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Johnson Matthey to Build New Autocatalyst Manufacturing Facility in China

18 February 2000

Johnson Matthey to Build New Autocatalyst Manufacturing Facility in China

    WAYNE, Pa., Feb. 17 -- Johnson Matthey is to establish a new
autocatalyst manufacturing facility in China to serve its customers in this
rapidly growing market for vehicle emission control catalysts.  The new
facility, which will be located in the Shanghai area, will use the latest
production technology and will have capacity to produce some 600,000 car
catalysts and 1 million motorcycle catalysts per year.  It will become Johnson
Matthey's ninth autocatalyst manufacturing site worldwide.
    China currently produces about 1.7 million passenger vehicles and
9 million motorcycles per year.  From the beginning of this year all new cars
manufactured in China have had to meet Euro I emission standards which require
the fitment of autocatalysts.  Other vehicles will have to meet these
regulations from January 1, 2001.  Nationwide emission regulations for new
motorcycles based on the Euro I standards will also be implemented during 2001
and will require catalysts to be fitted to 2-stroke bikes.
    Stricter Euro II standards are to be implemented nationwide in 2004.
Cities such as Beijing and Shanghai are seeking to meet these stricter
standards ahead of national legislation in order to tackle major air pollution
problems in China's rapidly growing urban areas.
    The new autocatalyst facility is expected to be in production at the
beginning of 2001.
    Commenting on this announcement, Neil Carson, Executive Director, said:
"The market for cars and motorcycles in China is set to grow rapidly.  This
Johnson Matthey investment, our ninth global manufacturing facility, will
supply our customers in China with high performance, cost effective catalysts
for cars and motorcycles and will help enable increased personal mobility
without compromising air quality.  We plan to build on this base investment
over time to better serve the local market for other Johnson Matthey products
as the Chinese economy continues to grow."
    For more information in North America, contact J. David Cetola, Senior
Vice President, Johnson Matthey Catalytic Systems Division, 456 Devon Park
Drive, Wayne, PA 19087-1889; Tel: 610-341-8390; Fax: 610-341-8222; E-mail:
cetola@matthey.com; Website: http://www.matthey.com.