Yuan succeeds Yu Zhang as emperor of the Liang Dynasty.

The Western Wei official Yuwen Renshu (probably Yuwen Tai's relative but the relationship is unclear), while on a diplomatic mission to Liang (now with Xiao Yi as its undisputed emperor—as Emperor Yuan) in spring 554, is slighted by Emperor Yuan, who treats Northern Qi's ambassador with far greater respect.

Emperor Yuan then further aggravated the situation by sending an impolite letter to Yuwen Tai demanding that the borders be redrawn in accordance with old borders.

Yuwen made the comment, "Xiao Yi is the type of person that, as said in proverbs, 'One who has been abandoned by heaven cannot be revived by anyone else.'"

Yuwen Tai therefore began to prepare attacking Emperor Yuan at his headquarters of Jiangling (in modern Jingzhou, Hubei), as Emperor Yuan had made Jiangling his capital and declined to move back to the old capital Jiankang.

The Western Wei general Ma Bofu, formerly a Liang general, secretly reveals the attack plans to Emperor Yuan, but Emperor Yuan does not believe Ma and takes minimal precautions.

In winter 554, under Yuwen Tai's orders, Western Wei forces, commanded by Yu Jin, who is assisted by Yuwen Tai's nephew Yuwen Hu and Yang Zhong, launches a major attack on Liang.

Emperor Yuan initially does not take reports of the Western Wei attack seriously, and while he summons his major generals Wang Sengbian and Wang Lin from afar, he himself takes little defensive or evasive actions.

Yu quickly descends on Jiangling and puts it under siege.

Soon, Emperor Yuan surrenders, and Western Wei forces give him to Xiao Cha to be executed.

Western Wei creates Xiao Cha the Emperor of Liang (as Emperor Xuan) and gives him the Jiangling area in exchange for his old domain of Xiangyang area, over which Western Wei takes control directly.

(However, the rest of Liang does not recognize Emperor Xuan, and soon recognizes a rival candidate for the throne supported by Northern Qi, Emperor Yuan's cousin Xiao Yuanming.)

Most of the hundred thousand residents of Jiangling are seized as slaves and distributed to generals and officials., although eventually most of them are released by Yuwen after he is persuaded to do so by one of the captives, the Liang official Yu Jicai.

Jing, age twelve, succeeds his father Yuan and is declared emperor by general Chen Baxian.