SOURCE: Yasheng Group

August 02, 2005 06:00 ET

YaSheng Group's Beta Carotene Production to Increase by 10%

REDWOOD CITY, CA -- (MARKET WIRE) -- August 2, 2005 -- The YaSheng Group (OTC: YHGG) is increasing the production of Beta Carotene by 10%, which will be exported and marketed to the U.S. The company had registered with the FDA and is expected to import Beta Carotene by the end of this year.

The increase in production corresponds to the rising U.S. demand for nutraceuticals, which is growing at nearly 7% annually. Herbal and related extracts are growing the fastest, based on expanding scientific evidence of health benefits and the rising popularity of alternative medicines.

The Beta Carotene production line is just one of many lines of nutraceuticals the company's biological and pharmaceutical plant produces. The Beta Carotene line is produced through a unique method of salt propagation, utilizing brine as a by-product from mirabilite condensation, in which the company holds an intellectual property patent (ZL 95 1 15709.4) in China. Currently the plant has 70 propagation pools in 18 rows, covering an area of 427 acres. YaSheng's Beta Carotene had been considered an ideal healthy supplement with high nutritional value, which aids vitamin A absorption and had shown to inhibit cancer cells growth. It is mainly used in food, beverages, cosmetics, animal feed and natural medicine products.

About YaSheng Group:

The YaSheng Group (OTC: YHGG), a diversified industrial conglomerate incorporated in Redwood City, California, operates in hi-tech agriculture, salt chemistry and biological technology as its core business with advantages in rich land, mineral resources, capital and technology reserves.

Through its 136 subsidiaries, the company operating categories include: chemical engineering, agricultural production, biotech, pharmaceuticals, textile products, printing and dyeing, commercial trading, beverages and inorganic salt manufacturing. With total assets of approximately $1.5 billion USD and over 15,000 employees, YaSheng Group has 155,097,355 shares issued and outstanding as of December 1, 2004.

Further information concerning YaSheng Group can be found on the corporate website: www.yashenggroup.com

Forward-Looking Statements:

Certain statements contained in this press release are forward-looking statements that involve risks and uncertainties. The statements contained herein that are not purely historical are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended.

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