract assets in the current period:
In RMB
Items Amount Reason
Relevant information of the provision for bad debts will be disclosed with reference to the disclosure method of
other receivables if the provision for bad debts of contract assets is accrued according to the general model of
expected credit loss:
□ Applicable √ Not applicable
Provision for impairment of contract assets in the current period
In RMB
108
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Items Withdrawal switch back or write-off write-off Reason
Other note:
11. Assets divided as held-to-sold
In RMB
Book balance at
Impairment Closing book Estimated Estimated
Items the end of the fair value
provision value disposal cost disposal time
period
Other note:
12. Non-current assets due within 1 year
In RMB
Items Closing balance Opening balance
Important creditor's rights Investment/other creditor's rights investment
In RMB
Closing balance Opening balance
Contract Contract
Creditor's rights item Expiration Expiration
Face value interest rate, Actual rate Face value interest rate, Actual rate
date date
stated rate stated rate
Other note:
13. Other current assets
In RMB
Items Closing balance Opening balance
Overpaid VAT 2,018,362.24 3,396,186.56
Total 2,018,362.24 3,396,186.56
Other note：
14.Creditor's rights investment
In RMB
Closing balance Opening balance
Items Provision for Provision for
Book balance inventory Book value Book balance inventory Book value
impairment impairment
Important creditor's rights Investment/
109
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
In RMB
Closing balance Opening balance
Contract Contract
Items Expiration Expiration
Face value interest rate, Actual rate Face value interest rate, Actual rate
date date
stated rate stated rate
Provision for bad debts
In RMB
Stage 1 Stage 2 Stage 3
Expected credit Expected credit losses for
Bad Debt Reserves Expected credit loss over Total
losses over the next the entire duration (credit
life (no credit impairment)
12 months impairment occurred)
Balance as at January 1,
—— —— —— ——
2021 in current period
Loss provision changes in current period, change in book balance with significant amount
□ Applicable √ Not applicable
Other note：
15.Other creditor's rights investment
In RMB
Cumulative Remark
provision for
Change in
Change in losses
Opening Accrued fair value in Closing
Items Costs cumulative recognized in
balance interest the current balance
fair value other
period
consolidated
income
Important creditor's rights Investment/
In RMB
Closing balance Opening balance
Contract Contract
Items Expiration Expiration
Face value interest rate, Actual rate Face value interest rate, Actual rate
date date
stated rate stated rate
Provision for bad debts
In RMB
Stage 1 Stage 2 Stage 3
Bad Debt Reserves Expected credit Expected credit loss over Expected credit losses for Total
losses over the next life (no credit impairment) the entire duration (credit
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
12 months impairment occurred)
Balance as at January 1,
—— —— —— ——
2021 in current period
Loss provision changes in current period, change in book balance with significant amount
□ Applicable √ Not applicable
Other note:
16. Long-term accounts receivable
(1) List of long-term accounts receivable
In RMB
Closing balance Opening balance
Discount rate
Items Provision for Provision for
Book balance inventory Book value Book balance inventory Book value interval
impairment impairment
Provision for bad debts
In RMB
Stage 1 Stage 2 Stage 3
Expected credit Expected credit losses for
Bad Debt Reserves Expected credit loss over Total
losses over the next the entire duration (credit
life (no credit impairment)
12 months impairment occurred)
Balance as at January 1,
—— —— —— ——
2021 in current period
Loss provision changes in current period, change in book balance with significant amount
□ Applicable √ Not applicable
(2) Long-term accounts receivable which terminate the recognition owning to the transfer of the financial assets
(3) The amount of the assets and liabilities formed by the transfer and the continues involvement of long-term
accounts receivable
Other note
17. Long-term equity investment
In RMB
Increase /decrease
Closing
Opening Additiona Decrease Profits Other Cash Withdraw Closing balance
Investees and losses Changes
balance l in comprehe balance of
on in other bonus or al of Other
investmen investmen nsive
investmen equity impairme
t t income profits impairme
ts
111
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Recogniz announce nt nt
ed under
the equity d to issue provision provision
method
I. Joint ventures
Chongqin
g Jianshe
Hanon
Automobi
186,213,7 767,993.2 186,981,7
le heat
19.02 2 12.24
managem
ent
system
co., Ltd.
186,213,7 767,993.2 186,981,7
Subtotal
19.02 2 12.24
II. Associates
186,213,7 767,993.2 186,981,7
Total
19.02 2 12.24
Other note
18. Other equity instruments investment
In RMB
Items Closing balance Opening balance
Itemized disclosure of the current non - trading equity instrument investment
In RMB
Reasons for being
Amount of other measured at fair Reasons for other
comprehensive value and whose comprehensive
Recognized Recognized Accumulating
Name income changes are income
dividend income dividend income losses
transferred to included in other transferred to
retained earnings comprehensive retained earnings
income
Other note
19.Other non-current assets
In RMB
Items Closing balance Opening balance
Other note
112
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
20. Investment property
(1) Investment property adopted the cost measurement mode
√Applicable □ Not applicable
In RMB
Construction in
Items House, Building Land use right Total
process
I. Original price
1. Balance at period-beginning 36,808,839.38 36,808,839.38
2.Increase in the current period
(1) Purchase
(2)Inventory\Fixed
assets\ Transferred from construction in pr
ogress
(3)Increased of Enterprise Combination
3.Decreased amount of the period 36,808,839.38 36,808,839.38
（1）Dispose
（2）Other out
（3）Transfer to fixed assets 36,808,839.38 36,808,839.38
4. Balance at period-end 0.00 0.00
II.Accumulated amortization 13,765,440.86 13,765,440.86
1.Opening balance 13,765,440.86 13,765,440.86
2.Increased amount of the period 297,538.11 297,538.11
(1) Withdrawal 297,538.11 297,538.11
3.Decreased amount of the period 14,062,978.97 14,062,978.97
（1）Dispose
（2）Other out
（3）Transfer to fixed assets 14,062,978.97 14,062,978.97
4. Balance at period-end 0.00 0.00
III. Impairment provision
1. Balance at period-beginning
2.Increased amount of the period
(1) Withdrawal
113
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
3.Decreased amount of the period
（1）Dispose
（2）Other out
4. Balance at period-end
IV.Book value
1.Book value at period -end 0.00
2.Book value at period-beginning 23,043,398.52 23,043,398.52
(2) Investment property adopted fair value measurement mode
□ Applicable √Not applicable
(3) Details of investment property failed to accomplish certification of property
In RMB
Items Book value Reason
Other note
21. Fixed assets
In RMB
Items Closing balance Opening balance
Fixed assets 320,167,159.27 310,131,438.69
Total 320,167,159.27 310,131,438.69
（1）List of fixed assets
In RMB
Items Fixed assets Total
I. Original book value：
1. Opening balance 871,356,569.79 871,356,569.79
2.Increased amount of the period 50,614,178.86 50,614,178.86
（1）Purchase 13,805,339.48 13,805,339.48
（2）Transfer of project under Construction
（3）Increased from enterprise merger
（4）Investment property transfer 36,808,839.38 36,808,839.38
3.Decreased amount of the period 19,173,873.08 19,173,873.08
114
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
（1）Disposal or scrap 19,173,873.08 19,173,873.08
4.Closing balance 902,796,875.57 902,796,875.57
II. Accumulative depreciation
1.Opening balance 546,864,535.01 546,864,535.01
2.Increased amount of the period 31,215,180.76 31,215,180.76
（1）Withdrawal 17,152,201.79 17,152,201.79
（2）Investment property transfer 14,062,978.97 14,062,978.97
3.Decreased amount of the period 9,780,513.31 9,780,513.31
（1）Disposal or scrap 9,780,513.31 9,780,513.31
4.Closing balance 568,299,202.46 568,299,202.46
III. Impairment provision
1. Opening balance 14,360,596.09 14,360,596.09
2.Increased amount of the period
（1）Withdrawal
3.Decreased amount of the period
（1）Disposal or scrap 30,082.25 30,082.25
4.Closing balance 14,330,513.84 14,330,513.84
IV. Book Value
1.Closing book value 320,167,159.27 320,167,159.27
2.Opening book value 310,131,438.69 310,131,438.69
(2) List of temporarily idle fixed assets
In RMB
Accumulative Accumulative
Items Original Book value Book value Notes
depreciation depreciation
