Kumho Tires (Tianjin) Co., Ltd. Begins Production in TEDA

TIANJIN, China, July 6, 2006; Tianjin Economic-Technological Development Area announces that on July 4, Kumho Tires (Tianjin) Co., Ltd. inaugurated its opening ceremony in TEDA.

Kumho Tires (Tianjin) Co., Ltd. started construction in April 2005 with a total investment of USD246 million. It covers a land area of 310,000 square meters and its phase I floor area approximates 140,000 square meters. It mainly engages in production of meridian tires and is expected to be capable of manufacturing 5.25 million tires annually. In 2007, the company will increase investment to USD370 million, in order to meet a predicted production level of 10.4 million tires. In the meantime, Kumho Group will invest USD36 million to set up an R&D center in TEDA, thus assisting the company in establishing itself in TEDA, creating a production base that integrates tire research, development, production and sales, as well as Kumho Tires' investment strategic base in China.

In recent years, Tianjin keeps favourable partnership with Korea's commercial and industrial community. The economic, trade and cultural exchanges between both sides have been constantly increasing. Up to now, Tianjin has attracted 2400 Korean projects with a total investment reaching USD7.6 billion. Many famous Korean multinational companies such as Samsung, LG, Hyundai, etc., invested to build plants in Tianjin and have achieved great success. Now, Kumho Tires project is established in Tianjin, signalling that the cooperation between sides has successfully developed.

About Tianjin Economic-Technological Development Area (TEDA)

Tianjin Economic-Technological Development Area (TEDA) was established in 1984 with the approval of the State Council of the People's Republic of China. It is one of the first state-class economic-technological development areas in the country.

TEDA is located in the center of a larger area bordering Bohai Sea and the east of the Asia-Europe Land Bridge, thus serving as the gate to the two super cities of Beijing and Tianjin, and the throat connecting the northeast of China. By the end of 2005, 4,067 foreign companies have landed in TEDA. Of the Fortune 500 companies, 57 multinational companies, from 10 countries and regions, including such well-established multinational giants as Motorola, Samsung and Toyota, invested in 123 enterprises in TEDA. In 2000, "Fortune" listed TEDA as one of the most highly recommended economic areas in China. In 2002 UNIDO listed TEDA as one of the most dynamic areas of China together with Shenzhen, Suzhou, Wenzhou, Shanghai Pudong and Xi'an High-tech Park.

For more information, please visit: http://www.investteda.org/ .