10-Q

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 10−Q

(Mark One)

[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended: September 30, 2016

[   ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission File No. 000-30183

CHINA LONGYI GROUP INTERNATIONAL HOLDINGS LIMITED
(Exact Name of Registrant as Specified in Its Charter)

NEW YORK	13-3874771
(State or other jurisdiction of	(I.R.S. Empl. Ident. No.)
incorporation or organization)

8/F East Area
Century Golden Resources Business Center
69 Banjing Road
Haidian District
Beijing, People’s Republic of China, 100089
(Address of Principal Executive Offices)

+86-10-884-52568
(Registrant’s Telephone Number, Including Area Code)

Check whether the issuer (1) filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the past 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
Yes [X]       No [   ]

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).
Yes [X]       No [   ]

Indicate by check mark whether the registrant is a larger accelerated filer, an accelerated filer, or a non-accelerated filer. See definition of “accelerated filer and large accelerated filer” in Rule 12b-2 of the Exchange Act. (Check one)

Large accelerated filer [   ]            Accelerated filer [   ]             Non-accelerated filer [   ]            Smaller reporting company [X]

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes [   ]       No [X]

The numbers of shares outstanding of each of the issuer’s classes of common equity, as of November 11, 2016 are as follows:

Class of Securities	Shares Outstanding
Common Stock, $0.01 par value	77,655,862

TABLE OF CONTENTS

	PART I Financial Information	Page
Item 1.	Financial Statements	2
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	14
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	20
Item 4	Controls and Procedures	20
	PART II Other Information
Item 1.	Legal Proceedings	21
Item 1A.	Risk Factors	21
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	21
Item 3.	Defaults Upon Senior Securities	21
Item 4.	Mine Safety Disclosures	21
Item 5.	Other Information	21
Item 6.	Exhibits	21

Part I – FINANCIAL INFORMATION

CHINA LONGYI GROUP INTERNATIONAL HOLDINGS LIMITED

UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

September 30, 2016

2

CHINA LONGYI GROUP INTERNATIONAL HOLDINGS LIMITED
CONSOLIDATED BALANCE SHEETS

		Unaudited			Audited
		September 30,			December 31,
ASSETS		2016			2015
Current assets
Cash and cash equivalents	$	152,912		$	29,429
Inventories		333,210			359,194
Account receivables		175,775			5,544
Due from directors		8,099			-
Other receivables		77,815			26,508
Deposits and prepayments		103,523			14,447
Total current assets		851,334			435,122
Investment		85,099			87,512
Property, plant and equipment (net)		295,266			320,386
	$	1,231,699		$	843,020
LIABILITIES AND EQUITY
Current liabilities
Short-term loan	$	-		$	58,519
Accounts payable		1,468			4,869
Accrued liabilities		452,837			192,306
Due to directors		590,134			627,832
Due to related parties		394,247			417,653
Other payables		580,377			660,868
Total current liabilities		2,019,063			1,962,047
Equity
Common stock:    par value $.01; 200,000,000 shares authorized;    77,655,862 shares issued and outstanding		776,558			776,558
Additional paid-in capital		28,877,540			28,877,540
Deficit		(30,731,204	)		(30,996,907	)
Other comprehensive income		227,473			204,099
Stockholders' equity (deficit)		(849,633	)		(1,138,710	)
Noncontrolling interest		62,269			19,683
Total Equity		(787,364	)		(1,119,027	)
	$	1,231,699		$	843,020

See notes to unaudited condensed consolidated interim financial statements

3

CHINA LONGYI GROUP INTERNATIONAL HOLDINGS LIMITED
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)
(UNAUDITED)

		Three months ended						Nine months ended
		September 30,						September 30,
		2016			2015			2016			2015
Revenues
Sales	$	1,034,223		$	153,976		$	1,675,034		$	163,119
Cost of sales		687,311			185,308			1,158,944			206,167
Gross margin		346,912			(31,332	)		516,090			(43,048	)
Operating expenses
General and administrative expenses		301,162			121,637			578,100			363,965
		301,162			121,637			578,100			363,965
Profit (Loss) from operations		45,750			(152,969	)		(62,010	)		(407,013	)
Other income (expense)
Interest income		87			6			98			55
Other income (expense)		195,764			179,750			392,186			193,710
Foreign exchange gain (loss)		210			(10,089	)		(15,993	)		(4,786	)
Interest expense		154			-			(8,946	)		-
		196,215			169,667			367,345			188,979
Income (Loss) before income tax and noncontrolling interest		241,965			16,698			305,335			(218,034	)
Income tax		-			-			-			-
Net Income (loss)		241,965			16,698			305,335			(218,034	)
Less: Net income (loss) attributable to noncontrolling interest		(25,272	)		(1,789	)		(39,632	)		13,485
Net income (loss) attributable to the Company	$	216,693		$	14,909		$	265,703		$	(204,549	)
Basic and diluted income (loss) per share	$	0.00		$	0.00		$	0.00		$	(0.00	)
Weighted average number of shares outstanding-basic and diluted		77,655,862			77,655,862			77,655,862			77,655,862
Comprehensive income (loss)
Net Income (loss)	$	241,965		$	16,698		$	305,335		$	(218,034	)
Foreign currency translation		(1,144	)		32,528			26,328			26,106
Comprehensive income (loss)		240,821			49,226			331,663			-191,928
Comprehensive income (loss) attributable to noncontrolling interest		493			6,352			42,586			-8,950
Comprehensive income (loss) attributable to the Company	$	240,328		$	42,874		$	289,077		$	(182,978	)

See notes to unaudited condensed consolidated interim financial statements

4

CHINALONGYI GROUP INTERNATIONAL HOLDINGS LIMITED
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

		Nine months ended September 30,
		2016			2015
Cash flows from operating activities:
Net income ( loss)	$	305,335		$	(218,034	)
Adjustments to reconcile net income (loss) to net cash used in operations:
Depreciation and amortization		22,869			17,855
Changes in operating assets and liabilities:
Accounts receivables		(173,029	)		-
Other receivables		(52,846	)		(55,496	)
Due from directors		(8,225	)		-
Deposits and prepayment		(90,864	)		(9,099	)
Inventory		16,326			6,064
Other payables		203,929			278,867
Due to related parties		(17,375	)		32,130
Accounts payable and accrued liabilities		(3,318	)		-
Net cash provided by operations		202,802			52,287
Cash flows from investing activities:
Purchase of investment		-			(61,551	)
Purchases of property and equipment		(6,335	)		(5,668	)
Net cash (used in) investing activities		(6,335	)		(67,219	)
Cash flows from financing activities:
Proceeds (repayments) of short term loans		(57,788	)		-
Proceeds (repayments) loans from directors		(23,886	)		(6,479	)
Net cash (used in) financing activities		(81,674	)		(6,479	)
Effect of foreign exchange rate fluctuation		8,690			2,535
Increase(decrease) in cash and cash equivalents		123,483			(18,876	)
Cash and cash equivalents, beginning of period		29,429			46,366
Cash and cash equivalents, end of period	$	152,912		$	27,490
Supplemental disclosures of cash flow information:
Cash paid for interest	$	-		$	-
Cash paid for income taxes	$	-		$	-

See notes to unaudited condensed consolidated interim financial statements

5

CHINA LONGYI GROUP INTERNATIONAL HOLDINGS LIMITED
Notes to unaudited condensed consolidated interim financial statements
September 30, 2016

The accompanying unaudited consolidated interim financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP”) for financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by US GAAP for annual financial statements. These unaudited consolidated interim financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. The unaudited condensed consolidated interim financial statements of China Longyi Group International Holdings Limited (the “Company” or “China Longyi”) include the accounts of China Longyi and its wholly-owned and majority-owned subsidiaries. All material intercompany accounts and transactions have been eliminated in consolidation.

1.        BUSINESS DESCRIPTION AND ORGANIZATION

We are a holding company that only operates through our indirect Chinese subsidiaries Beijing SOD and Chongqing SOD. Through our Chinese subsidiaries, we develop, manufacture and market our SOD products in China. SOD is a naturally occurring enzyme which may act as a potent antioxidant defense in cells that are exposed to oxygen.

The following chart reflects our organizational structure as of the date of this report.

6

CHINA LONGYI GROUP INTERNATIONAL HOLDINGS LIMITED
Notes to unaudited condensed consolidated interim financial statements
September 30, 2016

1.	BUSINESS DESCRIPTION AND ORGANIZATION (Continued)
	CONTROL BY PRINCIPAL STOCKHOLDERS
	The directors, executive officers, affiliates and related parties own, beneficially and in the aggregate, the majority of the voting power of the outstanding shares of the common stock of the Company. Accordingly, if they voted their shares uniformly, directors, executive officers and affiliates would have the ability to control the approval of most corporate actions, including increasing the authorized capital stock of China Longyi and the dissolution, merger or sale of the Company's assets.
	GOING CONCERN
	The Company has earned only insignificant revenues since its inception. As at September 30, 2016, the Company has a working capital deficiency of $1,167,729 and accumulated deficit from recurring net losses of $30,731,204 incurred for the current and prior years as of September 30, 2016. As at September 30, 2016, the Company has cash and cash equivalents of $152,912.
	The Company’s ability to continue as a going concern ultimately is dependent on the management’s ability to obtain equity or debt financing, attain further operating efficiencies, and achieve profitable operations. The unaudited condensed consolidated interim financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or amounts and classification of liabilities that might be necessary should the Company not be able to continue as a going concern.
2.	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
	PRINCIPLES OF CONSOLIDATION AND BASIS OF PRESENTATION
	The unaudited condensed consolidated interim financial statements for all periods presented include the financial statements of China Longyi Group International Holdings Limited, and its subsidiaries: Top Team Holdings Limited, Full Ample Group Limited (Daykeen Group, BVI), Top Time International Limited (HK), Beijing SOD, and Chongqing SOD. The unaudited condensed consolidated interim financial statements have been prepared in accordance with US GAAP. All significant intercompany accounts and transactions have been eliminated.
	The Company has determined the People’s Republic of China Chinese Yuan Renminbi (“RMB”) to be its functional currency. The accompanying unaudited condensed consolidated interim financial statements are presented in United States (US) dollars. The unaudited condensed consolidated interim financial statements are translated into US dollars from RMB at quarter-end exchange rates for assets and liabilities, and weighted average exchange rates for revenues and expenses. Capital accounts are translated at their historical exchange rates when the capital transactions occurred.
	RMB is not freely convertible into the currency of other nations. All such exchange transactions must take place through authorized institutions. There is no guarantee the RMB amounts could have been, or could be, converted into US dollars at rates used in translation.

