Trading Statement

Johnson Matthey PLC
24 January 2007



              For Immediate Release on Wednesday 24th January 2007


                         Johnson Matthey Trading Update


Johnson Matthey is hosting an analysts' visit today at its Environmental
Catalysts and Technologies (ECT) business in Royston.  At the meeting Neil
Carson, Chief Executive of Johnson Matthey, gave the following update on current
trading:


'Trading in the second half of Johnson Matthey's financial year is progressing
well.  Catalysts Division is continuing to deliver good growth with ECT
benefiting from increased sales of heavy duty diesel catalysts following the
introduction of new emission regulations in Europe and North America.  Process
Catalysts and Technologies has also achieved good growth with strong sales of
synthesis gas catalysts and a good contribution from Davy Process Technology.


Precious Metal Products Division has had a strong third quarter with continuing
favourable conditions in the platinum group metal (pgm) markets.  Pharmaceutical
Materials is also ahead of last year with continued recovery in its US business.


On 14th December 2006 we announced the sale of our Ceramics Division for
approximately €226 million in cash.  The transaction is conditional on
regulatory approval in Germany, Spain and Portugal and is expected to be
completed on 28th February 2007.  The proceeds from the disposal of the division
will be used to buy back shares and fund bolt-on acquisitions.


The disposal of Ceramics will be slightly dilutive to earnings this year.  The
US dollar has also weakened further against sterling since our interim results
announcement on 22nd November 2006.  However, these adverse effects will be more
than offset by favourable trading results, particularly in Precious Metal
Products Division.  Consequently, the outlook for the full year remains
encouraging, with growth in earnings per share (excluding the profit on disposal
of Ceramics) expected to be slightly better than the 9% rate achieved in the
first half.'



Enquiries:


Ian Godwin              Director, IR and Corporate Communications  020 7269 8410
John Sheldrick          Group Finance Director                     020 7269 8408
Howard Lee              The HeadLand Consultancy                   020 7367 5225
Laura Hickman           The HeadLand Consultancy                   020 7367 5227


www.matthey.com


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