China Wind Systems Initiates Equipment Installation For Phase One Expansion

China Wind Systems, Inc., which, through its affiliates, supplies high-precision components to the wind power industry and industrial equipment to the textile industry in China, has announced that it has initiated the equipment installation for its phase one expansion to increase the Company's forging capacity for the wind power industry.

The Company is currently installing a ring-rolling mill and a 4,500-ton press to produce rolled rings up to 6.3 meters in diameter with cross sections measuring up to 700mm. Upon completion of the equipment installation, the Company will be capable of manufacturing forged products such as rolled rings, flanges and gear rims used in up to five megawatt wind turbine units, as well as shafts used in 1 MW to 3 MW wind turbine units. The designed capacity of the Company's phase one expansion is 40,000 tons of rolled rings, flanges, shafts and gear rims.

China Wind says that it is on schedule to produce prototype products in September 2008 and to commence production in October. The Company has been provided with technical specifications and blueprints to produce prototypes by its potential customers.

"We are confident that our prototypes will meet with the required standards of our potential customers and we will, in turn, secure sizable contracts for the fourth quarter 2008 and full year 2009," said Jianhua Wu, CEO of China Wind Systems. "With the addition of our new forging capacity, we look forward to addressing the shortage of wind-power components in the Chinese wind power industry," he added.

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