Background: The evolution of the Jehol Biota of western Liaoning in China includes three phases, initiation in the Dabeigou phase, radiation in the Yixian phase, and decline in the Jiufotang phase. Numerous ephedroid macrofossils were reported from the Lower Cretaceous Yixian Formation. However, so far none has been found in the younger Jiufotang Formation (ca. 120.3 Ma) of western Liaoning. Results: Here we report a new species Jianchangia verticillata gen. et sp. nov. with unusual morphology from the Lower Cretaceous of the Jiufotang Formation, Lamadong Village, Jianchang County, Liaoning. This species is the first record of gnetophytes from the Jiufotang Formation. It is similar to other ephedroid species from the Yixian Formation in possessing linear leaves with parallel veins, jointed shoots with swollen nodes and longitudinally furrowed internodes, and ovulate cones possessing two whorls of bracts enclosing two chlamydosperms, but differs from all known species by the ovulate cone having multiple fine linear verticillate bracts. Conclusions: This study expands our knowledge about the diversity of early gnetophytes in the Lower Cretaceous, and demonstrates the lineage continuity of gnetophytes from the Yixian Formation to the younger Jiufotang Formation.