First High Quality Float Glass Production Line in Tianjin

(Hong Kong, 8 June 2011) – Xinyi Glass Holdings Limited ("Xinyi Glass" or the "Group") (stock code: 00868), a leading integrated high-quality float glass, automobile glass, energy saving construction glass and solar glass manufacturer, announced today that it held a ceremony of igniting the furnace for trial run of its first high-quality float glass production line at its complex in the Wuqing Development Zone in Tianjin, China. With a daily melting capacity of 1,000 tonnes, the production line is one of the largest specialised glass production lines in terms of production capacity on the Group's and country's level. It also ranks among the lowest in energy consumption and a leader in several environmental indicators. The ignition of the production line marks a major breakthrough by Xinyi Glass in the construction of float glass production lines.

Located in the Bohai Sea Region, Tianjin is a major economic hub of Northern China, spanning across Northern and Northeastern China. Being the largest processed glass production base in Northern China, the Group's Tianjin production complex will be able to meet its internal demand for processed glass products. This facility also serves the demand from peripheral areas in Northern and Northeastern China for high-quality float glass and realises the strategic business plan of the Group.

Together with this new float glass production line, this year the Group has invested in and built three high-quality float glass production lines at its Tianjin production complex, which will be sufficient to meet its internal demand for processed glass products. The combined facilities also enable the Group to consolidate upstream and downstream glass production chains, thereby optimising the purchase of raw materials, delivery and packaging, and lowering production costs. The Group's overall competitiveness is also enhanced through its leading presence in processed glass products in Northern China.

To date, the Group has 11 high-quality float glass production lines in Dongguan and Jiangmen in Guangdong Province, Wuhu in Anhui Province as well as Tianjin, with an aggregate daily melting capacity of 8,100 tonnes. With production facilities in major economic zones in China, including the Pearl River Delta, Yangtze River Delta and Bohai Sea Region, Xinyi Glass has become one of the largest and most competitive glass manufacturers in the country.