National Press Release

CHANGSHA, China, Feb. 26 /PRNewswire-Asia-FirstCall/ -- Tongxin International Ltd. (Nasdaq: TXIC), a China-based manufacturer of engineered vehicle body structures ("EVBS"), announced today the addition of 17 new manufacturing contracts for customers in Hubei, Fujian, Nanjing, Guangxi, Jiangsu and Shandong provinces. Tongxin has also begun shipping its 1041 cab model to a Wuhan-based customer for its joint-venture manufacturing platform in the Middle East. Both of these programs are forecasted to contribute $6 million to $12 million in revenues in 2009.

Over the past year, Tongxin has been focused on expanding its product offerings to its customer base of 130 customers throughout 20 provinces in China. Providing cost-effective and complete EVBS based on the design specifications provided by the manufacturer is the core activity of their personnel across five sales regions in China. The Company estimated the EVBS market size in China to be $19 billion in 2007 which included vehicle bodies for commercial vehicles and passenger cars. Tongxin has successfully tested and introduced five new models from its mini, light, medium, heavy and SUV product lines to 17 commercial vehicle manufacturers in China. Prior to Tongxin securing these contracts, each vehicle manufacturer was producing 100% of their cabs independently.

The Company has also announced a contract with a long-standing, Wuhan-based customer who has initiated a joint-venture manufacturing platform in the Middle East. The manufacturer has selected Tongxin's single cab, over-the-engine model 1041 as the exclusive cab model for the manufacturer's light commercial vehicle production line. Light commercial vehicles are categorized as those with a gross vehicle weight of 7,000lbs to 12,000lbs. The joint venture has an estimated demand of 3,400 - 5,000 units a year. In the Middle East, single cab transport vehicles are the most widely sold units in the market. Tongxin has identified this market as the "emerging market commercial vehicle" segment which Ernst and Young approximates at more than 400,000 vehicles a year. Based on an average selling price in 2008, the corresponding value of the segment is $520 million for Chinese joint-ventures and domestic manufacturers in this segment. Tongxin has been working to secure the Middle East contract since September 2008, when the Company first shipped out pre-production parts to the manufacturer for testing and design approvals.

"We have been very pleased with the results of our sales teams," opened CEO and Vice-Chairman Duanxiang Zhang. "The sales cycle for original equipment is a long process and requires diligence and persistence to secure contracts. As we widen our product offering to our customer base, we are confident we will continue to uncover other opportunities for our company to place additional models into production. Competition in the market is increasing and manufacturers are under pressure to reduce costs and use engineering talent wisely. These two conditions will provide Tongxin with a growing list of prospects throughout the year," Zhang concluded.

About Tongxin International Ltd.

Tongxin International Ltd., the largest independent supplier of EVBS in China, is capable of providing EVBS for both the commercial truck and light vehicle market segments. The Company also designs, fabricates and tests dies used in the vehicle body structure manufacturing process. EVBS consists of exterior body panels including doors, floor pans, hoods, side panels and fenders. Tongxin maintains a network of 130 customers throughout 20 provinces in China. Headquartered in Changsha, Tongxin also maintains regional manufacturing in Dali, Ziyang and Zhucheng.

Forward-Looking Statements

Statements contained in this press release, which are not historical fact, constitute "Forward-Looking Statements." Actual results may differ materially due to numerous important factors that are described in Tongxin International's most recent report to the SEC on Form 6-K, which may be revised or supplemented in subsequent reports to the SEC. Such factors include, among others, the cost and timing of implementing restructuring actions, the Company's ability to generate cost savings or manufacturing efficiencies to offset or exceed contractually or competitively required price reductions or price reductions to obtain new business, conditions in the automotive industry, and certain global and regional economic conditions. Tongxin International does not intend or assume any obligation to update any forward-looking statement to reflect events or circumstances after the date of this press release.

    For more information, please contact:

    HC International, Inc.
     John Mattio
     Tel:   +1-914-669-5340 (U.S.)
     Email: john.mattio@hcinternational.net
     Web:   http://www.hcinternational.net

SOURCE Tongxin International Ltd.