(3) Fixed assets leased out from operation lease
In RMB
Items
In RMB
115
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
(4) Details of fixed assets failed to accomplish certification of property
In RMB
Items Book value Reason
Other note
（5）Liquidation of fixed assets
In RMB
Items Closing balance Opening balance
Other note
22. Construction in progress
In RMB
Items Closing balance Opening balance
Construction in progress 1,824,327.45 1,871,241.59
Total 1,824,327.45 1,871,241.59
(1) List of construction in progress
In RMB
Closing balance Opening balance
Items Provision for Provision for
Book balance Book value Book balance Book value
impairment impairment
Mould 507,566.39 507,566.39 426,150.46 426,150.46
CNC lathe 13,566.37 13,566.37
Renovation
project of science
615,980.77 615,980.77 615,980.77 615,980.77
and technology
complex building
No.5 assembly
line information 461,185.83 461,185.83
analyzing system
New energy
production line 66,037.74 66,037.74
design fee
Joint plant
value-added 365,137.62 365,137.62
(foam board
116
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
replacement and
ceiling renovation
of cleaning room
Intelligent
transformation of
suspended vane 314,528.30 314,528.30 301,886.79 301,886.79
compressor
production line
Expert evaluation
fee of dynamic
and static disc
7,548.00 7,548.00
production line of
electric
compressor
Total 1,824,327.45 1,824,327.45 1,871,241.59 1,871,241.59
(2) Changes of significant construction in progress
In RMB
Of
Amount Proporti which：
Accumul
that on The Capitaliz
Other ative
Increase transferr estimate amount ation rate
Estimate decrease amount
Name of Opening d amount ed to Closing d of the Project of the of the Capital
d d amount of
items balance of the fixed balance project progress capitaliz interests resources
number of the capitaliz
period assets of accumul ed of the
period ed
the ative interests period
interests
period input of the
period
(3) List of the withdrawal of the impairment provision of the construction in progress
In RMB
Items Withdrawn amount Reason
Other note:
（4）Engineering material
In RMB
Closing balance Opening balance
Items Provision for Provision for
Book balance Book value Book balance Book value
impairment impairment
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Other note:
23. Productive biological assets
(1) Productive biological assets measured at cost methods
□ Applicable √ Not applicable
(2) Productive biological assets measured at fair value
□ Applicable √ Not applicable
24. Oil and gas assets
□ Applicable √ Inapplicable
25. Right to use assets
In RMB
Items Total
Other note:
26. Intangible assets
(1) Information
In RMB
Items Land use right Patent Non-patents Software Total
I. Total original book value
1. Opening balance 42,126,408.29 2,691,549.96 1,880,957.69 46,698,915.94
2. Increase in the reporting period 2,052,791.71 2,052,791.71
（1）Purchase 1,271,681.35 1,271,681.35
（2）Internal R&D
（3）Increase from enterprise combination
（4）Other transfers 781,110.36 781,110.36
3.Decrease in the reporting period
（1）Disposal
4.Closing balance 42,126,408.29 2,691,549.96 3,933,749.40 48,751,707.65
II. Total accrued amortization
1.Opening balance 18,191,424.21 158,326.47 965,108.29 19,314,858.97
2.Increased in the reporting period 562,467.90 237,489.71 122,125.76 922,083.37
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
（1）Withdrawal 562,467.90 237,489.71 122,125.76 922,083.37
3.Decrease in the reporting period
（1）Disposal
4.Closing balance 18,753,892.11 395,816.18 1,087,234.05 20,236,942.33
III. Impairment provision
1.Opening balance
2.Increases in the reporting period
（1）Withdrawal
3.Decrease in the reporting period
（1）Disposal
4.Closing balance
IV. Book value
1.Book value of the period-end 23,372,516.18 2,295,733.78 2,846,515.35 28,514,765.32
2.Book value of the period-begin 23,934,984.08 2,533,223.49 915,849.40 27,384,056.97
The proportion the intangible assets formed from the internal R&D through the Company amount the balance of
the intangible assets at the period-end.
(2) Details of fixed assets failed to accomplish certification of land use right
In RMB
Items Book value Reasons for absence of certificate of title
Other note：
27. R&D expenses
In RMB
Opening Closing
Items Increase Decrease
balance balance
Other note
In RMB
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
28. Goodwill
(1) Original book value of goodwill
In RMB
Name of the
investees or the
Opening balance Increase Decrease Closing balance
events formed
goodwill
（2）Goodwill Impairment provision
In RMB
Items Opening balance Increase Decrease Closing balance
Notes of the testing process of goodwill impairment, parameters and the recognition method of goodwill
impairment losses:
Other note
29. Long-term unamortized expenses
In RMB
Amortization
Items Opening balance Increase Decrease Closing balance
amount
SlidDworks 24,750.00 140,094.34 24,516.51 140,327.83
service charge
Total 24,750.00 140,094.34 24,516.51 140,327.83
Other note
30. Deferred income tax assets/deferred income tax liabilities
(1) Deferred income tax assets had not been off-set
In RMB
Closing balance Opening balance
Items Deductible temporary Deferred income tax Deductible temporary Deferred income tax
difference assets difference assets
Assets impairment
5,955,882.88 1,097,038.44 5,955,882.88 1,097,038.44
provision
Credit impairment
34,306,803.21 5,177,039.68 34,306,803.21 5,177,039.68
provision
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Total 40,262,686.09 6,274,078.12 40,262,686.09 6,274,078.12
(2) Deferred income tax liabilities had not been off-set
In RMB
Closing balance Opening balance
Items Deductible temporary Deferred income tax Deductible temporary Deferred income tax
difference liabilities difference liabilities
Estimated added
value of assets not
under the same 6,083,060.52 1,520,765.13 6,083,060.52 1,520,765.13
control
Tax deduction for
depreciation of fixed 1,551,145.52 387,786.38 1,551,145.52 387,786.38
assets
Total 7,634,206.04 1,908,551.51 7,634,206.04 1,908,551.51
(3) Deferred income tax assets or liabilities listed by net amount after off-set
In RMB
Trade-off between the Opening balance of
Trade-off between the End balance of deferred
deferred income tax deferred income tax
Items deferred income tax income tax assets or
assets and liabilities at assets or liabilities after
assets and liabilities liabilities after off-set
period-begin off-set
Deferred income tax
6,274,078.12 6,274,078.12
assets
Deferred income tax
1,733,423.53 1,908,551.51
liabilities
(4)Details of income tax assets not recognized
In RMB
Items Balance in year-end Balance in year-begin
Deductible temporary difference 21,668,149.93 21,668,149.93
Deductible loss 190,208,959.14 190,208,959.14
Total 211,877,109.07 211,877,109.07
(5)Deductible losses of the un-recognized deferred income tax asset will expire in the following years
In RMB
Year Balance in year-end Balance in year-begin Remark
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2021 1,176,802.39 1,176,802.39
2022
2023 850,355.91 850,355.91
2024 145,565,134.28 145,565,134.28
2025 42,616,666.56 42,616,666.56
Total 190,208,959.14 190,208,959.14 --
Other note：
31 .Other non-current assets
In RMB
Balance in year-end Balance in year-begin
Items Book balance Provision for Book value Book balance Provision for Book value
devaluation devaluation
Advance purchase of long-term assets 2,093,500.00 2,093,500.00 2,141,443.59 2,141,443.59
Total 2,093,500.00 2,093,500.00 2,141,443.59 2,141,443.59
Other note：
32. Short-term borrowings
(1) Category of short-term borrowings
In RMB
Items Closing balance Opening balance
Guaranteed borrowings 351,000,000.00 383,500,000.00
Credit borrowings 205,410,000.00 170,410,000.00
Total 556,410,000.00 553,910,000.00
Notes of short-term borrowings category
(2) List of the short-term borrowings overdue but not return
The total amount of the overdue but not return short-term borrowings at the period-end was of RMB 000, of
which the situation of the significant overdue but not return short-term borrowings as follows:
In RMB
Borrower Closing balance Borrowing rate Overdue time Overdue rate
Other note:
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
33. Transactional financial liabilities
In RMB
Items Closing balance Opening balance
Including：
Including：
Other note：
34. Derivative financial liability
In RMB
Items Closing balance Opening balance
Other note：
35.Note payable
In RMB
Items Closing balance Opening balance
Bank acceptance bill 139,770,000.00 110,020,000.00
Total 139,770,000.00 110,020,000.00
The total amount of the due but not pay notes payable at the period-end was of RMB 0.00.