7

CHINA LONGYI GROUP INTERNATIONAL HOLDINGS LIMITED
Notes to condensed consolidated financial statements (Unaudited)
September 30, 2016

2.	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
	NONCONTROLLING INTEREST IN SUBSIDIARIES
	The Company owns 90% of the equity interests in Beijing SOD, and the remaining 10% is owned by Miss Ran Wang. Therefore, the Company records non-controlling interest charge in the statement of operations to allocate 10% of the results of operations of the Beijing SOD to Miss Ran Wang, its non-controlling shareholder.
	The Company owns 81% of the equity interest in Chongqing SOD of which 9% is owned by Miss Ran Wang, and the remaining 10% by Mr. Guoqing Tan. Therefore, the Company records non-controlling interest charge in the statement of operations to allocate 19% of the results of operations of Chongqing SOD to its non-controlling shareholders.
	USE OF ESTIMATES
	The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
	SIGNIFICANT ESTIMATES
	Several areas require significant management estimates relating to uncertainties for which it is reasonably possible that there will be a material change in the near term. The more significant areas requiring the use of management estimates related to determination of net realizable value of inventory, allowance for doubtful accounts, property and equipment, accrued liabilities, and the useful lives for depreciation.
	REVENUE RECOGNITION
	Revenue is recognized when persuasive evidence of an arrangement exists, the price is fixed and determinable, delivery has occurred and there is a reasonable assurance of collection of the sales proceeds. The Company generally obtains purchase authorizations from its customers for a specified amount of products at a specified price and considers delivery to have occurred when the customer takes title of the products.
	PROPERTY, PLANT AND EQUIPMENT
	Property, plant and equipment are recorded at cost. Significant additions and improvements are capitalized, while repairs and maintenance are charged to expenses as incurred. Equipment purchased for specific research and development projects with no alternative uses are expensed. Assets under construction are not depreciated until construction is completed and the assets are ready for their intended use. Gains and losses from the disposal of property, plant and equipment are recorded in loss on disposal and impairment of property, plant and equipment included in the consolidated statements of comprehensive income (loss).
	Depreciation and amortization are provided for financial reporting purposes primarily on the straight-line method over the estimated useful lives of the respective assets as follows:

	Estimated
	Useful Life
Transportation equipment	5 years
Furniture and office equipment	5 years
Production equipment	10 years
Building and improvements	20 years

8

CHINA LONGYI GROUP INTERNATIONAL HOLDINGS LIMITED
Notes to condensed consolidated financial statements (Unaudited)
September 30, 2016

2.	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
	CASH AND CASH EQUIVALENTS
	Cash and Cash Equivalents as of September 30, 2016 were $152,912 and $29,429 in December 31, 2015.
	INVENTORY
	Prior to January 1, 2015, inventories are stated at the lower of cost or replacement cost with respect to raw materials and the lower of cost or market with respect to finished goods and work in progress. The Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2015-11 (“ASU 2015-11”), Simplifying the Measurement of Inventory, which the Company adopted on January 1, 2015. Subsequent to January 1, 2015, inventories are stated at the lower of cost or replacement cost with respect to raw materials and the lower of cost or net realizable value with respect to finished goods and work in progress. The cost of work in progress and finished goods is determined on a weighted average cost basis and includes direct material, direct labor and overhead costs. Net realizable value represents the anticipated selling price, net of distribution cost, less estimated costs to completion for work in progress.
	Inventories as of September 30, 2016 were $333,210 and $359,194 in December 31, 2015.
	INCOME TAXES
	Income tax expense is based on reported income before income taxes. Deferred income taxes reflect the effect of temporary differences between assets and liabilities that are recognized for financial reporting purposes and the amounts that are recognized for income tax purposes. In accordance with ASC Topic 740 (formerly SFAS No. 109, “Accounting for income taxes”) these deferred taxes are measured by applying currently enacted tax laws.
	The Company did not provide any current or deferred income tax provision or benefit for any period presented to date because it has experienced operating losses since inception. The benefit of any tax income (loss) carry forwards is fully offset by a valuation allowance, as there is a more than fifty percent chance that the Company will not realize those benefits.
	There are net operating loss carry forwards allowed under the Hong Kong and China Governments’ tax system.

9

CHINA LONGYI GROUP INTERNATIONAL HOLDINGS LIMITED
Notes to condensed consolidated financial statements (Unaudited)
September 30, 2016

2.	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
	SHIPPING AND HANDLING
	Costs relating to shipping and handling are part of general and administrative expenses in the unaudited consolidated statements of operations and comprehensive loss. Insignificant amount of shipping and handling costs incurred during the nine months ended September 30, 2016 and 2015.
	EARNING (LOSS) PER SHARE
	Basic earnings (loss) per common share ("LPS") is calculated by dividing net income (loss) by the weighted average number of common shares outstanding during the period. Diluted earnings (loss) per common share is calculated by adjusting the weighted average outstanding shares, assuming conversion of all potentially dilutive stock options.
	There were no stock options and potentially dilutive securities outstanding as at September 30, 2016.
	STOCK - BASED COMPENSATION
	Compensation expense for costs related to all share-based payments, including grants of stock options, is recognized through a fair-value based method. The Company uses the Black-Scholes option-pricing model to determine the grant date fair value for stock options. The Company uses the grant date stock price to determine the grant date fair value of restricted shares. The Company has elected to recognize share-based compensation costs using the straight-line method over the requisite service period with a graded vesting schedule, provided that the amount of compensation costs recognized at any date is at least equal to the portion of the grant date value of the awards that are vested at that date. Forfeitures are estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from initial estimates. Share based compensation costs are recorded net of estimated forfeitures such that expense is recorded only for those awards that are expected to vest.
	The Company had no such compensation expense for the nine months ended September 30, 2016 and 2015.
	COMPARATIVE FIGURES
	Certain comparative figures have been reclassified in order to conform with the presentation adopted in the current period.
	COMPREHENSIVE INCOME (LOSS)
	The Company’s comprehensive income (loss) consists of net income (loss) and foreign currency translation adjustments.
	RECENTLY ADOPTED ACCOUNTING STANDDARDS
	There were no changes to the new accounting pronouncements as described in our Annual Report on Form 10- K for the fiscal year ended December 31, 2015 except for the following:

10

CHINA LONGYI GROUP INTERNATIONAL HOLDINGS LIMITED
Notes to condensed consolidated financial statements (Unaudited)
September 30, 2016

2.	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
	In February 2016, the Financial Accounting Standards Board ("FASB") issued guidance which amends the existing accounting standards for leases. Consistent with existing guidance, the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification. Under the new guidance, a lessee will be required to recognize right-of-use assets and lease liabilities on the balance sheet. The new guidance is effective for us from November 1, 2020, and interim periods in the following year. Early adoption of this guidance is permitted and we will be required to adopt using a modified retrospective approach. We are evaluating the timing and the impact of adopting this guidance on our unaudited condensed consolidated financial statements and disclosures.
	In January 2016, FASB issued amendments to address certain aspects of recognition, measurement, presentation, and disclosure of financial instruments. The standard requires entities to measure equity investments that do not result in consolidation and are not accounted for under the equity method at fair value and recognize any changes in fair value in net income. The provisions under this amendment are effective for us from November 1, 2018, and for interim periods in the following year and early adoption is not permitted. We are evaluating the impact of adopting this guidance to our unaudited condensed consolidated financial statements.
	In November 2015, FASB issued guidance intended to simplify accounting for deferred taxes. Beginning on November 1, 2017 and including the interim periods following that date, we will be required to present all deferred tax balances as non-current. Existing GAAP guidance requires us to record deferred tax balances as either current or non-current in accordance with the classification of the underlying attributes. Early adoption of this guidance is permitted and may be applied either prospectively or retrospectively to all periods presented. We expect to early adopt this guidance prospectively at the end of the second quarter of fiscal year 2016, but we are still evaluating how significant the impact of the adoption will be on our consolidated balance sheet.
	Other amendments to GAAP in the U.S. that have been issued by the FASB or other standards-setting bodies that do not require adoption until a future date are not expected to have a material impact on our unaudited condensed consolidated financial statements upon adoption.
3.	STOCKHOLDERS' EQUITY
	The Company's capital structure as of September 30, 2016 and December 31, 2015 was as follows:

Common stock – par value $0.01	Authorized	Issued and outstanding
September 30, 2016	200,000,000	77,655,862
December 31, 2015	200,000,000	77,655,862

As of September 30, 2016, the Company had accumulated deficit of $30,731,204.

11

CHINA LONGYI GROUP INTERNATIONAL HOLDINGS LIMITED
Notes to condensed consolidated financial statements (Unaudited)
September 30, 2016

4.	INVESTMENT
	On January 5, 2010, the Company acquired 20% equity interest in Cangshan Duoha Vegetable Food Company (“Duoha”) by issuing 50,000 shares of common stock of the Company at $0.2 per share to Duoha’s shareholders. According to the investment agreement, although we own 20% equity interest of Duoha, we do not have significant influence over Duoha’s operating and financing activities. Therefore, the Company used cost method to record the above investment.
	In May of 2015, we signed an investment agreement with Guizhou Biology Technology Ltd. (“Guizhou”). According to the investment agreement, the Company invested RMB 500,000 ($74,875) to acquire 20% equity interest in of Guizhou. Although we own 20% equity of Guizhou, we do not have significant influence over Guizhou’s operating and financing activities.
	The amount of investment as of September 30, 2016 and December 31, 2015 was $85,099 and $87,512, respectively.
5.	INVENTORIES
	Inventories at September 30, 2016 and December 31, 2015 consisted of:

		September 30,		December 31,
		2016		2015
Raw Materials	$	48,558	$	12,639
Low value consumables		13,113		13,485
Work in progress		228,802		266,717
Finished goods		42,737		66,353
	$	333,210	$	359,194

6.	PROPERTY AND EQUIPMENT
	Property and equipment at cost consisted of:

		September 30,			December 31,
		2016			2015
Transportation equipment	$	51,434		$	52,892
Furniture and office equipment		61,707			57,043
Production equipment, buildings and improvements		365,950			376,331
Subtotal		479,091			486,266
Less: impairment provision		(46,252	)		(47,563	)
accumulated depreciation		(318,149	)		(304,015	)
		114,690			134,688
Construction in progress		180,576			185,698
	$	295,266		$	320,386

Depreciation expense for the nine months ended September 30, 2016 was $22,869. Accumulated impairment as of September 30, 2016 and December 31, 2015 was $46,252 and $47,563.

12

CHINA LONGYI GROUP INTERNATIONAL HOLDINGS LIMITED
Notes to condensed consolidated financial statements (Unaudited)
September 30, 2016

7.	COMMITMENTS AND CONTINGENCIES
	From time to time, the Company has disputes that arise in the ordinary course of its business. Currently, according to management, there are no material legal proceedings to which the Company is a party to or to which any of their property is subject that will have a material adverse effect on the Company’s financial condition.
	The Company rents office space from the related company on a month to month basis.
8.	SHORT-TERM LOAN
	During the year of 2015, Shiling Wang provided the company an unsecured loan in an amount of RMB 380,000 ($56,905), and the interest rate of the loan is 25% per annum. As of September 30, 2016, the Company has repaid loan in full.
	The principal amount as of September 30, 2016 was $0 and as of December 31, 2015 was $58,519, respectively, and were recorded on the balance sheet as short-term loan.
9.	OTHER PAYABLES
	Other payables are carrying value as of the balance sheet date of obligations incurred and payable, which are not elsewhere specified in the taxonomy.
	Other payables as of September 30, 2016 and December 31, 2015 consist of the following:

		September 30,		December 31,
		2016		2015
Due to Tailong Zhongrui International Corporation	$	13,178	$	35,419
Due to Beijing De Qiuhong Investment Ltd.		382,857		486,116
Due to Xinxiang Tianjieshan Biotechnology Co., Ltd.		58,457		-
Educational funds		7,729		9,754
Wage payable		85,880		86,740
Project payment		22, 462		23,100
Other payable		9,814		19,739
Total	$	580,377	$	660,868

10.	RELATED PARTY TRANSACTIONS AND STOCKHOLDER’S LOAN
	Due to directors, Due from directors and Due to Related Companies are loans that are unsecured, non-interest bearing and have no fixed terms of repayment, therefore, deemed payable on demand.
	The Company rents office space from the related company on a month to month basis.
	The amount of Due from directors as of September 30, 2016 and December 31, 2015 was $8,099 and $0, respectively. The amount of $8,099, due from directors was advanced to the Company’s CEO for business related travel and was applied against travel expenses incurred by the Company’s CEO during October 2016.
	The amount of Due to directors as of September 30, 2016 and December 31, 2015 was $590,134 and $627,832, respectively.
	The amount of Due to related parties as of September 30, 2016 and December 31, 2015 was $394,247 and $417,653, respectively.
11.	SUBSEQUENT EVENTS
	Management has considered all events occurring through the date the financial statements have been issued, and has determined that there are no such events that are material to the financial statement.

