New Autocatalyst Manufacturing Facility in China

Johnson,Matthey PLC
17 February 2000


Johnson Matthey to Build New Autocatalyst Manufacturing Facility in China

Johnson Matthey is to establish a new autocatalyst manufacturing facility in
China to serve its customers in this rapidly growing market for vehicle
emission control catalysts.  The new facility, which will be located in the
Shanghai area, will use the latest production technology and will have
capacity to produce some 600,000 car catalysts and 1 million motorcycle
catalyst per year. It will become Johnson Matthey's ninth autocatalyst
manufacturing site worldwide.

China currently produces about 1.7 million passenger vehicles and 9 million
motorcycles per year. From the beginning of this year all new cars
manufactured in China have had to meet Euro I emission standards which require
the fitment of autocatalysts. Other vehicles will have to meet these
regulations from 1st January 2001. Nationwide emission regulations for new
motorcycles based on the Euro I standards, will also be implemented during
2001 and will require catalysts to be fitted to 2-stroke bikes. 

Stricter Euro II standards are to be implemented nationwide in 2004. Cities
such as Beijing and Shanghai are seeking to meet these stricter standards
ahead of national legislation in order to tackle major air pollution problems
in China's rapidly growing urban areas.

The new autocatalyst facility is expected to be in production at the beginning
of 2001. 

Commenting on this announcement, Neil Carson, Executive Director, said:

'The market for cars and motorcycles in China is set to grow rapidly. This
Johnson Matthey investment, our ninth global manufacturing facility, will
supply our customers in China with high performance, cost effective catalysts
for cars and motorcycles and will help enable increased personal mobility
without compromising air quality. We plan to build on this base investment
over time to better serve the local market for other Johnson Matthey products
as the Chinese economy continues to grow.'

Enquiries:       
Neil Carson,   Executive Director                                020 7269 8449
Ian Godwin,    Group Corporate Communications Manager            020 7269 8410