36. Accounts payable
(1) List of accounts payable
In RMB
Items Closing balance Opening balance
Within 1 year 238,374,599.66 284,998,378.45
1-2 years 673,945.40 1,837,069.84
2-3 years 46,248.74 0.08
Over 3 years 1,630,952.74 1,967,798.70
Total 240,725,746.54 288,803,247.07
(2) Note of the accounts payable aging over one year
In RMB
Items Closing balance Unpaid/un-carry-over reason
Other note：
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
37. Advance from customers
(1) List of advance from customers
In RMB
Items Closing balance Opening balance
(2) Significant advance from customers aging over one year
In RMB
Items Closing balance Unpaid/un-carry-over reason
Other note：
38.Contract liabilities
In RMB
Items Closing balance Opening balance
Contract liabilities 2,584,147.93 1,479,711.62
Total 2,584,147.93 1,479,711.62
Amount and reason for significant changes in book value during the reporting period
In RMB
Items Amount Reason
39. Payroll payable
(1) List of Payroll payable
In RMB
Items Opening balance Increase Decrease Closing balance
Short-term compensation 8,802,162.43 51,086,037.13 50,383,085.71 9,505,113.85
Post-employment
benefits - defined 7,076,035.45 5,134,146.83 5,201,144.91 7,009,037.37
contribution plans
Dismissal welfare 12,549,204.96 10,500.00 325,003.00 12,234,701.96
Total 28,427,402.84 56,230,683.96 55,909,233.62 28,748,853.18
（2）Presentation of short-term compensation
In RMB
Items Opening balance Increase Decrease Closing balance
(1) Salary, bonus, 5,174,763.88 37,284,653.70 37,268,985.70 5,190,431.88
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allowance and subsidy
(2) Employee benefits 1,097,945.30 4,075,968.67 3,784,739.35 1,389,174.62
(3) Social insurance
1,446,984.41 4,841,506.44 4,816,041.62 1,472,449.23
expenses
Including: medical
1,144,293.26 4,500,714.05 4,514,971.47 1,130,035.84
insurance premium
Work-related injury
285,932.74 340,792.39 301,070.15 325,654.98
insurance premium
Maternity insurance
16,758.41 16,758.41
premium
(4) Housing fund 380,205.46 3,623,528.00 3,653,949.00 349,784.46
(5) Labor union
expenditures and
702,263.38 880,139.20 724,128.92 858,273.66
employee education
expenses
Short-term absence
380,241.12 135,241.12 245,000.00
with payment
Total 8,802,162.43 51,086,037.13 50,383,085.71 9,505,113.85
(3) List of drawing scheme
In RMB
Items Opening balance Increase Decrease Closing balance
Basic endowment
6,778,246.97 4,978,622.56 5,044,700.95 6,712,168.58
insurance premium
Unemployment insurance
297,788.48 155,524.27 156,443.96 296,868.79
premium
Total 7,076,035.45 5,134,146.83 5,201,144.91 7,009,037.37
Other note：
40. Taxes payable
In RMB
Items Closing balance Opening balance
VAT 211,799.58 23,721.14
Enterprise income tax 1,147,186.86 2,762,007.64
Individual income tax 426,076.75 565,599.19
Urban maintenance and construction tax 3,131,178.66 3,132,397.23
property tax 3,727,900.64 3,727,900.64
Land use tax 1,810,309.94 1,808,215.20
Educational surtax 1,995,043.67 2,000,119.16
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Other 4,031,598.70 4,086,656.73
Total 16,481,094.80 18,106,616.93
Other note：
41.Other account payable
In RMB
Items Closing balance Opening balance
Other account payable 9,704,354.89 10,260,888.23
Total 9,704,354.89 10,260,888.23
（1) Interest payable
In RMB
Items Closing balance Opening balance
Particulars of significant overdue unpaid interest：
In RMB
Unit Overdue amount Overdue reason
Other note:
(2) Dividends payable
In RMB
Items Closing balance Unpaid/un-carry-over reason
Note: Including significant unpaid dividends payable over one year, the unpaid reason shall be disclosed:
(3) Other accounts payable
(1) Other accounts payable listed by nature of the account
In RMB
Items Closing balance Opening balance
Cash deposit 1,238,000.00 1,426,426.77
Work-related injury payment 136,378.73 216,487.83
Test expenses 2,743,194.59 1,670,056.33
Party organization funds 528,583.83 541,589.50
Design cost and Others 5,058,197.74 6,406,327.80
Total 9,704,354.89 10,260,888.23
126
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
（2）Significant other payables for over 1 year
In RMB
Item Ending balance Reason for unreimbursed or transferred
Other note
42. Liabilities classified as holding for sale
In RMB
Items Closing balance Opening balance
Other note:
43. Non-current liabilities due within 1 year
In RMB
Items Closing balance Opening balance
Other note:
44. Other current-liabilities
In RMB
Items Closing balance Opening balance
Taxes to be written off 335,939.23 192,362.51
Total 335,939.23 192,362.51
Changes on short term bonds payable:
In RMB
Overflow
The Withdraw Pay in
Name of Book Issue Opening discount Closing
Issue date period current interest at current
the bond value amount balance amortizati balance
issue par period
on
Other note:
45. Long-term borrowing
(1) Category of long-term loan
In RMB
Items Closing balance Opening balance
Note：
Other notes，including interest rate range：
127
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
46. Bonds payable
(1) Bonds payable
In RMB
Items Closing balance Opening balance
(2) Changes on bonds payable (not including other financial instrument classified as preferred stock and perpetual
capital securities of financial liabilities)
In RMB
The Withdraw Overflow Pay in
Name of Face Issue Opening Closing
Issue date Period current interest at discount current
the bonds value amount balance balance
issue par amount period
Total -- -- --
(3) Note to conditions and time of share transfer of convertible bonds
(4) Note to other financial instrument classified as financial liabilities
Basic information of preferred stock, perpetual capital securities and other financial instruments outstanding
issued at period-end Change list of preferred stock, perpetual capital securities and other financial instruments
outstanding issued at period-end
In RMB
Opening period Increase Decrease Closing period
Financial
instruments Provision for Provision for Provision for Provision for
Book balance Book balance Book balance Book balance
outstanding impairment impairment impairment impairment
issued Amount Book value Amount Book value Amount Book value Amount Book value
Note to the basis of other financial instrument classified as financial liabilities
Other note:
47. Lease liability
In RMB
Items Closing balance Opening balance
Other note
128
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
48. Long-term payable
In RMB
Items Closing balance Opening balance
(1) Long-term payable listed by nature of the account
In RMB
Items Closing balance Opening balance
Other note:
（2）Special payable
In RMB
Items Opening balance Increase Decrease Closing balance Formation reasons
Other note:
49. Long term payroll payable
(1) List of long term payroll payable
In RMB
Items Closing balance Opening balance
(2) Changes of defined benefit plans
Present worth of defined benefit plans obligation:
In RMB
Items Amount of the Current Term Amount of the Previous Term
Plan assets:
In RMB
Items Amount of the Current Term Amount of the Previous Term
Net liabilities (net assets) of defined benefit plans
In RMB
Items Amount of the Current Term Amount of the Previous Term
Notes to the influence of the content and related risk of defined benefit plans to the future cash flows, time and
uncertainty of the Company:
Notes to analysis results of major actuarial assumptions and sensibility of defined benefit plans
Other notes:
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
50. Accrued liabilities
In RMB
Items Closing balance Opening balance Formation reasons
Other notes, including related important assumptions and estimates of accrued liabilities:
51. Deferred income
In RMB
Items Opening balance Increase Decrease Closing balance Formation reasons
Items involved in government subsidies:：
In RMB
Amount of newly Amount accrued Related to the
Items Opening balance Other changes Closing balance
subsidy in non-business assets/income
Other note:
52. Other non-current liabilities
In RMB
Items Closing balance Opening balance
Other note：
53. Share capital
In RMB
Increase ("+") /decrease ("-") for the current year
Opening Share Closing
balance Issuance of converted from balance
Share donation Others Sub-total
new shares public reserve
funds
Total shares 119,375,000.00 119,375,000.00
Other note：
54. Other equity instruments
(1) Basic information of preferred stock, perpetual capital securities and other financial instruments outstanding
issued at period-end
(2) Change list of preferred stock, perpetual capital securities and other financial instruments outstanding issued at
period-end
In RMB
Financial Opening balance Increase Decrease Closing balance
130
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
instruments
outstanding Amount Book value Amount Book value Amount Book value Amount Book value
issued
Changes, reason of change and basis of relevant accounting treatment of other equity instruments in reporting
period:
Other note：
55. Capital reserves
In RMB
Items Opening balance Increase Decrease Closing balance
Capital premium 702,032,741.07 702,032,741.07
Other capital reserves 256,532,553.22 256,532,553.22
Total 958,565,294.29 958,565,294.29
Other notes, including changes and reason of change:
56. Treasury stock
In RMB
Items Opening balance Increase Decrease Closing balance
Other notes, including changes and reason of change:
57. Other comprehensive income
In RMB
Occurred current term
Less：
Less：Prior
Amount
period
transferred
included
into profit
in other After-tax
Amount and loss in Less： After-tax
Opening composite attribute to Closing
Items incurred the current Income attribute to
balance income minority balance
before period that tax the parent
transfer to shareholde
income tax recognied expenses company
retained r
into other
income in
comprehensi
the current
ve income in
period
prior period
1. Other comprehensive income
that cannot be reclassified in the 9,800.00 9,800.00
loss and gain in the future
131
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Share of other combined income
of invested units that cannot be
9,800.00 9,800.00
reclassified into profit or loss
under the equity method
Total of other comprehensive
9,800.00 9,800.00
income
Other notes, including the adjustment of the recognition of initial amount of effective part of the cash flow
58. Special reserves
In RMB
Items Opening balance Increase Decrease Closing balance
Other note, including changes and reason of change:
59. Surplus reserves
In RMB
Items Opening balance Increase Decrease Closing balance
Statutory surplus
56,724,000.00 56,724,000.00
reserves
Discretionary surplus
68,962,000.00 68,962,000.00
reserves
Total 125,686,000.00 125,686,000.00
Other note, including changes and reason of change
60. Retained profits
In RMB
Items Amount of the Current Term Amount of the Previous Term
Adjust the undistributed profits before and at the
-1,030,047,421.23 -1,031,463,363.68
end of the period
Opening balance of retained profits after
-1,030,047,421.23 -1,031,463,363.68
adjustments
Add: Net profit attributable to owners of the
-7,897,586.77 1,415,942.45
Parent company
Closing retained profits -1,037,945,008.00 -1,030,047,421.23
List of adjustment of opening retained profits:
1) RMB 000 opening retained profits was affected by retrospective adjustment conducted according to the
Accounting Standards for Business Enterprises and relevant new regulations.