13

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

The following discussion should be read in conjunction with our unaudited condensed consolidated interim financial statements and the notes thereto.

Special Note Regarding Forward-Looking Statements

This Quarterly Report on Form 10-Q, including the following “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” contains “forward-looking statements” relating to the business of China Longyi Group International Holdings Limited and its subsidiary companies. The forward-looking statements include, among others, statements concerning our expected financial performance and strategic and operational plans, as well as all assumptions, expectations, predictions, intentions or beliefs about future events. These statements are based on assumptions and are subject to known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements to be materially different from any future results, performances or achievements expressed or implied by the forward-looking statements. Risks and uncertainties include risks related to new and existing products; any projections of sales, earnings, revenue, margins or other financial items; any statements of the plans, strategies and objectives of management for future operations; any statements regarding future economic conditions or performance; uncertainties related to conducting business in China; any statements of belief or intention; and any of the factors mentioned in the “Risk Factors” section of the Company’s annual report on Form 10-K filed on April 14, 2016. Given these uncertainties, you should not place undue reliance on these forward-looking statements. Except as required by law, we assume no obligation to update any forward-looking statements publicly, or to update the reasons actual results could differ materially from those anticipated in any forward-looking statements, even if new information becomes available in the future.

Use of Certain Defined Terms

Except as otherwise indicated by the context, references in this report to:

• “Beijing SOD” are references to Beijing Longyi Biology Technology Co. Ltd., our indirect, 90% owned subsidiary, a PRC company;
• “China” and “PRC” are references to the People’s Republic of China;
• “China Longyi,” “we,” “us,” “our,” or the “Company” are references to the combined business of China Longyi Group International Holdings Limited and/or its consolidated subsidiaries, as the case may be;
• “Chongqing SOD” are references to Chongqing JiuZhou Dismutase Biology Technology Co., Ltd., our indirect, majority-owned subsidiary, a PRC company;
• “Exchange Act” mean the Securities Exchange Act of 1934, as amended;
• “RMB” refer to Renminbi, the legal currency of China;
• “Securities Act” mean the Securities Act of 1933, as amended;
• “Top Time” are references to Top Time International Limited, our indirect wholly-owned subsidiary, a Hong Kong company; and
• “U.S. dollar,” “$” and “US$” are to the legal currency of the United States.

Overview of our Business

We are a holding company that only operates through our indirect Chinese subsidiaries Beijing SOD and Chongqing SOD. Through our Chinese subsidiaries, we develop, manufacture and market our SOD products in China. SOD is a naturally occurring enzyme which may act as a potent antioxidant defense in cells that are exposed to oxygen. Certain research has shown that under certain biological conditions, SOD revitalizes cells and reduces the rate of cell destruction. It neutralizes the most common free radical—superoxide radical—by converting it into hydrogen peroxide and water. Because superoxide is harmful to human cells, and certain forms of SOD exist naturally in most humans, many studies show that SOD is valuable in protecting human cells from the harmful effects of superoxide. SOD is thought to be more powerful than antioxidant vitamins as it activates the body's productions of its own antioxidants. As a result, SOD is referred to as the “enzyme of life.” Commercially, SOD has a wide range of applications and is widely applied in foods, drinks, skin care productions, pharmaceuticals, to combat ailments ranging from sunburn to rheumatoid arthritis.

14

Third Quarter of 2016 Financial Performance Highlights

The following are some financial highlights for the three months ended September 30, 2016:

• Revenue: Revenue increase $880,247, to $1,034,223 for the three months ended September 30, 2016, from $153,976 for the same period in 2015.

• Expense from operations: Expense from operations increased $179,525, or 147.59%, to $301,162 for the three months ended September 30, 2016, from $121,637 for the same period in 2015.

• Net profit: Net profit increased $225,267, or 1349.06%, to $241,965 for the three months ended September 30, 2016, from $16,698 for the same period in 2015.

• Fully diluted net income per share: Fully diluted net income per share was $0 for the three months ended September 30, 2016, as compared to $0 for the same period in 2015.

Provision for Income Taxes

• United States: China Longyi Group International Holding Limited is subject to United States tax at a tax rate of 34%. No provision for income taxes in the United States has been made as China Longyi Group International Holding Limited had no income subject to United States taxation in the third quarter of 2016.

• British Virgin Islands: Our wholly owned subsidiary Top Team Holdings Limited was incorporated in the British Virgin Islands, or the BVI, and, under the current laws of the BVI, is not subject to income taxes.

• China: Before the implementation of the enterprise income tax, or EIT, Foreign Invested Enterprises or FIEs, established in the PRC were generally subject to an EIT rate of 33.0%, which includes a 30.0% state income tax and a 3.0% local income tax. On March 16, 2007, the National People’s Congress of China passed the new Corporate Income Tax Law, or EIT Law, and on November 28, 2007, the State Council of China passed the Implementing Rules for the EIT Law, or Implementing Rules, which took effect on January 1, 2008. The EIT Law and Implementing Rules impose a unified EIT of 25.0% on all domestic- invested enterprises and FIEs, unless they qualify under certain limited exceptions. Therefore, nearly all FIEs are subject to the new tax rate alongside other domestic businesses rather than benefiting from the old tax laws applicable to FIEs, and its associated preferential tax treatments, beginning January 1, 2008.
  
  Despite these pending changes, the EIT Law gives the FIEs established before March 16, 2007, or Old FIEs, such as our subsidiaries Beijing SOD and Chongqing SOD, a five-year grandfather period during which they can continue to enjoy their existing preferential tax treatments. During this five-year grandfather period, the Old FIEs which enjoyed tax rates lower than 25% under the original EIT Law shall gradually increase their EIT rate by 2% per year until the tax rate reaches 25%. In addition, the Old FIEs that are eligible for the “two-year exemption and three-year half reduction” or “five-year exemption and five-year half-reduction” under the original EIT Law, are allowed to remain to enjoy their preference until these holidays expire. The discontinuation of any such special or preferential tax treatment or other incentives would have an adverse effect on any organization’s business, fiscal condition and current operations in China.
  
  In addition to the changes to the current tax structure, under the EIT Law, an enterprise established outside of China with “de facto management bodies” within China is considered a resident enterprise and will normally be subject to a EIT of 25.0% on its global income. The Implementing Rules define the term “de facto management bodies” as “an establishment that exercises, in substance, overall management and control over the production, business, personnel, accounting, etc., of a Chinese enterprise.” If the PRC tax authorities subsequently determine that we should be classified as a resident enterprise, then our consolidated global income will be subject to PRC income tax of 25.0% .

15

We incurred no income taxes in either the three months ended September 30, 2016 or the three months ended September 30, 2015.

Results of Operations

Three Months Ended September 30, 2016 Compared to Three Months ended September 30, 2015

The following table summarizes the results of our operations for the three months ended September 30, 2016 and 2015 and provides information regarding the dollar and percentage increase or (decrease) from the three months ended September 30, 2015 to the same period of 2016.

		Three Months Ended
		September 30,					Increase	% Increase
Item		2016		2015			(Decrease)	(% Decrease)
Revenue	$	1,034,223	$	153,976		$	880,247	571.68%
Cost of Revenue		687,311		185,308			502,003	270.90%
Gross Profit		346,912		(31,332	)		378,244	1207.21%
Operating Expenses		301,162		121,637			179,525	147.59%
Other Income (expense)		196,214		169,667			26,547	15.65%
Provision for Taxes		-		-			-	-
Net income attributable to China	$	216,693	$	14,909		$	201,784	1353.44%

Revenues. Our revenues are derived primarily from sales of our SOD products. Our revenues increased $880,247, to $1,034,223 for the three months ended September 30, 2016, from $153,976 for the same period in 2015. The increase in revenues was due to more SOD products being sold for the three months ended September 30, 2016 compared with the same period of 2015.

Cost of Revenues. Our cost of revenues is primarily comprised of the costs of our raw materials, labor and overhead. Our cost of revenues increased $502,003, to $687,311 for the three months ended September 30, 2016, from $185,308 during the same period in 2015 because more SOD products being produced and sold for the three months ended September 30, 2016 compared with the same period of 2015.

Gross Profit. Our gross profit increased by $378,244, to $346,912 for the three months ended September 30, 2016 from $(31,332) during the same period in 2015. The gross profit increased mainly due to more SOD products being sold for the three months ended September 30, 2016 compared with the same period of 2015.

Operating Expenses. Our total operating expenses for the three months ended September 30, 2016 increased $179,525, or 147.59%, to $301,162, from $121,637 for the same period in 2015. This increase was mainly because we paid more office fees, rental, sales taxes and advertising expenses for three months ended September 30, 2016 compared with the same period of 2015.

Other Income (expense). Other income was $196,214 during the three months ended September 30, 2016, an increase of $26,547 from $169,667 during the same period in 2015. Such increase was mainly due to the fact that non-operating income increased $16,014, to $195,764 for the three months ended September 30, 2016, from $179,750 for the same period in 2015.

16

Net profit attributable to China Longyi. As a result of above facts, our net profit increased by $201,784, or 1353.44%, to $216,693 for the three months ended September 30, 2016, from $14,909 for the same period in 2015.

Nine Months Ended September 30, 2016 Compared to Nine Months ended September 30, 2015

The following table summarizes the results of our operations for the nine months ended September 30, 2016 and 2015 and provides information regarding the dollar and percentage increase or (decrease) from the nine months ended September 30, 2015 to the same period of 2016.

		Nine Months Ended
		September 30,					Increase	% Increase
Item		2016		2015			(Decrease)	(% Decrease)
Revenue	$	1,675,034	$	163,119		$	1,511,915	926.88%
Cost of Revenue		1,158,944		206,167			952,777	462.14%
Gross Profit		516,090		(43,048	)		559,138	1298.87%
Operating Expenses		578,100		363,965			214,135	58.83%
Other Income (expense)		367,344		188,979			178,365	94.38%
Provision for Taxes		-		-			-	-
Net profit (loss) attributable to China	$	265,703	$	(204,549	)	$	470,252	229.90%

Revenues. Revenues increased $1,511,915, to $1,675,034 for the nine months ended September 30, 2016, from $163,119 for the same period in 2015. The increase in revenues was due to more SOD products being sold for the nine months ended September 30, 2016 compared with the same period of 2015.

