Does the parent company have the obligation to repay the debts of its subsidiaries?

Legal analysis: As an independent legal person, subsidiaries are liable for their debts with all their assets. If it is a multinational company, when the subsidiary goes bankrupt, if all the assets of the subsidiary are not enough to pay off the debts, the parent company has the obligation to repay the insufficient part.

Legal basis: Article 3 of People's Republic of China (PRC) Company Law is an enterprise legal person with independent legal person property and legal person property rights. The company is liable for its debts with all its property. Shareholders of a limited liability company shall be liable to the company to the extent of their subscribed capital contribution; Shareholders of a joint stock limited company shall be liable to the company to the extent of the shares subscribed by them.