2) RMB 000 opening retained profits was affected by changes on accounting policies.
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
3) RMB 000 opening retained profits was affected by correction of significant accounting errors.
4) RMB 000 opening retained profits was affected by changes in combination scope arising from same control.
5) RMB 000 opening retained profits was affected totally by other adjustments.
61. Operating income and operating costs
In RMB
Amount of the Current Term Amount of the Previous Term
Items
Income Cost Income Cost
Main business 448,479,663.54 392,932,260.12 329,293,920.54 296,844,587.53
Other business 8,484,765.48 6,341,807.31 5,296,341.31 2,737,735.17
Total 456,964,429.02 399,274,067.43 334,590,261.85 299,582,322.70
Income related information：
In RMB
Classification of the
Division 1 Division 2 Total
contract
Of which
Of which
Of which
Of which
Of which
Of which
Of which
Information related to performance obligations:
Not applicable
Information related to the transaction price apportioned to the residual performance obligation:
The income corresponding to the performance obligations that have not been performed or have been performed
incompletely but the contract has been signed at the end of the reporting period is RMB 0.00, of which RMB 0.00
is expected to be recognized as income in the year, RMB 0.00 is expected to be recognized as income in the year,
and RMB 0.00 is expected to be recognized as income in the year.
Other notes
62.Taxes and surcharges
In RMB
Items Amount of the Current Term Amount of the Previous Term
Urban maintenance and construction tax 1,097,858.28 737,191.84
Educational surtax 574,017.06 541,896.51
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
House tax 846,961.06 420,041.27
Land royalties 786,341.60 393,170.80
vehicle ship royalties 600.00 2,220.00
Stamp duty 156,616.80 135,564.30
Other 554,879.25 40,407.69
Total 4,017,274.05 2,270,492.41
Other note:
63. Selling expenses
In RMB
Items Amount of the Current Term Amount of the Previous Term
Repair cost 4,774,043.21 1,546,955.07
Transportation cost 207,286.45 1,554,187.06
Payroll Payable 3,782,298.55 3,549,036.79
Storage fee 723,217.64 617,299.61
Travel expenses 297,284.47 191,761.40
Sales service charge 221,712.81 546,631.07
Advertising expenses 95,049.50 94,000.00
Exhibition fees -40,608.00 78,113.21
Office expenses 34,507.53 30,891.02
Depreciation costs 36,757.99 22,843.33
Insurance expenses 252,505.99 505,742.54
Total 10,384,056.14 8,737,461.10
Other note：
64. Administrative expenses
In RMB
Items Amount of the Current Term Amount of the Previous Term
Payroll Payable 22,806,176.80 21,012,265.58
Depreciation costs 3,960,725.33 4,040,065.76
Repair charges 2,505,130.64 2,237,552.47
Consulting fee 92,145.74 151,475.66
Office expenses 330,038.98 312,028.95
Agency fee 624,737.43 814,439.31
134
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Travel expenses 210,054.21 164,442.66
Amortization of intangible assets 914,987.77 328,932.36
Board of directors' expenses 173,867.91 62,445.38
Business entertainment 198,607.38 75,951.10
Sewage charge 794,194.81 860,376.90
Lawsuit fee 13,800.00 8,850.00
Insurance expenses 876,862.26 4,166,382.79
Total 33,501,329.26 34,235,208.92
Other note：
65. R&D Expense
In RMB
Items Amount of the Current Term Amount of the Previous Term
Salary 5,389,798.75 4,500,317.20
Office expenses 13,554.56 16,589.14
Material cost 501,790.54 429,880.71
Travel expenses 169,741.86 72,017.19
Fees for evaluation, identification and 54,721.35 45,849.32
authentication
Software fee 59,648.00 59,648.00
Trademark, property right, patent fee 79,303.65 151,978.91
Test inspection fee 134,659.84 21,468.79
Sample fee 29,250.03 77,069.35
Business entertainment 9,830.00 5,183.00
Depreciation expense 1,200,775.10 977,598.08
Other 530,621.26 14,106.03
Total 8,173,694.94 6,371,705.72
Other note：
66. Financial expenses
In RMB
Items Amount of the Current Term Amount of the Previous Term
Interest expenses 13,938,512.41 11,733,685.64
Less: Interest income 381,047.67 794,481.03
discount rate of bill
Exchange gains and losses 20,547.36 17,988.25
135
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Commission Charge and others 99,219.94 142,635.07
Total 13,677,232.04 11,099,827.93
Other note：
67.Other income
In RMB
Amount of the Current Amount of the Previous
Other sources of revenue
Term Term
Quality management award funds from the Market Supervision and
300,000.00
Administration Bureau of Jiulongpo District, Chongqing
Incentives from the Finance Office of Jiulong Park, Chongqing High-tech
45,000.00
Industrial Development Zone
Special funds for international service trade from Chongqing Jiulongpo
10,000.00
District Finance Bureau of Jiulongpo District Commerce Committee
Received the second batch of special funds for industrial informatization
23,200.00
from Jiulongpo District Finance Bureau
Key Enterprise Recruitment Subsidies by Financial Bureau of Jiulongpo
8,400.00 34,000.00
District, Chongqing Municipality
Major New Product Research and Development Subsidy Funds in 2019 by
10,000.00
Jiulongpo District Finance Bureau of Chongqing Municipality
Reward for stable growth of industrial enterprises above designated scale by
100,000.00
the Finance Bureau of Jiulongpo District, Chongqing
Subsidies from the Finance Bureau of Jiulongpo District, Chongqing
44,700.00
Municipality, Jiulongpo District Ecological Environment Bureau
Third generation service fee 16,316.61
Subsidies from the District-level Enterprise Technology Innovation Center of
200,000.00
the Finance Bureau of Jiulongpo District, Chongqing City in 2019
Subsidies for science and technology projects from the Technology Bureau of
50,000.00
Jiulongpo District, Chongqing(District property rights)
Subsidies from Ba’nan District Ecological Environment Bureau 32,077.36
Total 461,493.97 412,200.00
68.Investment income
In RMB
Items Amount of the Current Term Amount of the Previous Term
Long-term equity investment income
767,993.22 -8,214,068.19
calculated by equity method
136
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Total 767,993.22 -8,214,068.19
Other note：
69.Net exposure hedging income
In RMB
Items Amount of the Current Term Amount of the Previous Term
Other note
70. Gains on the changes in the fair value
In RMB
Source Amount of the Current Term Amount of the Previous Term
Other note
71. Credit impairment loss
In RMB
Items Amount of the Current Term Amount of the Previous Term
Loss of receivables -108,153.11 -7,385.32
Total -108,153.11 -7,385.32
Other note：
72. Losses from asset impairment
In RMB
Items Amount of the Current Term Amount of the Previous Term
II. Loss of inventory value and impairment
1,430,078.95
of contract performance costs
Total 1,430,078.95
Other note：
73. Asset disposal income
In RMB
Source Amount of the Current Term Amount of the Previous Term
Total profits of non-current assets disposal 1,566,473.14 -54,625.39
Including: Profits of disposal of fixed 1,566,473.14 -54,625.39
assets
Profits of disposal of intangible assets
Disposal of other non-current assets
Total 1,566,473.14 -54,625.39
137
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
74. Non-operating income
In RMB
Amount of the Current Term Amount of the Previous Term Recorded in the amount of the
Items
non-recurring gains and losses
Other 11.31 79,499.99 11.31
Write off the accounts payable 198,647.24 198,647.24
Total 198,658.55 79,499.99 198,658.55
Government subsidies recorded into current profits and losses：
In RMB
Whether the
impact of Amount of Amount of
Whether Assets-relate
Issuing subsidies on