Cost of Revenues. Our cost of revenues increased $952,777, to $1,158,944 for the nine months ended September 30, 2016, from $206,167 during the same period in 2015 because more SOD products being produced and sold for the nine months ended September 30, 2016 compared with the same period of 2015.

Gross Profit. Our gross profit increased by $559,138, to $516,090 for the nine months ended September 30, 2016 from $(43,048) during the same period in 2015. The gross profit increased mainly due to more SOD products being sold for the nine months ended September 30, 2016 compared with the same period of 2015.

Operating Expenses. Our total operating expenses for the nine months ended September 30, 2016 increased $214,135, or 58.83%, to $578,100, from $363,965 for the same period in 2015. This increase was mainly because we paid more office fees, rental, sales taxes and advertising expenses for the nine months ended September 30, 2016 compared with the same period of 2015.

Other Income (expense). Other income was $367,344 during the nine months ended September 30, 2016, an increase of $178,365 from $188,979 during a same period in 2015. Such increase was mainly due to the fact that our non-operating income increased $198,476, to $392,186 for the nine months ended September 30, 2016, from $193,710 for the same period in 2015.

Net profit attributable to China Longyi. As a result of above facts, our net profit increased by $470,252, or 229.90%, to $265,703 for the nine months ended September 30, 2016, from $(204,549) for the same period in 2015.

17

Liquidity and Capital Resources

We had $152,912 in cash and cash equivalents as of September 30, 2016. As of such date, we also had total current assets of $851,334 and total assets of $1,231,699. We had total current liabilities (consisting of accounts payable, accrued liabilities, due to directors and other payables) in the amount of $2,019,063. Our stockholders’ equity as of September 30, 2016 was $(787,364). Since inception, we have accumulated a net loss of $30,731,204.

The following table summarizes the statements of cash flows from the unaudited condensed consolidated interim financial statements for the nine months ended September 30, 2016 compared to the nine months ended September 30, 2015:

		Nine Months Ended
		September 30,
		2016			2015
Net Cash Provided By (Used In) Operating Activities	$	202,802		$	52,287
Net Cash Provided By (Used In) Investing Activities		(6,335	)		(67,219	)
Net Cash Provided By (Used In) Financing Activities		(81,674	)		(6,479	)
Effect of foreign exchange rate fluctuation		8,690			2,535
Net increase (decrease) in Cash and Cash Equivalents		123,483			(18,876	)
Cash and Cash Equivalents - Beginning of Period		29,429			46,366
Cash and Cash Equivalents – End of Period		152,912			27,490

Operating Activities

Net cash provided by operating activities was $202,802 for the nine-month period ended September 30, 2016 representing an increase of $150,515 from $52,287 of net cash provided by the operating activities for the same period of 2015. The increase in the cash provided by operating activities was mainly attributable to changes in Net income, Account receivables, Deposits and prepayment, and other payables. Cash flows provided by Net Income increased $523,369 to $305,335 for the nine months ended September 30, 2016, from ($218,034) for the same period in 2015. Cash flow used in Account receivables increased $173,029 to $173,029 for the nine months ended September 30, 2016, from $0 for the same period in 2015. Cash flows used in Deposits and prepayment increased $81,765, to $90,864 for nine months ended September 30, 2016, from $9,099 for the same period in 2015. Cash flow provided by other payables decreased $74,938, to $203,929 for nine months ended September 30, 2016, from $278,867 for the same period in 2015.

Investing Activities

Net cash used in investing activities for the nine-month period ended September 30, 2016 was $6,335 as compared with $67,219 of net cash used in investing activities for the same period of 2015. We did not have any investing activities for the nine months ended September 30, 2016 as compared with the same period of 2015.

Financing Activities

Net cash used in financing activities for the nine-month period ended September 30, 2016 was $81,674 as compared to $6,479 used in financing activities for the same period in 2015. We repaid certain short term loans and loans from directors in an amount of $57,788 and $23,886, respectively, for the nine months ended September 30, 2016.

The Company did not have any bank loans as of September 30, 2016.

18

We expect to generate approximately $2 million to $2.5 million of revenues from the sale of our products during the next 12 months. If our cash on hand and cash flow from operations do not meet our expected capital expenditure and working capital requirements for the next 12 months, we expect that our directors will provide more cash as loans to the company. However, we may in the future require additional cash resources due to changed business conditions, implementation of our strategy to expand our production capacity or other investments or acquisitions we may decide to pursue. If our own financial resources are insufficient to satisfy our capital requirements, we may seek to sell additional equity or debt securities or obtain additional credit facilities. The sale of additional equity securities could result in dilution to our stockholders. The incurrence of indebtedness would result in increased debt service obligations and could require us to agree to operating and financial covenants that would restrict our operations. Financing may not be available in amounts or on terms acceptable to us, if at all. Any failure by us to raise additional funds on terms favorable to us, or at all, could limit our ability to expand our business operations and could harm our overall business prospects.

Critical Accounting Policies

Foreign Currencies
The company has determined that RMB to be its functional currency. The accompanying unaudited consolidated interim financial statements are presented in U.S. dollars. The unaudited condensed consolidated interim financial statements are translated into US dollars from RMB at period-end exchange rates for assets and liabilities, and weighted average exchange rates for revenues and expenses. Capital accounts are translated at their historical exchange rates when the capital transactions occurred.

	September 30,				December 31,
	2016		2015		2015
	RMB	HK$	RMB	HK$	RMB	HK$
Balance sheet items, except for equity accounts	6.6778	7.7561	6.3613	7.7500	6.4936	7.7510
Items in the statements of income and comprehensive income, and the statements of cash flows	6.5757	7.7636	6.1738	7.7528	6.2272	7.7522

Use of Estimates
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Several areas require significant management estimates relating to uncertainties for which it is reasonably possible that there will be a material change in the near term. The more significant areas requiring the use of management estimates related to determination of net realizable value of inventory, allowance for doubtful accounts, property and equipment, accrued liabilities and, the useful lives for depreciation.

Revenue Recognition
The Company recognizes revenue in accordance with Staff Accounting Bulletin No.104 “Revenue recognition” (“ASC Topic 605”). Revenues are recognized as earned when the following four criteria are met: (1) a customer issues purchase orders or otherwise agrees to purchase products; (2) products are delivered to the customer; (3) pricing is fixed or determined in accordance with the purchase order or agreement; and (4) collectability is reasonably assured.

19

Inflation

Inflation does not materially affect our business or the results of our operations.

Seasonality

We may experience seasonal variations in our future revenues and our operating costs, however, we do not believe that these variations will be material.

Off-Balance Sheet Arrangements

We do not have any off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that are material to investors.

ITEM 3.   QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Not Applicable.

ITEMS 4.   CONTROLS AND PROCEDURES

Disclosure Controls and Procedures’

Our management, with the participation of our chief executive officer and chief financial officer, Ms. Jie Chen and Mr. Xinmin Pan, respectively, evaluated the effectiveness of our disclosure controls and procedures. The term “disclosure controls and procedures,” as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act, means controls and other procedures of a company that are designed to ensure that information required to be disclosed by a company in the reports, such as this report, that it files or submits under the Exchange Act is recorded, processed, summarized and reported, within the time periods specified in the SEC’s rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed by a company in the reports that it files or submits under the Exchange Act is accumulated and communicated to the company’s management, including its principal executive and principal financial officers, as appropriate to allow timely decisions regarding required disclosure. Management recognizes that any controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving their objectives and management necessarily applies its judgment in evaluating the cost-benefit relationship of possible controls and procedures. Based on that evaluation, Ms. Jie Chen and Mr. Xinmin Pan concluded that as of September 30, 2016, our disclosure controls and procedures were effective at the reasonable assurance level.

Internal Controls Over Financial Reporting

During the quarter ended September 30, 2016, there were no changes in our internal control over financial reporting identified in connection with the evaluation performed that occurred during the fiscal quarter covered by this report that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

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PART II – OTHER INFORMATION

ITEM 1.   LEGAL PROCEEDINGS

From time to time, the Company has disputes that arise in the ordinary course of its business. Currently, there are no material legal proceedings to which the Company is a party to or to which any of its property is subject that will have a material adverse effect on the Company's financial condition.

ITEM 1A. RISK FACTORS

Not applicable.

ITEM 2.   UNREGISTERED SHARES OF EQUITY SECURITIES AND USE OF PROCEEDS

We have not sold any equity securities during the fiscal quarter ended September 30, 2016 that were not previously disclosed in a current report on Form 8-K that was filed during that period.

ITEM 3.   DEFAULTS UPON SENIOR SECURITIES

Not applicable.

ITEM 4.   MINE SAFETY DISCLOSURES

Not applicable.

ITEM 5.   OTHER INFORMATION

None.

ITEM 6.   EXHIBITS

Exhibit
Number	Description
31.1	Certification of Principal Executive Officer filed pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2	Certification of Principal Financial Officer filed pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1	Certification of Principal Executive Officer furnished pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
32.2	Certification of Principal Financial Officer furnished pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
101	The following financial information from The China Longyi Group International Holdings Limited's Quarterly Report on Form 10-Q for the quarter ended September 30, 2016, formatted in XBRL (Extensible Business Reporting Language): (i) Consolidated Balance Sheets at September 30, 2016 and December 31, 2015, (ii) Consolidated Statements of Operations and Comprehensive Loss for the three and nine months ended September 30, 2016 and 2015, (iii) Consolidated Statements of Cash Flows for the nine months ended September 30, 2016 and 2015, and (iv) the Notes to Unaudited Condensed Consolidated Financial Statements.

21

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	CHINA LONGYI GROUP INTERNATIONAL HOLDINGS LIMITED
DATED: November 14, 2016
	By: /s/ Jie Chen
	-------------------------------------
	Jie Chen
	Chief Executive Officer
	(Principal Executive Officer)
DATED: November 14, 2016	By: /s/ Xinmin Pan
	-------------------------------------
	Xinmin Pan
	Chief Financial Officer
	(Principal Financial Officer and Accounting Officer)

22

EXHIBIT INDEX

Exhibit
Number	Description
31.1	Certification of Principal Executive Officer filed pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2	Certification of Principal Financial Officer filed pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1	Certification of Principal Executive Officer furnished pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
32.2	Certification of Principal Financial Officer furnished pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
101	The following financial information from The China Longyi Group International Holdings Limited's Quarterly Report on Form 10-Q for the quarter ended September 30, 2016, formatted in XBRL (Extensible Business Reporting Language): (i) Consolidated Balance Sheets at September 30, 2016 and December 31, 2015, (ii) Consolidated Statements of Operations and Comprehensive Loss for the three and nine months ended September 30, 2016 and 2015, (iii) Consolidated Statements of Cash Flows for the nine months ended September 30, 2016 and 2015, and (iv) the Notes to Unaudited Condensed Consolidated Financial Statements.

