Successful Internal R & D Program at Xinde Technology Spurs Growth of Its 'R Series' Diesel Engine

WEIFANG, China--Aug. 16, 2011: Xinde Technology Company (OTCBB: WTFS), a widely respected China based designer and manufacturer of internal combustion engines and parts, primarily for the $100 billion diesel engine and parts market in China, today reported that a series of internally developed technical advances in the "R series" diesel engines manufactured by its Jinma Diesel Engine subsidiary have boosted sales of these products 30% year over year through the first half of 2011 and permitted the average sales price of the products to grow in the same period by more than 10%.

Mr. Dianjun Liu, President and Chief Executive Officer of Xinde stated, "Technology is at the heart of our success, and the 'R series' engines are a prime example."  

More specifically, Mr. Liu explained that as a consequence of focused research and development activity, it has been able to expand the range of the "R series" from engines that originally were solely utilized for tractors and agricultural equipment to a range of other products, including engineering, road building and road milling machines.

Additionally, the "R series" incorporates electronically-controlled fuel technology for increased energy savings, and new technology for secondary treatment and utilization of off-gas, which increases kinetic energy and reduces emissions. Further, the dynamic performance of the products are 12% higher than the national average.

"Advances developed by our investment in research and development and incorporated in this product line," said Mr. Liu, "have expanded our markets and built our market shares, providing our overall enterprise with considerable economic benefits."

About Xinde Technology Company

Based in China's Shandong Province in the city of Weifang, Xinde Technology Company, with fiscal 2010 revenues of $123 million, competes in three primary product segments, namely (1) fuel injection system products, (2) diesel engine products and (3) generator products. The Company has a broad range of products including non-vehicle diesel engines, diesel generators, injection pumps, injectors and three-coupling components, agricultural machinery and construction machinery which greatly reduces its comprehensive costs which, in turn, increases its competitiveness. The Company's focus is on the domestic market in China, where its customers include several of China's largest companies in the country's most rapidly growing industries. As a consequence, the Company's production volume has been growing approximately 30% annually.