Items Issuing body Nature special current previous d/income
Reason the current
subsidies -related
profit and period period
loss
Quality
management
award funds
from the
Market
Supervision
Award 300,000.00
and
Administration
Bureau of
Jiulongpo
District,
Chongqing
Incentives from
the Finance
Office of
Jiulong Park,
Chongqing Award 45,000.00
High-tech
Industrial
Development
Zone
Special funds
for
international 10,000.00
service trade
from
138
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Chongqing
Jiulongpo
District
Finance Bureau
of Jiulongpo
District
Commerce
Committee
Received the
second batch of
special funds
for industrial
Subsidy 23,200.00
informatization
from Jiulongpo
District
Finance Bureau
Key Enterprise
Recruitment
Subsidies by
Financial
Related to
Bureau of Subsidy 8,400.00 34,000.00
income
Jiulongpo
District,
Chongqing
Municipality
Major New
Product
Research and
Development
Subsidy Funds
Related to
in 2019 by Subsidy 10,000.00
income
Jiulongpo
District
Finance Bureau
of Chongqing
Municipality
Reward for
stable growth
of industrial
Related to
enterprises Award 100,000.00
income
above
designated
scale by the
139
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Finance Bureau
of Jiulongpo
District,
Chongqing
Subsidies from
the Finance
Bureau of
Jiulongpo
District,
Chongqing Related to
Subsidy 44,700.00
Municipality, income
Jiulongpo
District
Ecological
Environment
Bureau
Third
Related to
generation 16,316.61
income
service fee
Subsidies from
the
District-level
Enterprise
Technology
Innovation Related to
Subsidy 200,000.00
Center of the income
Finance Bureau
of Jiulongpo
District,
Chongqing
City in 2019
Subsidies for
science and
technology
projects from
the Technology
Related to
Bureau of Subsidy 50,000.00
income
Jiulongpo
District,
Chongqing(Dis
trict property
rights)
Subsidies from Subsidy 32,077.36 Related to
140
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Ba’nan District income
Ecological
Environment
Bureau
Related to
Total 461,493.97 412,200.00
income
Other note：
75. Non-operating expenses
In RMB
Items Amount of the Current Term Amount of the Previous Term Carried to current contingent
gain/loss
Loss of non-current assets
169.23 169.23
damaged and scrapped
Other 2.29 634,363.43 2.29
Total 171.52 634,363.43 171.52
Other note
76. Income tax expense
(1) Lists of income tax expense
In RMB
Items Amount of the Current Term Amount of the Previous Term
Current income tax expense -1,279,343.82
Total -1,279,343.82
(2) Adjustment process of accounting profit and income tax expense
In RMB
Items Amount of the Current Term
Total profit -9,176,930.59
Income tax expenses -1,279,343.82
Other note
77. Other comprehensive income
Refer to the note
141
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
78. Supplementary information to cash flow statement
(1) Other cash received relevant to operating activities
In RMB
Items Amount of the Current Term Amount of the Previous Term
Interest income 136,678.82 50,667.29
Other 4,972,526.81 6,515,142.05
Total 5,109,205.63 6,565,809.34
Note：
(2) Other cash paid related to operation
In RMB
Items Amount of the Current Term Amount of the Previous Term
Other 4,938,288.46 1,141,072.15
Duration expenses 7,692,393.27 9,994,722.76
Total 12,630,681.73 11,135,794.91
Statement on other cash paid related to operation
(3) Other cash received related to investment
In RMB
Items Amount of the Current Term Amount of the Previous Term
Statement on other cash received related to investment
Note：
(4) Other cash paid related to investment
In RMB
Items Amount of the Current Term Amount of the Previous Term
Statement on other cash paid related to investment
(5) Other cash received related to financing
In RMB
Items Amount of the Current Term Amount of the Previous Term
Receipt of discounted funds for financing
139,895,745.48
bills
Conclusion 244,002.56 334,140.24
Total 244,002.56 140,229,885.72
Note：
142
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
(6) Other cash paid relevant to financing activities
In RMB
Items Amount of the Current Term Amount of the Previous Term
Payment of due financing notes 32,787,012.08 214,405,000.00
Decrease of note deposit 52,901,351.71
Commission charge 21,685.00
Total 32,808,697.08 267,306,351.71
Note：
79. Supplementary information to cash flow statement
(1) Information of net profit to net cash flows
In RMB
Amount of the Current Amount of the
Supplementary information
Term Previous Term
1. Net profit adjusted to cash flows from operating activities -- --
Net profits -7,897,586.77 -34,695,420.32
Add：Provision for assets impairment 108,153.11 -1,422,693.63
Depreciation of fixed assets, oil and gas assets and consumable biological assets 15,989,303.04 16,473,168.52
Depreciation of Use right assets
Amortization of intangible assets 563,812.93 328,932.36
Amortization of Long-term deferred expenses -115,577.83
Loss on disposal of fixed assets, intangible assets and other long-term deferred assets -1,566,473.14 54,625.39
Fixed assets scrap loss
Loss on fair value changes
Financial cost 13,938,512.41 11,099,827.93
Loss on investment -767,993.22 8,214,068.19
Decrease of deferred income tax assets
Increased of deferred income tax liabilities
Decrease of inventories 23,281,124.32 44,658,304.65
Decease of operating receivables -45,411,936.63 -34,621,901.84
Increased of operating Payable 23,632,682.19 63,032,982.73
Other
143
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Net cash flows arising from operating activities 21,754,020.41 73,121,893.98
II. Significant investment and financing activities that without cash flows: -- --
Conversion of debt into capital
Convertible corporate bonds maturing within one year
Financing of fixed assets leased
3．Movement of cash and cash equivalents： -- --
Ending balance of cash 57,367,878.06 21,053,197.58
Less: Beginning balance of cash equivalents 79,310,253.55 9,390,326.10
Add：End balance of cash equivalents
Less: Beginning balance of cash equivalents
Net increase of cash and cash equivalent -21,942,375.49 11,662,871.48
(2) Net Cash paid of obtaining the subsidiary
In RMB
Amount
Of which --
Of which --
Of which --
Other note：
(3) Net Cash receive of disposal of the subsidiary
In RMB
Amount
Of which --
Of which --
Of which --
Other note：
(4) Component of cash and cash equivalents
In RMB
Items Closing balance Opening balance
I. Cash 57,367,878.06 79,310,253.55
Including：Cash at hand 5,418.26
Demand bank deposit 57,367,878.06 79,304,835.29
III. Balance of cash and cash equivalents at
57,367,878.06 79,310,253.55
the period end
144
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Other note：None
80. Note of statement of changes in the owner's equity
Specify the description of the item "others" and the adjusted amount of the balance at the end of last year:
Not applicable
81. The assets with the ownership or use right restricted
In RMB
Book value at the end of the reporting
Items Cause of restriction
period
Monetary funds 66,420,000.00 Guarantee deposit, fixed deposit
Total 66,420,000.00 --
Other note：None
82. Foreign currency monetary items
(1) Foreign currency monetary items
In RMB
Closing foreign currency Closing convert to RMB
Items Exchange rate
balance balance
Monetary funds -- --
Including：USD
Euro
HKD
Account receivable -- --
Including：USD
Euro
HKD
Long-term borrowing -- --
Including：USD
Euro
HKD
Other note：
145
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
(2) Note to oversea entities including: for significant oversea entities, shall disclose main operating place,
recording currency and selection basis, if there are changes into recording currency, shall also disclose the reason.