23

EX-31.1

Exhibit 31.1

CERTIFICATIONS

I, Jie Chen, certify that:

     1. I have reviewed this quarterly report on Form 10-Q of China Longyi Group International Holdings Limited, a New York corporation (the “Company”);

     2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

     3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the Company as of, and for, the periods presented in this report;

     4. The Company’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the Company and have:

a.	Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the Company, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
b.	Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
c.	Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
d.	Disclosed in this report any change in the Company’s internal control over financial reporting that occurred during the Company’s most recent fiscal quarter that has materially affected or is reasonably likely to materially affect the Company’s internal control over financial reporting.

5.	The Company’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the Company’s auditors and the audit committee of the Company’s Board of Directors (or persons performing the equivalent functions):
	a.	All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Company’s ability to record, process, summarize and report financial information; and
	b.	Any fraud, whether or not material, that involves management or other employees who have a significant role in the Company’s internal control over financial reporting.

Date: November 14, 2016

/s/ Jie Chen

Jie Chen

Chief Executive Officer

(Principal Executive Officer)

EX-31.2

Exhibit 31.2

CERTIFICATIONS

I, Xinmin Pan, certify that:

     1. I have reviewed this quarterly report on Form 10-Q of China Longyi Group International Holdings Limited, a New York corporation (the “Company”);

     2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

     3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the Company as of, and for, the periods presented in this report;

     4. The Company’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the Company and have:

a.	Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the Company, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
b.	Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
c.	Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
d.	Disclosed in this report any change in the Company’s internal control over financial reporting that occurred during the Company’s most recent fiscal quarter that has materially affected or is reasonably likely to materially affect the Company’s internal control over financial reporting.

5.	The Company’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the Company’s auditors and the audit committee of the Company’s Board of Directors (or persons performing the equivalent functions):
	a.	All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Company’s ability to record, process, summarize and report financial information; and
	b.	Any fraud, whether or not material, that involves management or other employees who have a significant role in the Company’s internal control over financial reporting.

Date: November 14, 2016

/s/Xinmin Pan

Xinmin Pan

Chief Financial Officer

(Principal Financial and Principal Accounting Officer)

EX-32.1

Exhibit 32.1

CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350,
AS ADOPTED PURSUANT TO SECTION 906
OF THE SARBANES-OXLEY ACT OF 2002

            The undersigned, Jie Chen, the Chief Executive Officer of CHINA LONGYI GROUP INTERNATIONAL HOLDINGS LIMITED (the “Company”), DOES HEREBY CERTIFY that:

            1.    The Company’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2016 (the “Report”), fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934; and

            2.    Information contained in the Report fairly presents, in all material respects, the financial condition and results of operation of the Company.

            IN WITNESS WHEREOF, each of the undersigned has executed this statement this 14^th day of November 2016.

/s/ Jie Chen

Jie Chen

Chief Executive Officer

(Principal Executive Officer)

A signed original of this written statement required by Section 906 has been provided to China Longyi Group International Holdings Limited and will be retained by China Longyi Group International Holdings Limited and furnished to the Securities and Exchange Commission or its staff upon request.

The forgoing certification is being furnished to the Securities and Exchange Commission pursuant to § 18 U.S.C. Section 1350. It is not being filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and is not to be incorporated by reference into any filing of the Company, whether made before or after the date hereof, regardless of any general incorporation language in such filing.

EX-32.2

Exhibit 32.2

CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350,
AS ADOPTED PURSUANT TO SECTION 906
OF THE SARBANES-OXLEY ACT OF 2002

            The undersigned, Xinmin Pan, Chief Financial Officer of CHINA LONGYI GROUP INTERNATIONAL HOLDINGS LIMITED (the “Company”), DOES HEREBY CERTIFY that:

            1.    The Company’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2016 (the “Report”), fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934; and

            2.    Information contained in the Report fairly presents, in all material respects, the financial condition and results of operation of the Company.

            IN WITNESS WHEREOF, each of the undersigned has executed this statement this 14^th day of November 2016.

/s/ Xinmin Pan

Xinmin Pan

Chief Financial Officer

(Principal Financial Officer and Accounting Officer)

A signed original of this written statement required by Section 906 has been provided to China Longyi Group International Holdings Limited and will be retained by China Longyi Group International Holdings Limited and furnished to the Securities and Exchange Commission or its staff upon request.

The forgoing certification is being furnished to the Securities and Exchange Commission pursuant to § 18 U.S.C. Section 1350. It is not being filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and is not to be incorporated by reference into any filing of the Company, whether made before or after the date hereof, regardless of any general incorporation language in such filing.

XML

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2016	Nov. 11, 2016
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2016
Trading Symbol	cgyg
Entity Registrant Name	CHINA LONGYI GROUP INTERNATIONAL HOLDINGS LTD
Entity Central Index Key	0001010566
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		77,655,862
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well Known Seasoned Issuer	No
Document Fiscal Year Focus	2016
Document Fiscal Period Focus	Q3

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CONSOLIDATED BALANCE SHEETS (UNAUDITED) - USD ($)	Sep. 30, 2016	Dec. 31, 2015
Current assets
Cash and cash equivalents	$ 152,912	$ 29,429
Inventories	333,210	359,194
Account receivables	175,775	5,544
Due from directors	8,099	0
Other receivables	77,815	26,508
Deposits and prepayments	103,523	14,447
Total current assets	851,334	435,122
Investment	85,099	87,512
Property, plant and equipment (net)	295,266	320,386
Total Assets	1,231,699	843,020
Current liabilities
Short-term loan	0	58,519
Accounts payable	1,468	4,869
Accrued liabilities	452,837	192,306
Due to directors	590,134	627,832
Due to related parties	394,247	417,653
Other payables	580,377	660,868
Total current liabilities	2,019,063	1,962,047
Equity
Common stock: par value $.01; 200,000,000 shares authorized; 77,655,862 shares issued and outstanding	776,558	776,558
Additional paid-in capital	28,877,540	28,877,540
Deficit	(30,731,204)	(30,996,907)
Other comprehensive income	227,473	204,099
Stockholders' equity (deficit)	(849,633)	(1,138,710)
Noncontrolling interest	62,269	19,683
Total Equity	(787,364)	(1,119,027)
Total Liabilities and Stockholders' Equity	$ 1,231,699	$ 843,020

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CONSOLIDATED BALANCE SHEETS (UNAUDITED) (Parenthetical) - $ / shares	Sep. 30, 2016	Dec. 31, 2015
Common Stock, Par Value Per Share	$ 0.01	$ 0.01
Common Stock, Shares Authorized	200,000,000	200,000,000
Common Stock, Shares, Issued	77,655,862	77,655,862
Common Stock, Shares, Outstanding	77,655,862	77,655,862

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CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (UNAUDITED) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Revenues
Sales	$ 1,034,223	$ 153,976	$ 1,675,034	$ 163,119
Cost of sales	687,311	185,308	1,158,944	206,167
Gross margin	346,912	(31,332)	516,090	(43,048)
Operating expenses
General and administrative expenses	301,162	121,637	578,100	363,965
Total operating expenses	301,162	121,637	578,100	363,965
Profit (Loss) from operations	45,750	(152,969)	(62,010)	(407,013)
Other income (expense)
Interest income	87	6	98	55
Other income (expense)	195,764	179,750	392,186	193,710
Foreign exchange gain (loss)	210	(10,089)	(15,993)	(4,786)
Interest expense	154	0	(8,946)	0
Total other income (expense)	196,215	169,667	367,345	188,979
Income (Loss) before income tax and noncontrolling interest	241,965	16,698	305,335	(218,034)
Income tax	0	0	0	0
Net Income (loss)	241,965	16,698	305,335	(218,034)
Less: Net income (loss) attributable to noncontrolling interest	(25,272)	(1,789)	(39,632)	13,485
Net income (loss) attributable to the Company	$ 216,693	$ 14,909	$ 265,703	$ (204,549)
Basic and diluted income (loss) per share	$ 0.00	$ 0.00	$ 0.00	$ 0.00
Weighted average number of shares outstanding-basic and diluted	77,655,862	77,655,862	77,655,862	77,655,862
Comprehensive income (loss)
Net income ( loss)	$ 241,965	$ 16,698	$ 305,335	$ (218,034)
Foreign currency translation	(1,144)	32,528	26,328	26,106
Comprehensive income (loss)	240,821	49,226	331,663	(191,928)
Comprehensive income (loss) attributable to noncontrolling interest	493	6,352	42,586	(8,950)
Comprehensive income (loss) attributable to the Company	$ 240,328	$ 42,874	$ 289,077	$ (182,978)

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CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($)	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Cash flows from operating activities:
Net income ( loss)	$ 305,335	$ (218,034)
Adjustments to reconcile net income (loss) to net cash used in operations:
Depreciation and amortization	22,869	17,855
Changes in operating assets and liabilities:
Accounts receivables	(173,029)	0
Other receivables	(52,846)	(55,496)
Due from directors	(8,225)	0
Deposits and prepayment	(90,864)	(9,099)
Inventory	16,326	6,064
Other payables	203,929	278,867
Due to related parties	(17,375)	32,130
Accounts payable and accrued liabilities	(3,318)	0
Net cash provided by operations	202,802	52,287
Cash flows from investing activities:
Purchase of investment	0	(61,551)
Purchases of property and equipment	(6,335)	(5,668)
Net cash (used in) investing activities	(6,335)	(67,219)
Cash flows from financing activities:
Proceeds (repayments) of short term loans	(57,788)	0
Proceeds (repayments) loans from directors	(23,886)	(6,479)
Net cash (used in) financing activities	(81,674)	(6,479)
Effect of foreign exchange rate fluctuation	8,690	2,535
Increase(decrease) in cash and cash equivalents	123,483	(18,876)
Cash and cash equivalents, beginning of period	29,429	46,366
Cash and cash equivalents, end of period	152,912	27,490
Supplemental disclosures of cash flow information:
Cash paid for interest	0	0
Cash paid for income taxes	$ 0	$ 0

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BUSINESS DESCRIPTION AND ORGANIZATION

9 Months Ended

Sep. 30, 2016

BUSINESS DESCRIPTION AND ORGANIZATION [Text Block]

1.         BUSINESS DESCRIPTION AND ORGANIZATION

We are a holding company that only operates through our indirect Chinese subsidiaries Beijing SOD and Chongqing SOD. Through our Chinese subsidiaries, we develop, manufacture and market our SOD products in China. SOD is a naturally occurring enzyme which may act as a potent antioxidant defense in cells that are exposed to oxygen.

The following chart reflects our organizational structure as of the date of this report.

***PLEASE SEE HTML FOR ORGANIZATIONAL STRUCTURE***

CONTROL BY PRINCIPAL STOCKHOLDERS

The directors, executive officers, affiliates and related parties own, beneficially and in the aggregate, the majority of the voting power of the outstanding shares of the common stock of the Company. Accordingly, if they voted their shares uniformly, directors, executive officers and affiliates would have the ability to control the approval of most corporate actions, including increasing the authorized capital stock of China Longyi and the dissolution, merger or sale of the Company's assets.

GOING CONCERN

The Company has earned only insignificant revenues since its inception. As at September 30, 2016, the Company has a working capital deficiency of $1,167,729 and accumulated deficit from recurring net losses of $30,731,204 incurred for the current and prior years as of September 30, 2016. As at September 30, 2016, the Company has cash and cash equivalents of $152,912.

