DENSO to Produce Fuel Injectors and Fuel Injection Pumps for Gasoline Vehicles in Guangzhou, China

TOKYO, Oct. 7, 2004 -- DENSO Corporation today announced it will begin to produce fuel injectors and fuel injection pumps for gasoline engines at the end of 2005 in its new company -- DENSO (GUANGZHOU NANSHA) Co., LTD. - established July 21, 2004 in Guangzhou, China with an initial capital investment of US$16.7 million (1.8 billion yen). DENSO's investment in the new operation will total approximately US$22.2 million (2.4 billion yen).

"Initially, the new company will supply its products mostly to Guangzhou Toyota Motor Co., Ltd. and other Japan-based automotive manufacturers throughout China. And we hope to address broader business needs, including increasing product lines for corporate development," said Hiromi Tokuda, managing officer in charge of DENSO's Powertrain Control System Group.

Tokuda added, "The new automobile policy announced by the Chinese government this June requires that automotive manufacturers expend more effort on environmental concerns and fuel efficiency in order to contribute to a clean and comfortable motorized society. Because engine-related products must meet the same standards, DENSO will begin manufacturing fuel injectors for gasoline vehicles in China."

DENSO Corporation, headquartered in Kariya, Aichi prefecture, Japan, is a leading global supplier of advanced technology, systems and components. Its customers include all the world's major carmakers. Worldwide, the company employs 95,000 people in 31 countries and regions, including Japan. Consolidated global sales for the fiscal year ended March 31, 2004 totaled US$24.2 billion. DENSO common stock is traded on the Tokyo, Osaka and Nagoya stock exchanges. For more information, go to http://www.globaldenso.com/ .

In the Americas (North, Central and South America), DENSO employs 14,000 people at 27 companies. Consolidated sales for the fiscal year ended March 31, 2004 totaled US$5.3 billion. For more information, see http://www.densocorp-na.com/ .

  Company Profile
  -- Name: DENSO (GUANGZHOU NANSHA) Co. ,LTD.
  -- Established: July 21, 2004
  -- Location: Guangzhou Nansha Development Zone, China
               (about 50 kilometers southeast of the center of Guangzhou)
  -- Capital: US$16.7 million (1.8 billion yen) *
  -- Ownership: 70 percent ownership by DENSO Corporation
               30 percent ownership by DENSO (China) Investment CO., LTD. **
  -- President: Mitsugu Kibune (currently Senior Project Manager of
                Powertrain Control System Business Planning Center,
                DENSO Corporation)
  -- Product Line: Fuel injector and fuel injection pumps for gasoline
                   vehicles
  -- Employees: 370 (projected for fiscal 2010)
  -- Sales: US$42.6 million (4.6 billion yen)* (projected for fiscal 2010)
  -- Total Investment: US$22.2 million (2.4 billion yen) *

  * Exchange rates used are 108 yen per one dollar, at the end of June 2004.
  ** 100 percent DENSO-owned regional headquarters for China