□ Applicable √Not applicable
83. Arbitrage
Arbitrage According to arbitrage category to disclose arbitrage item, relevant arbitrage tools and the arbitraged
risk qualitative and quantitative information:
84. Government subsidies
（1）Government subsidies confirmed in current period
In RMB
Amount included in
Items Amount Project
current profit and loss
Key Enterprise Recruitment Subsidies by Financial Bureau of Jiulongpo
8,400.00 Other income 8,400.00
District, Chongqing Municipality
Major New Product Research and Development Subsidy Funds in 2019
10,000.00 Other income 10,000.00
by Jiulongpo District Finance Bureau of Chongqing Municipality
Reward for stable growth of industrial enterprises above designated scale
100,000.00 Other income 100,000.00
by the Finance Bureau of Jiulongpo District, Chongqing
Subsidies from the Finance Bureau of Jiulongpo District, Chongqing
44,700.00 Other income 44,700.00
Municipality, Jiulongpo District Ecological Environment Bureau
Third generation service fee 16,316.61 Other income 16,316.61
Subsidies from the District-level Enterprise Technology Innovation
Center of the Finance Bureau of Jiulongpo District, Chongqing City in 200,000.00 Other income 200,000.00
2019
Subsidies for science and technology projects from the Technology
50,000.00 Other income 50,000.00
Bureau of Jiulongpo District, Chongqing(District property rights)
Subsidies from Ba’nan District Ecological Environment Bureau 32,077.36 Other income 32,077.36
Total 461,493.97 Other income 461,493.97
（2）Government subsidy return
□ Applicable √ Not applicable
Other note：
146
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
85.Other
VIII. Changes of merge scope
1. Business merger not under same control
(1) Business merger not under same control in reporting period
In RMB
Income of Net profits of
Time and
Cost of Way to gain Recognition acquiree acquiree
place of Proportion of
Name gaining the the stock Purchase date basis of during the during the
gaining the stock rights
stock rights rights purchase date purchase date purchase date
stock right
to period-end to period-end
Other note：
(2) Combined cost and goodwill
In RMB
Combined cost
Notes to determination method, consideration and changes of fair value of combined cost:
The main formation reason for the large goodwill:
Other note:
(3) The identifiable assets and liabilities of acquiree at purchase date
In RMB
Fair value on purchase date Book value on purchase date
The recognition method of the fair value of identifiable assets and liabilities
Contingent liability of acquiree undertaken by business merger
Other note:
(4) The profit or loss from equity held by the date before acquisition in accordance with the fair value measured
again、
Whether there is a transaction that through multiple transaction step by step to realize enterprises merger and
gaining the control during the reporting period
□ Yes √ No
147
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
(5) Note to merger could not be determined reasonable consideration or Identifiable assets, Fair value of liabilities
of the acquiree at acquisition date or closing period of the merge
(6) Other note:
2. Business combination under the same control
(1) Business combination under the same control during the reporting period
In RMB
Income from Net profits
the from the
Recognition Income Net profits
period-begin reporting
Proportion of Combination basis of during the during the
Name Basis to the period to the
the profits date combination period of period of
combination combination
date comparison comparison
date of the date of the
combination combination
Other note：
(2) Combination cost
In RMB
Combination cost
Notes to contingent consideration or other changes:
Other note:
(3) The book value of the assets and liabilities of the merged party on the date of consolidation
In RMB
Combination date Last closing period
Contingent liabilities of the combined party undertaken in combination
Other note:
3. Counter purchase
Basic information of trading, the basis of transactions constitute counter purchase, the retain assets , liabilities of
the listed companies whether constituted a business and its basis, the determination of the combination costs, the
amount and calculation of adjusted rights and interests in accordance with the equity transaction process.
148
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
4. The disposal of subsidiary
Whether there is a single disposal of the investment to subsidiary and lost control
□ Yes √No
Whether there are multiple transactions step by step dispose the investment to subsidiary and lost control in
reporting period
□ Yes √ No
Notes to reasons for the changes in combination scope (Newly established subsidiary and subsidiary of
liquidation) and relevant information:
6. Other
IX. Equity in other entities
1. Equity in subsidiary
(1) The structure of the enterprise group
Proportion of
Main
Registratio shareholding Way of
Name operating Nature of business
n place Indirectl gaining
place Directly
y
Chongqin Production and sale of Establishmen
Vehicle air conditioner Chongqing 100.00% t by
g automotive air-conditioners investment
Merger under
Chongqing Pingshan TK Carburetor Chongqin Production and sales of 100.00%
Chongqing different
Co., Ltd g motorcycle parts control
Notes: holding proportion in subsidiary different from voting proportion:
Basis of holding half or less voting rights but still been controlled investee and holding more than half of the
voting rights not been controlled investee:
Significant structure entities and controlling basis in the scope of combination:
Basis of determine whether the Company is the agent or the principal:
Other note:
(2) Significant not wholly owned subsidiary
In RMB
Shareholding proportion The profits and losses Declaring dividends Balance of minority
Name
of minority shareholder arbitrate to the minority distribute to minority shareholder at closing
149
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
shareholders shareholder period
Holding proportion of minority shareholder in subsidiary different from voting proportion:
Other note:
(3) The main financial information of significant not wholly owned subsidiary
In RMB
Closing balance Opening balance
Non-curr Non-curr
Non-curr Current Total Non-curr Current Total
Name Current Total ent Current Total ent
ent Liabilitie Liabilitie ent Liabilitie Liabilitie
assets assets Liabilitie assets assets Liabilitie
assets s s assets s s
s s
In RMB
June 30,2021 June 30,2020
Total Total
Name Operation Operating Operation Operating
Net profit comprehensi Net profit comprehensi
revenue cash flow revenue cash flow
ve income ve income
Other note:
(4) Significant restrictions of using enterprise group assets and pay off enterprise group debt
(5) Provide financial support or other support for structure entities incorporate into the scope of consolidated
financial statements
Other note:
2. The transaction of the Company with its owner’s equity share changed but still controlling the subsidiary
(1) Note to owner’s equity share changed in subsidiary
(2) The transaction’s influence to equity of minority shareholders and attributable to the owner's equity of the
parent company
In RMB
Other note
3. Equity in joint venture arrangement or associated enterprise
(1) Significant joint venture arrangement or associated enterprise
Domicile of Shareholding ratio Accounting
Name of joint venture or Registered (%)
primary Business nature treatment
associate place
operation Directly Indire methods for the
150
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
ct investments in
joint ventures or
associates
Chongqing HanonJianshe Compressor assembly and
Automotive Thermal Chongqing Chongqing 50.00% Equity method
Systems Co., Ltd. core auto parts production
Notes to holding proportion of joint venture or associated enterprise different from voting proportion:
Basis of holding less than 20% of the voting rights but has a significant impact or holding 20% or more voting
rights but does not have a significant impact:
（2）Major joint ventures and associates
In RMB
Closing balance/June 30, 2021 Opening balance/June 30, 2020
Other note
(3) Main financial information of significant associated enterprise
In RMB
Amount of current period Amount of previous period
Other note
(4) Summary financial information of insignificant joint venture or associated enterprise
In RMB
Amount of current period Amount of previous period
Joint venture： -- --
The total of following items according to the
-- --
shareholding proportions
Associated enterprise: -- --
The total of following items according to the
-- --
shareholding proportions
Other note
(5) Note to the significant restrictions of the ability of joint venture or associated enterprise transfer funds to the
Company
(6) The excess loss of joint venture or associated enterprise
In RMB
The cumulative recognized The derecognized losses or the The no cumulative
Name
losses in previous share of net profit in reporting unrecognized losses in reporting
151
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
accumulatively derecognized period period
Other note:
(7) The unrecognized commitment related to joint venture investment
(8) Contingent liabilities related to joint venture or associated enterprise investment
4. Significant common operation
Main operating place Proportion /share portion
Name Registration place Business nature
registration place Directly Indirectly
Note to holding proportion or share portion in common operation different from voting proportion:
Basis of common operation as a single entity, classify as common operation Other notes:
Other note
5. Equity of structure entity not including in the scope of consolidated financial statements
Related notes to structure entity not including in the scope of consolidated financial statements
6.Other
X. The risk related financial instruments
XI. The disclosure of the fair value
1. Closing fair value of assets and liabilities calculated by fair value
In RMB
Closing fair value
Items Fair value measurement Fair value measurement Fair value measurement
Total
items at level 1 items at level 2 items at level 3
I. Consistent fair value
-- -- -- --
measurement
II Inconsistent fair value
-- -- -- --
measurement
152
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
2. Market price recognition basis for consistent and inconsistent fair value measurement items at level 1
3. Valuation technique adopted and nature and amount determination of important parameters for consistent and
inconsistent fair value measurement items at level 2
4. Valuation technique adopted and nature and amount determination of important parameters for consistent and
inconsistent fair value measurement items at level 3
5. Sensitiveness analysis on unobservable parameters and adjustment information between opening and closing
book value of consistent fair value measurement items at level 3
6. Explain the reason for conversion and the policy governing when the conversion happens if conversion happens
among consistent fair value measurement items at different levels
7. Changes in the valuation technique in the current period and the reason for change
8. Fair value of financial assets and liabilities not measured at fair value
9. Other
XII. Related party and related Transaction
1. Information related to parent company of the Company
Name of the parent Shareholding ratio in Voting ratio in the
Registered place Business nature Registered capital
company the Company (%) Company (%)
Military Equipment Investment in
Beijing 35,300,000,000 yuan 71.13% 71.13%
Group state-owned assets
Notes
The ultimate controller of the Company is The State-owned Assets Supervision and Administration Commission
of the State Council.