The Company’s ability to continue as a going concern ultimately is dependent on the management’s ability to obtain equity or debt financing, attain further operating efficiencies, and achieve profitable operations. The unaudited condensed consolidated interim financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or amounts and classification of liabilities that might be necessary should the Company not be able to continue as a going concern.

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

9 Months Ended

Sep. 30, 2016

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Text Block]

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

PRINCIPLES OF CONSOLIDATION AND BASIS OF PRESENTATION

The unaudited condensed consolidated interim financial statements for all periods presented include the financial statements of China Longyi Group International Holdings Limited, and its subsidiaries: Top Team Holdings Limited, Full Ample Group Limited (Daykeen Group, BVI), Top Time International Limited (HK), Beijing SOD, and Chongqing SOD. The unaudited condensed consolidated interim financial statements have been prepared in accordance with US GAAP. All significant intercompany accounts and transactions have been eliminated.

The Company has determined the People’s Republic of China Chinese Yuan Renminbi (“RMB”) to be its functional currency. The accompanying unaudited condensed consolidated interim financial statements are presented in United States (US) dollars. The unaudited condensed consolidated interim financial statements are translated into US dollars from RMB at quarter-end exchange rates for assets and liabilities, and weighted average exchange rates for revenues and expenses. Capital accounts are translated at their historical exchange rates when the capital transactions occurred.

RMB is not freely convertible into the currency of other nations. All such exchange transactions must take place through authorized institutions. There is no guarantee the RMB amounts could have been, or could be, converted into US dollars at rates used in translation.

NONCONTROLLING INTEREST IN SUBSIDIARIES

The Company owns 90% of the equity interests in Beijing SOD, and the remaining 10% is owned by Miss Ran Wang. Therefore, the Company records non-controlling interest charge in the statement of operations to allocate 10% of the results of operations of the Beijing SOD to Miss Ran Wang, its non-controlling shareholder.

The Company owns 81% of the equity interest in Chongqing SOD of which 9% is owned by Miss Ran Wang, and the remaining 10% by Mr. Guoqing Tan. Therefore, the Company records non-controlling interest charge in the statement of operations to allocate 19% of the results of operations of Chongqing SOD to its non-controlling shareholders.

USE OF ESTIMATES

The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

SIGNIFICANT ESTIMATES

Several areas require significant management estimates relating to uncertainties for which it is reasonably possible that there will be a material change in the near term. The more significant areas requiring the use of management estimates related to determination of net realizable value of inventory, allowance for doubtful accounts, property and equipment, accrued liabilities, and the useful lives for depreciation.

REVENUE RECOGNITION

Revenue is recognized when persuasive evidence of an arrangement exists, the price is fixed and determinable, delivery has occurred and there is a reasonable assurance of collection of the sales proceeds. The Company generally obtains purchase authorizations from its customers for a specified amount of products at a specified price and considers delivery to have occurred when the customer takes title of the products.

PROPERTY, PLANT AND EQUIPMENT

Property, plant and equipment are recorded at cost. Significant additions and improvements are capitalized, while repairs and maintenance are charged to expenses as incurred. Equipment purchased for specific research and development projects with no alternative uses are expensed. Assets under construction are not depreciated until construction is completed and the assets are ready for their intended use. Gains and losses from the disposal of property, plant and equipment are recorded in loss on disposal and impairment of property, plant and equipment included in the consolidated statements of comprehensive income (loss).

Depreciation and amortization are provided for financial reporting purposes primarily on the straight-line method over the estimated useful lives of the respective assets as follows:

	Estimated
	Useful Life
Transportation equipment	5 years
Furniture and office equipment	5 years
Production equipment	10 years
Building and improvements	20 years

CASH AND CASH EQUIVALENTS

Cash equivalents consist of highly liquid investments that are readily convertible to cash generally with maturities of three months or less when purchased.

Cash and Cash Equivalents as of September 30, 2016 were $152,912 and $29,429 in December 31, 2015.

INVENTORY

Prior to January 1, 2015, inventories are stated at the lower of cost or replacement cost with respect to raw materials and the lower of cost or market with respect to finished goods and work in progress. The Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2015-11 (“ASU 2015-11”), Simplifying the Measurement of Inventory, which the Company adopted on January 1, 2015. Subsequent to January 1, 2015, inventories are stated at the lower of cost or replacement cost with respect to raw materials and the lower of cost or net realizable value with respect to finished goods and work in progress. The cost of work in progress and finished goods is determined on a weighted average cost basis and includes direct material, direct labor and overhead costs. Net realizable value represents the anticipated selling price, net of distribution cost, less estimated costs to completion for work in progress.

Inventories as of September 30, 2016 were $333,210 and $359,194 in December 31, 2015.

INCOME TAXES

Income tax expense is based on reported income before income taxes. Deferred income taxes reflect the effect of temporary differences between assets and liabilities that are recognized for financial reporting purposes and the amounts that are recognized for income tax purposes. In accordance with ASC Topic 740 (formerly SFAS No. 109, “Accounting for income taxes”) these deferred taxes are measured by applying currently enacted tax laws.

The Company did not provide any current or deferred income tax provision or benefit for any period presented to date because it has experienced operating losses since inception. The benefit of any tax income (loss) carry forwards is fully offset by a valuation allowance, as there is a more than fifty percent chance that the Company will not realize those benefits.

There are net operating loss carry forwards allowed under the Hong Kong and China Governments’ tax system.

SHIPPING AND HANDLING

Costs relating to shipping and handling are part of general and administrative expenses in the unaudited consolidated statements of operations and comprehensive loss. Insignificant amount of shipping and handling costs incurred during the nine months ended September 30, 2016 and 2015.

EARNING (LOSS) PER SHARE

Basic earnings (loss) per common share ("LPS") is calculated by dividing net income (loss) by the weighted average number of common shares outstanding during the period. Diluted earnings (loss) per common share is calculated by adjusting the weighted average outstanding shares, assuming conversion of all potentially dilutive stock options.

There were no stock options and potentially dilutive securities outstanding as at September 30, 2016.

STOCK - BASED COMPENSATION

Compensation expense for costs related to all share-based payments, including grants of stock options, is recognized through a fair-value based method. The Company uses the Black-Scholes option-pricing model to determine the grant date fair value for stock options. The Company uses the grant date stock price to determine the grant date fair value of restricted shares. The Company has elected to recognize share-based compensation costs using the straight-line method over the requisite service period with a graded vesting schedule, provided that the amount of compensation costs recognized at any date is at least equal to the portion of the grant date value of the awards that are vested at that date. Forfeitures are estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from initial estimates. Share based compensation costs are recorded net of estimated forfeitures such that expense is recorded only for those awards that are expected to vest.

The Company had no such compensation expense for the nine months ended September 30, 2016 and 2015.

COMPARATIVE FIGURES

Certain comparative figures have been reclassified in order to conform with the presentation adopted in the current period.

COMPREHENSIVE INCOME (LOSS)

The Company’s comprehensive income (loss) consists of net income (loss) and foreign currency translation adjustments.

RECENTLY ADOPTED ACCOUNTING STANDDARDS

There were no changes to the new accounting pronouncements as described in our Annual Report on Form 10- K for the fiscal year ended December 31, 2015 except for the following:

In February 2016, the Financial Accounting Standards Board ("FASB") issued guidance which amends the existing accounting standards for leases. Consistent with existing guidance, the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification. Under the new guidance, a lessee will be required to recognize right-of-use assets and lease liabilities on the balance sheet. The new guidance is effective for us from November 1, 2020, and interim periods in the following year. Early adoption of this guidance is permitted and we will be required to adopt using a modified retrospective approach. We are evaluating the timing and the impact of adopting this guidance on our unaudited condensed consolidated financial statements and disclosures.

In January 2016, FASB issued amendments to address certain aspects of recognition, measurement, presentation, and disclosure of financial instruments. The standard requires entities to measure equity investments that do not result in consolidation and are not accounted for under the equity method at fair value and recognize any changes in fair value in net income. The provisions under this amendment are effective for us from November 1, 2018, and for interim periods in the following year and early adoption is not permitted. We are evaluating the impact of adopting this guidance to our unaudited condensed consolidated financial statements.

In November 2015, FASB issued guidance intended to simplify accounting for deferred taxes. Beginning on November 1, 2017 and including the interim periods following that date, we will be required to present all deferred tax balances as non-current. Existing GAAP guidance requires us to record deferred tax balances as either current or non-current in accordance with the classification of the underlying attributes. Early adoption of this guidance is permitted and may be applied either prospectively or retrospectively to all periods presented. We expect to early adopt this guidance prospectively at the end of the second quarter of fiscal year 2016, but we are still evaluating how significant the impact of the adoption will be on our consolidated balance sheet.

Other amendments to GAAP in the U.S. that have been issued by the FASB or other standards-setting bodies that do not require adoption until a future date are not expected to have a material impact on our unaudited condensed consolidated financial statements upon adoption.

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STOCKHOLDERS' EQUITY

9 Months Ended

Sep. 30, 2016

STOCKHOLDERS' EQUITY [Text Block]

3.	STOCKHOLDERS' EQUITY
	The Company's capital structure as of September 30, 2016 and December 31, 2015 was as follows:

Common stock – par value $0.01	Authorized	Issued and outstanding
September 30, 2016	200,000,000	77,655,862
December 31, 2015	200,000,000	77,655,862

As of September 30, 2016, the Company had accumulated deficit of $30,731,204.

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INVESTMENT

9 Months Ended

Sep. 30, 2016

INVESTMENT [Text Block]

4.	INVESTMENT
	On January 5, 2010, the Company acquired 20% equity interest in Cangshan Duoha Vegetable Food Company (“Duoha”) by issuing 50,000 shares of common stock of the Company at $0.2 per share to Duoha’s shareholders. According to the investment agreement, although we own 20% equity interest of Duoha, we do not have significant influence over Duoha’s operating and financing activities. Therefore, the Company used cost method to record the above investment.
	In May of 2015, we signed an investment agreement with Guizhou Biology Technology Ltd. (“Guizhou”). According to the investment agreement, the Company invested RMB500,000 ($74,875) to acquire 20% equity interest in of Guizhou. Although we own 20% equity of Guizhou, we do not have significant influence over Guizhou’s operating and financing activities.
	The amount of investment as of September 30, 2016 and December 31, 2015 was $85,099 and $87,512, respectively.

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INVENTORIES

9 Months Ended

Sep. 30, 2016

INVENTORIES [Text Block]

5.	INVENTORIES
	Inventories at September 30, 2016 and December 31, 2015 consisted of:

		September 30,		December 31,
		2016		2015
Raw Materials	$	48,558	$	12,639
Low value consumables		13,113		13,485
Work in progress		228,802		266,717
Finished goods		42,737		66,353
	$	333,210	$	359,194

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PROPERTY AND EQUIPMENT

9 Months Ended

Sep. 30, 2016

PROPERTY AND EQUIPMENT [Text Block]

6.	PROPERTY AND EQUIPMENT
	Property and equipment at cost consisted of:

		September 30,			December 31,
		2016			2015
Transportation equipment	$	51,434		$	52,892
Furniture and office equipment		61,707			57,043
Production equipment, buildings and improvements		365,950			376,331
Subtotal		479,091			486,266
Less: impairment provision		(46,252	)		(47,563	)
accumulated depreciation		(318,149	)		(304,015	)
		114,690			134,688
Construction in progress		180,576			185,698
	$	295,266		$	320,386

Depreciation expense for the nine months ended September 30, 2016 was $22,869. Accumulated impairment as of September 30, 2016 and December 31, 2015 was $46,252 and $47,563.

