PTO will not engage

yeah you need to get that water out, I hope your tractor is not a common sump .and yes it could be a issue with the pto if it is common sump .but as to the pto check first and see if there is a pin that holds the pto engagement lever to a shaft that extends out of the tractors gear housing. I have had them give me trouble when the even only partially sheard. hopefully you do not have a rust issue cause of the water.

I have 2 Chinese tractors and neither is a jinma so I can not say for sure,but at 35 hp  it might not be common sump. to check look at the transmission oils color and compare it to the oil in the rear end ,you said the one oil was milky hopefully the rear end is dark like 90 wt. or vice versa.If they are the same you have some rinsing to do.And if you have a loader that needs to be rinsed also.hopefully someone else who has more knowledge of that tractor will chime in. good luck

I believe it's like my 284. Front, rear, transmission and transfer case connected and filled with gear oil, Hydraulic tank under seat filled with AW 32,46 or multi viscosity.