Harbin Electric Upgraded to NASDAQ Global Select Market

HARBIN, China, Dec. 21, 2009 /PRNewswire-Asia-FirstCall/ -- Harbin Electric, Inc. ("Harbin Electric" or the "Company", Nasdaq: HRBN), a leading developer and manufacturer of a wide array of electric motors in the People's Republic of China, today announced that the NASDAQ Stock Market is upgrading the listing of the Company's securities to NASDAQ Global Select Market ("Global Select Market") effective January 4, 2010.

The NASDAQ Global Select Market, one of the three market tiers at NASDAQ, recognizes the highest financial listing standards in the world, with measures including market value, liquidity and earnings. Qualifying for NASDAQ Global Select Market is a mark of achievement, leadership, credibility, high ethical standards and stature for companies.

"We are extremely proud to have qualified for NASDAQ Global Select Market, a market applying the most stringent financial listing standards and corporate governance in the world," said Mr. Tianfu Yang, Chairman and CEO of Harbin Electric, Inc. "This is a significant validation of the Company and its Board's strong dedication to corporate governance practices of the highest standards and integrity. Graduating to the top tier listing category at NASDAQ Global Select Market also recognizes the increased market value generated by our sound diversification strategy which has delivered continued robust growth despite extreme global economic challenges." Chairman Yang concluded: "This major achievement in our corporate life coming at the end of one of the toughest years in the global economy is a good opportunity for us to remember that we can always do better. All of us at Harbin Electric are committed to applying best governance practices, strengthening accountability and further building confidence among stakeholders day after day. Our inclusion in NASDAQ Global Select Market will significantly increase our visibility and further broaden our shareholder base as we continue to execute our strategic growth plan to solidify our leadership position in China."

About Harbin Electric, Inc.

Harbin Electric, headquartered in Harbin, China, is a leading developer and manufacturer of a wide array of electric motors with a focus on innovative, customized and value-added products. Its major product lines include industrial rotary motors, linear motors, and specialty micro-motors. The Company's products are purchased by a broad range of domestic and international customers, including those involved in energy industry, factory automation, food processing, packaging, transportation, automobile, medical devices, machinery and tool manufacturing, chemical, petrochemical, as well as in the metallurgical and mining industries. With a recent acquisition of industrial rotary motor business, the Company operates four manufacturing facilities in China located in Xi'an, Weihai, Harbin and Shanghai.

As China continues to grow its industrial base, Harbin Electric aspires to be a leader in the industrialization and technology transformation of the Chinese manufacturing sector. To learn more about Harbin Electric, visit http://www.harbinelectric.com/ .

Safe Harbor Statement

The actual results of Harbin Electric, Inc. could differ materially from those described in this press release. Detailed information regarding factors that may cause actual results to differ materially from the results expressed or implied by statements in this press release may be found in the Company's periodic filings with the U.S. Securities and Exchange Commission, including the factors described in the section entitled "Risk Factors" in its annual report on Form 10-K for the year ended December 31, 2008. The Company does not undertake any obligation to update forward-looking statements contained in the press release. This press release contains forward-looking information about the Company that is intended to be covered by the safe harbor for forward- looking statements provided by the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that are not historical facts. These statements can be identified by the use of forward-looking terminology such as "believe," "expect," "may, "will," "should," "project," "plan," "seek," "intend," or "anticipate" or the negative thereof or comparable terminology, and include discussions of strategy, and statements about industry trends and the Company's future performance, operations and products.

  For investor and media inquiries, please contact:

  In China
   Harbin Electric, Inc.
   Tel:   +86-451-8611-6757
   Email: MainlandIR@Tech-full.com

  In the U.S.
   Christy Shue
   Harbin Electric, Inc.
   Executive VP, Finance & Investor Relations
   Tel:   +1-631-312-8612
   Email: cshue@HarbinElectric.com

   Kathy Li
   Christensen Investor Relations
   Tel:   +1-212-618-1978
   Email: kli@christensenir.com