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COMMITMENTS AND CONTINGENCIES

9 Months Ended

Sep. 30, 2016

COMMITMENTS AND CONTINGENCIES [Text Block]

7.	COMMITMENTS AND CONTINGENCIES
	From time to time, the Company has disputes that arise in the ordinary course of its business. Currently, according to management, there are no material legal proceedings to which the Company is a party to or to which any of their property is subject that will have a material adverse effect on the Company’s financial condition.
	The Company rents office space from the related company on a month to month basis.

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SHORT-TERM LOAN

9 Months Ended

Sep. 30, 2016

SHORT-TERM LOAN [Text Block]

8.	SHORT-TERM LOAN
	During the year of 2015, Shiling Wang provided the company an unsecured loan in an amount of RMB380,000 ($56,905), and the interest rate of the loan is 25% per annum. As of September 30, 2016, the Company has repaid loan in full.
	The principal amount as of September 30, 2016 was $0 and as of December 31, 2015 was $58,519, respectively, and were recorded on the balance sheet as short-term loan.

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OTHER PAYABLES

9 Months Ended

Sep. 30, 2016

OTHER PAYABLES [Text Block]

9.	OTHER PAYABLES
	Other payables are carrying value as of the balance sheet date of obligations incurred and payable, which are not elsewhere specified in the taxonomy.
	Other payables as of September 30, 2016 and December 31, 2015 consist of the following:

		September 30,		December 31,
		2016		2015
Due to Tailong Zhongrui International Corporation	$	13,178	$	35,419
Due to Beijing De Qiuhong Investment Ltd.		382,857		486,116
Due to Xinxiang Tianjieshan Biotechnology Co., Ltd.		58,457		-
Educational funds		7,729		9,754
Wage payable		85,880		86,740
Project payment		22, 462		23,100
Other payable		9,814		19,739
Total	$	580,377	$	660,868

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RELATED PARTY TRANSACTIONS AND STOCKHOLDERS LOAN

9 Months Ended

Sep. 30, 2016

RELATED PARTY TRANSACTIONS AND STOCKHOLDERS LOAN [Text Block]

10.	RELATED PARTY TRANSACTIONS AND STOCKHOLDER’S LOAN
	Due to directors, Due from directors and Due to Related Companies are loans that are unsecured, non-interest bearing and have no fixed terms of repayment, therefore, deemed payable on demand.
	The Company rents office space from the related company on a month to month basis.
	The amount of Due from directors as of September 30, 2016 and December 31, 2015 was $8,099 and $0, respectively. The amount of $8,099, due from directors was advanced to the Company’s CEO for business related travel and was applied against travel expenses incurred by the Company’s CEO during October 2016.
	The amount of Due to directors as of September 30, 2016 and December 31, 2015 was $590,134 and $627,832, respectively.
	The amount of Due to related parties as of September 30, 2016 and December 31, 2015 was $394,247 and $417,653, respectively.

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SUBSEQUENT EVENTS

9 Months Ended

Sep. 30, 2016

SUBSEQUENT EVENTS [Text Block]

11.	SUBSEQUENT EVENTS
	Management has considered all events occurring through the date the financial statements have been issued, and has determined that there are no such events that are material to the financial statement.

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Summary of Significant Accounting Policies (Policies)

9 Months Ended

Sep. 30, 2016

PRINCIPLES OF CONSOLIDATION AND BASIS OF PRESENTATION [Policy Text Block]

PRINCIPLES OF CONSOLIDATION AND BASIS OF PRESENTATION

The unaudited condensed consolidated interim financial statements for all periods presented include the financial statements of China Longyi Group International Holdings Limited, and its subsidiaries: Top Team Holdings Limited, Full Ample Group Limited (Daykeen Group, BVI), Top Time International Limited (HK), Beijing SOD, and Chongqing SOD. The unaudited condensed consolidated interim financial statements have been prepared in accordance with US GAAP. All significant intercompany accounts and transactions have been eliminated.

The Company has determined the People’s Republic of China Chinese Yuan Renminbi (“RMB”) to be its functional currency. The accompanying unaudited condensed consolidated interim financial statements are presented in United States (US) dollars. The unaudited condensed consolidated interim financial statements are translated into US dollars from RMB at quarter-end exchange rates for assets and liabilities, and weighted average exchange rates for revenues and expenses. Capital accounts are translated at their historical exchange rates when the capital transactions occurred.

RMB is not freely convertible into the currency of other nations. All such exchange transactions must take place through authorized institutions. There is no guarantee the RMB amounts could have been, or could be, converted into US dollars at rates used in translation.

NONCONTROLLING INTEREST IN SUBSIDIARIES [Policy Text Block]

NONCONTROLLING INTEREST IN SUBSIDIARIES

The Company owns 90% of the equity interests in Beijing SOD, and the remaining 10% is owned by Miss Ran Wang. Therefore, the Company records non-controlling interest charge in the statement of operations to allocate 10% of the results of operations of the Beijing SOD to Miss Ran Wang, its non-controlling shareholder.

The Company owns 81% of the equity interest in Chongqing SOD of which 9% is owned by Miss Ran Wang, and the remaining 10% by Mr. Guoqing Tan. Therefore, the Company records non-controlling interest charge in the statement of operations to allocate 19% of the results of operations of Chongqing SOD to its non-controlling shareholders.

USE OF ESTIMATES [Policy Text Block]

USE OF ESTIMATES

The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

SIGNIFICANT ESTIMATES [Policy Text Block]

SIGNIFICANT ESTIMATES

Several areas require significant management estimates relating to uncertainties for which it is reasonably possible that there will be a material change in the near term. The more significant areas requiring the use of management estimates related to determination of net realizable value of inventory, allowance for doubtful accounts, property and equipment, accrued liabilities, and the useful lives for depreciation.

REVENUE RECOGNITION [Policy Text Block]

REVENUE RECOGNITION

Revenue is recognized when persuasive evidence of an arrangement exists, the price is fixed and determinable, delivery has occurred and there is a reasonable assurance of collection of the sales proceeds. The Company generally obtains purchase authorizations from its customers for a specified amount of products at a specified price and considers delivery to have occurred when the customer takes title of the products.

PROPERTY, PLANT AND EQUIPMENT [Policy Text Block]

PROPERTY, PLANT AND EQUIPMENT

Property, plant and equipment are recorded at cost. Significant additions and improvements are capitalized, while repairs and maintenance are charged to expenses as incurred. Equipment purchased for specific research and development projects with no alternative uses are expensed. Assets under construction are not depreciated until construction is completed and the assets are ready for their intended use. Gains and losses from the disposal of property, plant and equipment are recorded in loss on disposal and impairment of property, plant and equipment included in the consolidated statements of comprehensive income (loss).

Depreciation and amortization are provided for financial reporting purposes primarily on the straight-line method over the estimated useful lives of the respective assets as follows:

	Estimated
	Useful Life
Transportation equipment	5 years
Furniture and office equipment	5 years
Production equipment	10 years
Building and improvements	20 years

CASH AND CASH EQUIVALENTS [Policy Text Block]

CASH AND CASH EQUIVALENTS

Cash equivalents consist of highly liquid investments that are readily convertible to cash generally with maturities of three months or less when purchased.

Cash and Cash Equivalents as of September 30, 2016 were $152,912 and $29,429 in December 31, 2015.

INVENTORY [Policy Text Block]

INVENTORY

Prior to January 1, 2015, inventories are stated at the lower of cost or replacement cost with respect to raw materials and the lower of cost or market with respect to finished goods and work in progress. The Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2015-11 (“ASU 2015-11”), Simplifying the Measurement of Inventory, which the Company adopted on January 1, 2015. Subsequent to January 1, 2015, inventories are stated at the lower of cost or replacement cost with respect to raw materials and the lower of cost or net realizable value with respect to finished goods and work in progress. The cost of work in progress and finished goods is determined on a weighted average cost basis and includes direct material, direct labor and overhead costs. Net realizable value represents the anticipated selling price, net of distribution cost, less estimated costs to completion for work in progress.

Inventories as of September 30, 2016 were $333,210 and $359,194 in December 31, 2015.

INCOME TAXES [Policy Text Block]

INCOME TAXES

Income tax expense is based on reported income before income taxes. Deferred income taxes reflect the effect of temporary differences between assets and liabilities that are recognized for financial reporting purposes and the amounts that are recognized for income tax purposes. In accordance with ASC Topic 740 (formerly SFAS No. 109, “Accounting for income taxes”) these deferred taxes are measured by applying currently enacted tax laws.

The Company did not provide any current or deferred income tax provision or benefit for any period presented to date because it has experienced operating losses since inception. The benefit of any tax income (loss) carry forwards is fully offset by a valuation allowance, as there is a more than fifty percent chance that the Company will not realize those benefits.

There are net operating loss carry forwards allowed under the Hong Kong and China Governments’ tax system.

SHIPPING AND HANDLING [Policy Text Block]

SHIPPING AND HANDLING

Costs relating to shipping and handling are part of general and administrative expenses in the unaudited consolidated statements of operations and comprehensive loss. Insignificant amount of shipping and handling costs incurred during the nine months ended September 30, 2016 and 2015.

EARNINGS (LOSS) PER SHARE [Policy Text Block]

EARNING (LOSS) PER SHARE

Basic earnings (loss) per common share ("LPS") is calculated by dividing net income (loss) by the weighted average number of common shares outstanding during the period. Diluted earnings (loss) per common share is calculated by adjusting the weighted average outstanding shares, assuming conversion of all potentially dilutive stock options.

There were no stock options and potentially dilutive securities outstanding as at September 30, 2016.

STOCK - BASED COMPENSATION [Policy Text Block]

STOCK - BASED COMPENSATION

Compensation expense for costs related to all share-based payments, including grants of stock options, is recognized through a fair-value based method. The Company uses the Black-Scholes option-pricing model to determine the grant date fair value for stock options. The Company uses the grant date stock price to determine the grant date fair value of restricted shares. The Company has elected to recognize share-based compensation costs using the straight-line method over the requisite service period with a graded vesting schedule, provided that the amount of compensation costs recognized at any date is at least equal to the portion of the grant date value of the awards that are vested at that date. Forfeitures are estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from initial estimates. Share based compensation costs are recorded net of estimated forfeitures such that expense is recorded only for those awards that are expected to vest.

The Company had no such compensation expense for the nine months ended September 30, 2016 and 2015.

COMPARATIVE FIGURES [Policy Text Block]

COMPARATIVE FIGURES

Certain comparative figures have been reclassified in order to conform with the presentation adopted in the current period.

COMPREHENSIVE INCOME (LOSS) [Policy Text Block]

COMPREHENSIVE INCOME (LOSS)

The Company’s comprehensive income (loss) consists of net income (loss) and foreign currency translation adjustments.

