China Yuchai Reports 2008 Diesel Engine Unit Sales

SINGAPORE, March 2, 2009: China Yuchai International Limited (''China Yuchai'' or the ''Company'') whose subsidiary, Guangxi Yuchai Machinery Company Limited ("GYMCL"), is a leading manufacturer and distributor of diesel engines in China, today announced total sales of approximately 372,000 diesel engine units for the year ended December 31, 2008. These sales represent the second highest unit sales in GYMCL's history and has resulted in GYMCL retaining its No. 1 ranking in diesel engine unit sales by the China Association of Automobile Manufacturers.

The diesel engine unit sales for 2008 reflect strong demand before the adoption of stricter National III engine emission standards on July 1, 2008.

The Chinese government recently announced a stimulus package to boost the Chinese automotive industry as well as focus on rural market development and the nation-wide infrastructure build-out including railway and highway construction. According to recent data from the Chinese government, January 2009 was a landmark month for the Chinese auto industry as China surpassed the United States to become the world's largest consumer of automotive vehicles. The farming equipment market in China also experienced strong growth as the government accelerated rural subsidies and increased budgets of provincial authorities to help improve agriculture production. As part of the automotive stimulus package, a one-time subsidy totaling RMB5 billion (US$732 million) will be provided to farmers for the replacement of their current, high-emission vehicles with more fuel-efficient and environmentally friendly models.