Other note
2. Subsidiaries of the Company
See notes
3. Information on the joint ventures and associated enterprises of the Company
The details of significant joint venture and associated enterprise of the Company
Information on other joint venture and associated enterprise of occurring related party transactions with the
Company in reporting period, or form balance due to related party transactions in previous period:
Name of joint venture or associate Relationship with the company
153
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Chongqing Jianshe Hanon Heat Management system Co., Ltd. Joint venture
Other note
4.Other related parties of the Company
Name of other related parties Relationship with the Company
Jianshe Mechanical and Electric Under the common control of the same party
Jianshe Industry Under the common control of the same party
Military Finance Co. Under the common control of the same party
Chongqing Jianxing Machinery Manufacturing Co., Ltd. An Joint venture a subsidiary of a controlling shareholder
Changan Auto Under the common control of the same party
Changan Auto.Beijing Chanan Auto Company. Under the common control of the same party
Changan SUZUKI An Joint venture a subsidiary of a controlling shareholder
Hefei Changan Under the common control of the same party
Nanjing Changan Under the common control of the same party
Baoding Changan Bus Manufacturing Co., Ltd. Under the common control of the same party
Heifei Changan Auto Under the common control of the same party
Southern Motorcycle Under the common control of the same party
Chongqing Changan Auto Customer service Co., Ltd. Under the common control of the same party
Chongqing Changan Auto International Sale Service Co., Ltd. Under the common control of the same party
Chongqing Northern Jianshe Import & Export Co., Ltd. Under the common control of the same party
Harbin Hafei Automobile Co., Ltd Under the common control of the same party
Sichuan Huaqing Machinery Co., Ltd. Under the common control of the same party
Changan Ford Motor Co., Ltd. Harbin Branch An Joint venture a subsidiary of a controlling shareholder
Harbin Dongan Auto Power Co., Ltd. Under the common control of the same party
Chongqing Jianshe Yamaha Motorcycle A Joint venture of subsidiary of a controlling shareholder
Other note
5. List of related-party transactions
(1) Information on acquisition of goods and reception of labor service
Acquisition of goods and reception of labor service
In RMB
Occurred Trading limit Over the trading Occurred in
Related party Content
current term approved limit or not previous term
154
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Lease production
Jianshe Mechanical and Electric 0.00 3,500,000.00 No 1,565,752.62
site
Jianshe Industry Part test 344,312.29 1,000,000.00 No 270,904.30
Jianshe Industry Energy Fee 877,216.88 2,000,000.00 No
Acceptance of
Cbangan Group and its
repairing service 478,707.99 2,500,000.00 No 455,921.54
Subsidiaries
Southwest Ordnance Chongqing
Environmental Protection Service 777,495.22 2,400,000.00 No 854,960.98
Research Institute Co., Ltd
Chongqing Chang'an Minsheng
Service 1,818,237.91 1,000,000.00 Yes 78,612.24
Logistics Co., Ltd
Sales of goods and services
In RMB
Occurred current Occurred in
Related parties Subjects of the related transactions
term previous term
Cbangan Group and its Subsidiaries Sales of goods 101,396,938.36 51,440,306.18
Jianshe Mechanical and Electric Lease storehouse 0.00 1,593,863.78
Chongqing Yamaha Motorcycle Co., Ltd. Selling parts 6,604,586.53 1,917,272.74
South Air International Selling parts 0.00 36,000.00
Chongqing Jianshe HANON Automobile Thermal
Selling parts 2,351,020.24
Management System Co., Ltd
Chongqing Jianshe HANON Automobile Thermal
Energy fee 4,083,965.12
Management System Co., Ltd
Jianshe Industry Energy fee 204,367.98 109,389.35
Note
(2) Related trusteeship/contract
Lists of related trusteeship/contract
In RMB
Name of the Name of the Income
entruster/Contract entrustee/Contrac Type Initial date Due date Pricing basis recognized in the
ee tor reporting period
Note
Lists of entrust/contractee：
In RMB
Name of the Name of the Type Initial date Due date Pricing basis Charge
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
entruster/Contract entrustee/Contrac recognized in the
ee tor reporting period
Notes:
(3) Information of related lease
The Company was lessor:
In RMB
The lease income confirmed in The lease income confirmed in
Name of lessee Category of leased assets
this year last year
Jianshe Mechanical and Electric Fixed assets 1,593,863.78 2,198,845.20
The Company was lessee：
In RMB
The lease income confirmed in
Lessor Category of leased assets Category of leased assets
this year
(4) Related-party guarantee
The Company was guarantor
In RMB
Execution accomplished
Secured party Guarantee amount Start date End date
or not
The Company was secured party
In RMB
Execution accomplished
Guarantor Guarantee amount Start date End date
or not
Notes
(5) Inter-bank lending of capital of related parties：
Amount borrowed and
Related party Initial date Due date Notes
loaned
Borrowed
Loaned
(6) Related party asset transfer and debt restructuring
In RMB
Related party Content Occurred current term Occurred in previous term
(7) Rewards for the key management personnel
In RMB
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Items Occurred current term Occurred in previous term
(8) Other related transactions
6. Receivable and payables due with related parties
（1）Receivables
In RMB
At end of term At beginning of term
Project Related parties
Book balance Bad debt provision Book balance Bad debt provision
（2）Payables
In RMB
Project Related parties At end of term At beginning of term
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
7. Related party commitment
8.Other
XIII. Stock payment
1. The Stock payment overall situation
□ Applicable √ Not applicable
2. The Stock payment settled by equity
□ Applicable √ Not applicable
3. The Stock payment settled by cash
□ Applicable √ Not applicable
4. Modification and termination of the stock payment
5.Other
XIV. Commitments
1.Significant commitments
Significant commitments at balance sheet date
As at June 30,2021, the Company did not need to disclose important commitments.
2. Contingency
(1) Significant contingency at balance sheet date
As at June 30,2021, the Company did not need to disclose important commitments.
158
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
(2) The Company have no significant contingency to disclose, also should be stated
There was no significant contingency in the Company.
3.Other
XV. Events after balance sheet date
1. Significant events had not adjusted
In RMB
Influence number to the
Reason of unable to estimate
Items Content Financial position and operating
influence number
results
2. Profit distribution
3. Sales return
4. Notes of other significant events
XVI. Other significant events
1. The accounting errors correction in previous period
（1）Retrospective restatement
In RMB
Name of the influenced report
Content Processing program Accumulative impact
items during comparison period
（2）Prospective application
Content Processing program Reason of adopting prospective application
159
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
2. Debt restructuring
3. Replacement of assets
(1) Non-monetary assets exchange
(2) Other assets replacement
4. Pension plan
5. Discontinuing operation
In RMB
Termination of
the business
Income tax profits
Items Income Expenses Total profit Net profit
expenses attributable to the
parent company
owner
Other note
6. Segment information
(1) Recognition basis and accounting policies of reportable segment
(2) The financial information of reportable segment
In RMB
Items Offset during segments Total
(3) There was no reportable segment, or the total amount of assets and liabilities of each part of reportable
segment, shall disclose the reason.