RECENTLY ADOPTED ACCOUNTING STANDDARDS [Policy Text Block]

RECENTLY ADOPTED ACCOUNTING STANDDARDS

There were no changes to the new accounting pronouncements as described in our Annual Report on Form 10- K for the fiscal year ended December 31, 2015 except for the following:

In February 2016, the Financial Accounting Standards Board ("FASB") issued guidance which amends the existing accounting standards for leases. Consistent with existing guidance, the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification. Under the new guidance, a lessee will be required to recognize right-of-use assets and lease liabilities on the balance sheet. The new guidance is effective for us from November 1, 2020, and interim periods in the following year. Early adoption of this guidance is permitted and we will be required to adopt using a modified retrospective approach. We are evaluating the timing and the impact of adopting this guidance on our unaudited condensed consolidated financial statements and disclosures.

In January 2016, FASB issued amendments to address certain aspects of recognition, measurement, presentation, and disclosure of financial instruments. The standard requires entities to measure equity investments that do not result in consolidation and are not accounted for under the equity method at fair value and recognize any changes in fair value in net income. The provisions under this amendment are effective for us from November 1, 2018, and for interim periods in the following year and early adoption is not permitted. We are evaluating the impact of adopting this guidance to our unaudited condensed consolidated financial statements.

In November 2015, FASB issued guidance intended to simplify accounting for deferred taxes. Beginning on November 1, 2017 and including the interim periods following that date, we will be required to present all deferred tax balances as non-current. Existing GAAP guidance requires us to record deferred tax balances as either current or non-current in accordance with the classification of the underlying attributes. Early adoption of this guidance is permitted and may be applied either prospectively or retrospectively to all periods presented. We expect to early adopt this guidance prospectively at the end of the second quarter of fiscal year 2016, but we are still evaluating how significant the impact of the adoption will be on our consolidated balance sheet.

Other amendments to GAAP in the U.S. that have been issued by the FASB or other standards-setting bodies that do not require adoption until a future date are not expected to have a material impact on our unaudited condensed consolidated financial statements upon adoption.

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

9 Months Ended

Sep. 30, 2016

Schedule of Depreciation and amortization [Table Text Block]

	Estimated
	Useful Life
Transportation equipment	5 years
Furniture and office equipment	5 years
Production equipment	10 years
Building and improvements	20 years

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STOCKHOLDERS' EQUITY (Tables)

9 Months Ended

Sep. 30, 2016

Schedule of Capital Structure [Table Text Block]

Common stock – par value $0.01	Authorized	Issued and outstanding
September 30, 2016	200,000,000	77,655,862
December 31, 2015	200,000,000	77,655,862

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INVENTORIES (Tables)

9 Months Ended

Sep. 30, 2016

Schedule of Inventories [Table Text Block]

		September 30,		December 31,
		2016		2015
Raw Materials	$	48,558	$	12,639
Low value consumables		13,113		13,485
Work in progress		228,802		266,717
Finished goods		42,737		66,353
	$	333,210	$	359,194

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PROPERTY AND EQUIPMENT (Tables)

9 Months Ended

Sep. 30, 2016

Schedule of Property, Plant and Equipment [Table Text Block]

		September 30,			December 31,
		2016			2015
Transportation equipment	$	51,434		$	52,892
Furniture and office equipment		61,707			57,043
Production equipment, buildings and improvements		365,950			376,331
Subtotal		479,091			486,266
Less: impairment provision		(46,252	)		(47,563	)
accumulated depreciation		(318,149	)		(304,015	)
		114,690			134,688
Construction in progress		180,576			185,698
	$	295,266		$	320,386

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OTHER PAYABLES (Tables)

9 Months Ended

Sep. 30, 2016

Schedule of Other Payable [Table Text Block]

		September 30,		December 31,
		2016		2015
Due to Tailong Zhongrui International Corporation	$	13,178	$	35,419
Due to Beijing De Qiuhong Investment Ltd.		382,857		486,116
Due to Xinxiang Tianjieshan Biotechnology Co., Ltd.		58,457		-
Educational funds		7,729		9,754
Wage payable		85,880		86,740
Project payment		22, 462		23,100
Other payable		9,814		19,739
Total	$	580,377	$	660,868

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BUSINESS DESCRIPTION AND ORGANIZATION (Narrative) (Details)	9 Months Ended
	Sep. 30, 2016 USD ($)
Business Description And Organization 1	$ 1,167,729
Business Description And Organization 2	30,731,204
Business Description And Organization 3	$ 152,912

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Narrative) (Details)	9 Months Ended
	Sep. 30, 2016 USD ($)
Summary Of Significant Accounting Policies 1	90.00%
Summary Of Significant Accounting Policies 2	10.00%
Summary Of Significant Accounting Policies 3	10.00%
Summary Of Significant Accounting Policies 4	81.00%
Summary Of Significant Accounting Policies 5	9.00%
Summary Of Significant Accounting Policies 6	10.00%
Summary Of Significant Accounting Policies 7	19.00%
Summary Of Significant Accounting Policies 8	$ 152,912
Summary Of Significant Accounting Policies 9	29,429
Summary Of Significant Accounting Policies 8	333,210
Summary Of Significant Accounting Policies 9	$ 359,194

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STOCKHOLDERS' EQUITY (Narrative) (Details)	9 Months Ended
	Sep. 30, 2016 USD ($)
Stockholders' Equity 1	$ 30,731,204

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INVESTMENT (Narrative) (Details) - 9 months ended Sep. 30, 2016	USD ($) $ / shares shares	CNY (¥) shares
Investment 1	20.00%	20.00%
Investment 2 | shares	50,000	50,000
Investment 3 | $ / shares	$ 0.2
Investment 4	20.00%	20.00%
Investment 5 | ¥		¥ 500,000
Investment 6	$ 74,875
Investment 7	20.00%	20.00%
Investment 8	20.00%	20.00%
Investment 9	$ 85,099
Investment 10	$ 87,512

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PROPERTY AND EQUIPMENT (Narrative) (Details)	9 Months Ended
	Sep. 30, 2016 USD ($)
Property And Equipment 1	$ 22,869
Property And Equipment 2	46,252
Property And Equipment 3	$ 47,563

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SHORT-TERM LOAN (Narrative) (Details)	9 Months Ended
	Sep. 30, 2016 USD ($)	Sep. 30, 2016 CNY (¥)
Short-term Loan 1 | ¥		¥ 380,000
Short-term Loan 2	$ 56,905
Short-term Loan 3	25.00%	25.00%
Short-term Loan 4	$ 0
Short-term Loan 5	$ 58,519

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RELATED PARTY TRANSACTIONS AND STOCKHOLDERS LOAN (Narrative) (Details)	9 Months Ended
	Sep. 30, 2016 USD ($)
Related Party Transactions And Stockholders Loan 1	$ 8,099
Related Party Transactions And Stockholders Loan 2	0
Related Party Transactions And Stockholders Loan 3	8,099
Related Party Transactions And Stockholders Loan 4	590,134
Related Party Transactions And Stockholders Loan 5	627,832
Related Party Transactions And Stockholders Loan 6	394,247
Related Party Transactions And Stockholders Loan 7	$ 417,653

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Schedule of Depreciation and amortization (Details)	9 Months Ended
	Sep. 30, 2016 yr
Summary Of Significant Accounting Policies Schedule Of Depreciation And Amortization 1	5
Summary Of Significant Accounting Policies Schedule Of Depreciation And Amortization 2	5
Summary Of Significant Accounting Policies Schedule Of Depreciation And Amortization 3	10
Summary Of Significant Accounting Policies Schedule Of Depreciation And Amortization 4	20

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Schedule of Capital Structure (Details)	9 Months Ended
	Sep. 30, 2016 USD ($)
Stockholders' Equity Schedule Of Capital Structure 1	$ 0.01
Stockholders' Equity Schedule Of Capital Structure 2	200,000,000
Stockholders' Equity Schedule Of Capital Structure 3	77,655,862
Stockholders' Equity Schedule Of Capital Structure 4	200,000,000
Stockholders' Equity Schedule Of Capital Structure 5	$ 77,655,862

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Schedule of Inventories (Details)	9 Months Ended
	Sep. 30, 2016 USD ($)
Inventories Schedule Of Inventories 1	$ 48,558
Inventories Schedule Of Inventories 2	12,639
Inventories Schedule Of Inventories 3	13,113
Inventories Schedule Of Inventories 4	13,485
Inventories Schedule Of Inventories 5	228,802
Inventories Schedule Of Inventories 6	266,717
Inventories Schedule Of Inventories 7	42,737
Inventories Schedule Of Inventories 8	66,353
Inventories Schedule Of Inventories 9	333,210
Inventories Schedule Of Inventories 10	$ 359,194

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Schedule of Property, Plant and Equipment (Details)	9 Months Ended
	Sep. 30, 2016 USD ($)
Property And Equipment Schedule Of Property, Plant And Equipment 1	$ 51,434
Property And Equipment Schedule Of Property, Plant And Equipment 2	52,892
Property And Equipment Schedule Of Property, Plant And Equipment 3	61,707
Property And Equipment Schedule Of Property, Plant And Equipment 4	57,043
Property And Equipment Schedule Of Property, Plant And Equipment 5	365,950
Property And Equipment Schedule Of Property, Plant And Equipment 6	376,331
Property And Equipment Schedule Of Property, Plant And Equipment 7	479,091
Property And Equipment Schedule Of Property, Plant And Equipment 8	486,266
Property And Equipment Schedule Of Property, Plant And Equipment 9	(46,252)
Property And Equipment Schedule Of Property, Plant And Equipment 10	(47,563)
Property And Equipment Schedule Of Property, Plant And Equipment 11	(318,149)
Property And Equipment Schedule Of Property, Plant And Equipment 12	(304,015)
Property And Equipment Schedule Of Property, Plant And Equipment 13	114,690
Property And Equipment Schedule Of Property, Plant And Equipment 14	134,688
Property And Equipment Schedule Of Property, Plant And Equipment 15	180,576
Property And Equipment Schedule Of Property, Plant And Equipment 16	185,698
Property And Equipment Schedule Of Property, Plant And Equipment 17	295,266
Property And Equipment Schedule Of Property, Plant And Equipment 18	$ 320,386

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Schedule of Other Payable (Details)	9 Months Ended
	Sep. 30, 2016 USD ($)
Other Payables Schedule Of Other Payable 1	$ 13,178
Other Payables Schedule Of Other Payable 2	35,419
Other Payables Schedule Of Other Payable 3	382,857
Other Payables Schedule Of Other Payable 4	486,116
Other Payables Schedule Of Other Payable 5	58,457
Other Payables Schedule Of Other Payable 6	0
Other Payables Schedule Of Other Payable 7	7,729
Other Payables Schedule Of Other Payable 8	9,754
Other Payables Schedule Of Other Payable 9	85,880
Other Payables Schedule Of Other Payable 10	86,740
Other Payables Schedule Of Other Payable 11	22
Other Payables Schedule Of Other Payable 12	462
Other Payables Schedule Of Other Payable 13	23,100
Other Payables Schedule Of Other Payable 14	9,814
Other Payables Schedule Of Other Payable 15	19,739
Other Payables Schedule Of Other Payable 16	580,377
Other Payables Schedule Of Other Payable 17	$ 660,868