Wonder Auto Enters into Framework Agreement to Deliver Electric Motor for Alternative Energy Vehicles

Wonder Auto Enters into Framework Agreement to Deliver Electric Motor for
Alternative Energy Vehicles

BEIJING, Oct. 30 /PRNewswire-Asia-FirstCall/ -- Wonder Auto Technology, Inc.
(Nasdaq: WATG) ("Wonder Auto" or the "Company"), a leading manufacturer of
automotive electric parts, suspension products and engine components in China,
today announced that its subsidiaries Jinzhou Wonder Motor Co., Ltd. ("Wonder
Motor") and Jinzhou Halla Electrical Equipment Co., Ltd. ("Jinzhou Halla")
have entered into framework agreements with Jinzhou Wonder Alternative Energy
Vehicle Technology Co., Ltd., ("Jinzhou AEV"), for the supply of electric
motors to Jinzhou AEV for use in its electric and alternative energy vehicles.
The Company expects the aggregate value of the agreements to be approximately
US$6.13 million.

Under the agreements, Wonder Motor and Jinzhou Halla will supply 6 models of
electric motor products (250w, 350w, 600w, 800w, 7kw and 20kw) to Jinzhou AEV.
Initial delivery is scheduled to begin in November 2009, with deliveries to
continue during 2010. The Company expects to deliver approximately 1,450
units in 2009 and approximately 21,500 in 2010, representing aggregate sales
revenues approximately US$0.44 million and US$5.69 million.

Under the agreement, the Company's electric motor will be used in 4 models of
Jinzhou AEV's electric vehicles.

1. 2-wheel and 3-wheel light electric vehicles with retail prices ranging
from US$260 to US$500. With a one-charge driving distance of 40km to
70km, these vehicles are positioned as replacements for bicycles and
motorcycles
2. General purposes rural electric vehicle with retail price ranging from
US$4000 to US$6000. With a payload up to 1500kg or 7 passengers, this
type of vehicle has a one-charge driving distance of 100km and can
reach
a top speed of 65km/hour. While its retail price is comparable to that
of a gasoline engine vehicle of similar size, its operating cost is
estimated to be US$400 to US$700 lower for every 20,000km driven.
Jinzhou AEV's electric vehicle is positioned as a replacement or
alternative to the estimated 35 million gasoline engine vehicle of
similar size that are currently being used in rural China
3. 2-seat passenger electric vehicle with a retail price of US$2000 to
US$4000 depending on the trim. This model will have a one-charge
driving
distance of 100km and a top speed of 55km/hour. The vehicle weigh less
than 450kg excluding battery and its operating cost is US$0.40/100km or
less.

4. Electric taxis with prices ranging from US$4000 to US$8000. With a top
speed of 70km/hour, the one-charge driving distance of these vehicles
are
100km if powered by lead acid battery and 300km if powered by lithium
ion
battery. The fuel efficiency of a typical gasoline engine taxi with a
1.6l engine is approximately 7 litre per 100km which costs
approximately
US$6 with the currently retail gas price in China. The total operating
cost for 100,000km driven is approximately US$6500 including fuel and
maintenance cost. In comparison, the total operating cost of the
electric taxis for 100,000km driven will be only approximately US$3000.

The electric taxis to be sold by Jinzhou AEV will ship without
batteries.
A separate local battery servicing and maintenance company will operate
a
citywide network to charge and replace the electric taxi batteries.
Privately owned electric vehicles may also use this network. Jinzhou
AEV
estimates that the local government will initially issue 200 electric
taxi licenses on a trial basis by April 2010.

Mr. Qingjie Zhao, the Company's chief executive officer and chairman, is a 60%
owner and serves as the chairman of Jinzhou AEV. The transactions contemplated
by the framework agreements were approved by the audit committee and board of
directors of the Company.

"We started the research and development of electric motor in 2007 and the
entry into the framework agreements is a milestone for Wonder Auto," said Mr.
Qingjie Zhao, chief executive officer and chairman of Wonder Auto. "It
demonstrates that Wonder Auto's electric motor products are entering into the
alternative energy vehicle market which we believe has tremendous growth
prospective and will play an important role in the future automobile industry.
We believe our electric motor products will be recognized by more and more
auto manufacturers and significantly contribute to our sales in the coming
years. We anticipate our electric motor products to become one of our main
products and to contribute to our continued growth and competitive strength."

About Wonder Auto
Based in Jinzhou City, Liaoning, China, Wonder Auto Technology, Inc., through
its Chinese subsidiaries, designs, develops, manufactures and sells automotive
electrical parts, suspension products and engine components. Wonder Auto
ranked second and third in sales revenue in the Chinese market for automobile
alternators and starters in 2008, respectively. Wonder Auto's products are
used in a wide range of passenger and commercial automobiles with special
focus on the fast-growing small- to medium-engine passenger vehicle market.
Wonder Auto's main customers include SAIC GM Wuling Automobile Co., Ltd.,
Beijing Hyundai Motor Company, Shenyang Aerospace Mitsubishi Motors Engine
Co., Ltd., Harbin Dongan Automotive Engine Co., Ltd., Shanghai Volkswagen Co.,
Ltd., BYD Company Limited, Tianjin Toyota Co., Ltd., Chery Automobile Co.,
Ltd., Dongfeng Yueda Kia Motors Co., Ltd., Geely Automobile Co., Ltd., and
Tianjin FAW Xiali Automobile Co., Ltd. For more information, please log on
http://www.watg.cn.

Safe Harbour Statement
This press release may include certain statements that are not descriptions of
historical facts, but are forward-looking statements. Such statements include,
among others, those concerning the expected sales and revenue from the frame
agreements with Jinzhou AEV, our expected financial performance and strategic
and operational plans, our future operating results, our expectations
regarding the market for alternative energy vehicle, as well as all
assumptions, expectations, predictions, intentions or beliefs about our
relative strength and about future events. Forward-looking statements can be
identified by the use of forward-looking terminology such as "will,"
"believes," "expects" or similar expressions. Such information is based upon
expectations of our management that were reasonable when made but may prove to
be incorrect. All of such assumptions are inherently subject to uncertainties
and contingencies beyond our control and based upon premises with respect to
future business decisions, which are subject to change. The repurchase
transaction described herein may not proceed as described, or at all. We do
not undertake to update the forward- looking statements contained in this
press release. For a description of the risks and uncertainties that may cause
actual results to differ from the forward-looking statements contained in this
press release, see our most recent Annual Report on Form 10-K filed with the
Securities and Exchange Commission ("SEC"), and our subsequent SEC filings.
Copies of filings made with the SEC are available through the SEC's electronic
data gathering analysis retrieval system at http://www.sec.gov.

Patrick Sun
Investor Relations Manager
Tel: +86-10-8478-5339
Cell: +86-153-1161-1742
Email: IR@watg.cn

SOURCE Wonder Auto Technology, Inc.

Patrick Sun Investor Relations Manager, +86-10-8478-5339, Cell:
+86-153-1161-1742, IR@watg.cn