Shanghai Electric International Economic & Trading Co., Ltd. ( SEIC ), was established in March 1995 and restructured in September 2004. After restructuring, its capital paid-in amounts to

RMB 350 millions. The investors and their ratios of investment are as follows:

Shanghai Electric Group Co., Ltd. 99%

Shanghai Machine Tool Works Ltd. 1%

SEIC, a key company affiliated to Shanghai Electric Group Co., Ltd. ( SEGC ), specializes in international trade and investment.

SEIC possesses comprehensive function of international trade, including the import and export of mechanic and electric products, processing trade, transfer trade and service trade. The annual import and export volume of SEIC exceeds USD200 millions.

SEIC, the channel of SEGC in implementing the strategy of "going out of country", has established several subsidiary companies in foreign countries. In order to improve the level of technical innovation of Shanghai mechanic and electric industry, and rapidly reach and surpass the advanced world level, SEIC energetically devotes itself in overseas investment and achieves remarkable success in admitting foreign enterprises possessing first-class key technologies by means of multinational merge and acquisition.

By its extensive international cooperation channel and perfect development ability, SEIC vigorously introduces foreign capitals to establish joint venture companies and administrate a lot of prosperous joint venture companies on behalf of SEGC.