(4) Other notes
7. Other important transactions and events have an impact on investors’ decision-making
8. Other
XVII. Notes of main items in the financial statements of the Parent Company
1. Accounts receivable
(1) Accounts receivable classified by category
In RMB
160
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Closing balance Opening balance
Book balance Bad debt provision Book balance Bad debt provision
Category Book
Proportio Proportio Proportio Proportio Book value
Amount Amount value Amount Amount
n% n% n% n%
Of which
Accrual of bad debt
4,295,04 1,291,49 3,003,547 3,480,832 1,291,496 2,189,335.1
provision by
4.24 6.94 .30 .08 .94 4
portfolio
Of which
4,295,04 1,291,49 3,003,547 3,480,832 1,291,496 2,189,335.1
Total
4.24 6.94 .30 .08 .94 4
Accrual of bad debt provision by single item:
In RMB
Closing balance
Name
Book balance Bad debt provision Proportion Reason
Accrual of bad debt provision by portfolio:
In RMB
Closing balance
Name
Book balance Bad debt provision Proportion
Note：
Relevant information of the provision for bad debts will be disclosed with reference to the disclosure method of
account receivables if the provision for bad debts of bills receivable is accrued according to the general model of
expected credit loss:
□ Applicable √ Not applicable
Disclosure by aging
In RMB
Aging Closing balance
Within 1 year（Including 1 year） 3,003,547.30
Over 3 years 1,291,496.94
Over 5 years 1,291,496.94
Total 4,295,044.24
(2) Accounts receivable withdraw, reversed or collected during the reporting period
The withdrawal amount of the bad debt provision：
In RMB
161
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Amount of change in the curent period
Category Opening balance Reversed or Closing balance
Accrual Write-off Other
collected amount
Bad debt provision for
1,291,496.94 1,291,496.94
accounts receivable
Total 1,291,496.94 1,291,496.94
Of which the significant amount of the reversed or collected part during the reporting period
In RMB
Items Reversed or collected amount Method
(3) The actual write-off accounts receivable
In RMB
Items Amount
Of which the significant actual write-off accounts receivable:
In RMB
Whether occurred
Name Nature Amount Reason Process from the related
transactions
（4）The ending balance of other receivables owed by the imputation of the top five parties
In RMB
Name Amount Proportion(%) Bad debt provision
Chongqing Jianshe HANON Automobile
1,760,978.18
Termal Management System Co., Ltd
Chongqing Yamaha Motorcycle Co., Ltd 1,022,782.57
Wuhan Longchang Company Wujiao Market
473,539.96 473,539.96
Department
China Aerospace Science and Technology
395,296.04 395,296.04
Corporation long March Machinery Factory
Chongqing Chihai Machine Manufacturing
145,999.35 145,999.35
Co.,Ltd
Total 3,798,596.10
162
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
(5) Account receivable which terminate the recognition owning to the transfer of the financial assets
(6) The amount of the assets and liabilities formed by the transfer and the continues involvement of accounts
receivable
Other note
2. Other accounts receivable
In RMB
Items Closing balance Opening balance
Other accounts receivable 1,816,416.14 934,239.22
Total 1,816,416.14 934,239.22
（1）Interest receivable
(1) Category of interest receivable
In RMB
Items Closing balance Opening balance
(2) Significant overdue interest
Whether occurred
Borrower Closing balance Overdue time Reason impairment and its
judgment basis
Other note：
3）Bad-debt provision
□ Applicable √ Not applicable
8. Dividend receivable
(1) Dividend receivable
In RMB
Items Closing balance Opening balance
(2) Significant dividend receivable aged over 1 year
In RMB
Whether occurred
Items Closing balance Aging Reason
impairment and its
163
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
judgment basis
Other notes：
3）Bad-debt provision
□ Applicable √ Not applicable
Other note：
（3） Other accounts receivable
(1) Other accounts receivable classified by the nature of accounts
In RMB
Nature Closing book balance Opening book balance
Current account 7,736,665.96 6,854,489.04
Total 7,736,665.96 6,854,489.04
2）Provision for bad debts
In RMB
Stage 1 Stage 2 Stage 3
Expected credit Expected credit losses for
Bad Debt Reserves Expected credit loss over Total
losses over the next the entire duration (credit
life (no credit impairment)
12 months impairment occurred)
Balance as at January 1,
5,920,249.82 5,920,249.82
2021
Balance as at January 1,
—— —— —— ——
2021 in current
Balance as at June
5,920,249.82 5,920,249.82
30,2021
Loss provision changes in current period, change in book balance with significant amount
□ Applicable √Not applicable
Disclosure by aging
In RMB
Aging Closing balance
Within 1 year(Including 1 year） 3,039,562.59
1-2 years 255,723.62
Over 3 years 4,441,379.75
Over 5 years 4,441,379.75
Total 7,736,665.96
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
3) Accounts receivable withdraw, reversed or collected during the reporting period
The withdrawal amount of the bad debt provision：
In RMB
Amount of change in the current period
Category Opening balance Reversed or collected Closing balance
Accrual
amount
Of which the significant amount of the reversed or collected part during the reporting period
In RMB
Items Reversed or collected amount Method
(4) The actual write-off accounts receivable
In RMB
Items Amount
Of which the significant actual write-off accounts receivable:
In RMB
Whether occurred
Name Nature Amount Reason Process from the related
transactions
Notes of the write-off other accounts receivable:
(5) Top 5 of the closing balance of the other accounts receivable collected according to the arrears party
In RMB
Bad debt
Portion in total
Year-end provision of
Name Nature Aging other
balance year-end
receivables(%)
balance
Shenzhen Jianshe Motorcycle Current account 3,013,664.00 Over 5 years 3,013,664.00
Chongqing Jianshe Lijue Industry 7-12 months, 1-2
Current account 1,478,870.07 1,478,870.07
Co., Ltd. years
Advance payment to employees Current account 802,838.81 Within 6 months
Ningbo Jianshe Auto Co.,Ltd
Current account 692,035.31 Over 5 years 692,035.31
Chongqing Office
Ningbo Jianshe Motorcycle Current account 329,628.73 Within 1-6 months 329,628.73
Total -- 6,317,036.92 -- 5,514,198.11
165
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
(6) Accounts receivable involved with government subsidies
In RMB
Estimated received time,
Name Project of government Opening balance Closing balance
amount and basis
(7) Other account receivable which terminate the recognition owning to the transfer of the financial assets
(8) The amount of the assets and liabilities formed by the transfer and the continues involvement of other accounts
receivable
Other note:
3. Long-term equity investment
In RMB
Closing balance Opening balance
Items Provision for Provision for
Book balance Book value Book balance Book value
impairment impairment
Investments in
199,045,443.95 199,045,443.95 199,045,443.95 199,045,443.95
subsidiaries
Investments in
associates and 186,981,712.24 186,981,712.24 186,213,719.02 186,213,719.02
joint ventures
Total 386,027,156.19 386,027,156.19 385,259,162.97 385,259,162.97
（1） Investments in subsidiaries
In RMB
Increase /decrease Closing
balance
Withdrawn of
Investees Opening balance Add Decreased Closing balance
impairment Other impairme
investment investment
provision nt
provision
Chongqing Jianshe
Automobile A/C Co., 160,000,000.00 160,000,000.00
Ltd.
Chongqing Pingshan 39,045,443.95 39,045,443.95
TK Carburetor Co., Ltd
Total 199,045,443.95 199,045,443.95
（2）Investments in associates and joint ventures
In RMB
166
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
Increases/decreases in the current year Balance
as at June
profits
and losses 30, 2019
on Declarati
Opening Additio Decrease Other Impairme Closing of
Investee investmen Changes on of cash
Balance nal in comprehe balance provision
ts in other nt Other
investm investmen nsive dividends
recognize equity provision for
ent t
d under income or profits
the equity impairme
method nt
1. Joint ventures
Jianshe 186,213,7 767,993.2 186,981,7
HANON 19.02 2 12.24
186,213,7 767,993.2 186,981,7
Subtotal
19.02 2 12.24
2．Associates
186,213,7 767,993.2 186,981,7
Total
19.02 2 12.24
（3）Other note
4. Operation income and operation cost
In RMB
Occurred current term Occurred in previous term
Items
Income Cost Income Cost
Major business turnover 291,221,279.33 282,009,975.23 219,350,659.90 206,028,338.17
Other business income 6,250,780.86 5,000,602.46 3,118,003.07 734,229.58
Total 297,472,060.19 287,010,577.69 222,468,662.97 206,762,567.75
Income related information：
In RMB
Type Division 1 Division 2 Total
Of which：
Information related to performance obligations:
Not applicable
Information related to the transaction price apportioned to the residual performance obligation:
The income corresponding to the performance obligations that have not been performed or have been performed
incompletely but the contract has been signed at the end of the reporting period is RMB 0.00, of which RMB 0.00
is expected to be recognized as income in the year, RMB 0.00 is expected to be recognized as income in the year,
and RMB0.00 is expected to be recognized as income in the year.
Other note：
5. Investment income
167
Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
In RMB
Items Occurred current term Occurred in previous term
Long-term equity investment income 767,993.22 -8,214,068.19
calculated by equity method
Total 767,993.22 -8,214,068.19
6.Other
XVIII. Supplementary Information
1. Details of non-recurring gain/loss of the term
√ Applicable □ Not applicable
In RMB
Items Amount Notes
Non-current asset disposal gain/loss 1,566,473.14
Government subsidy recognized in current gain and
loss(excluding those closely related to the Company’s business 461,493.97
and granted under the state’s policies)
Other non-business income and expenditures other than the above 198,487.03
Total 2,226,454.14 --
Explain the reasons if the Company classifies an item as an extraordinary gain/loss according to the definition in
the Explanatory Announcement No. 1 on Information Disclosure for Companies Offering Their Securities to the
Public—Extraordinary Gains and Losses, or classifies any extraordinary gain/loss item mentioned in the said
explanatory announcement as a recurrent gain/loss item
□ Applicable √Not applicable
2. Net income on asset ratio and earning per share
Earnings per share
Profit of the report period Net income on asset, weighted Diluted earnings per
Basic earnings per share
share
Net profit attributable to common
-4.66% -0.0662 -0.0662
shareholders of the Company
Net profit attributable to the
common owners of the PLC after
-5.97% -0.0848 -0.0848
deducting of non-recurring
gains/losses
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Chongqing Jianshe Vehicle System Co., Ltd. The Semi-Annual Report 2021
3. Differences between accounting data under domestic and overseas accounting standards
（1）．Simultaneously pursuant to both Chinese accounting standards and international accounting standards
disclosed in the financial reports of differences in net income and net assets.
□ Applicable□√ Not applicable
（2）. Differences of net profit and net assets disclosed in financial reports prepared under overseas and Chinese
accounting standards.
□ Applicable□√ Not applicable
(3) .Explanation of the reasons for the differences in accounting data under domestic and foreign accounting stand
ards. If the data that has been audited by an overseas audit institution is adjusted for differences, the name of the o
verseas institution should be indicated
4.Other
169
