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    HK000KL3_Short- 1 -

    CARE FOR EVERY CONSUMER, CARE FOR EVERY VEHICLE

    DONGFENG MOTOR GROUP CO.,LTD

    Nov. 22, 2006

    Wuhan

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    Table of Contents

    Brief Overview of DFG

    Brief Overview of DPCA

    Brief Overview of DHAC

    Current Operation Situation of DFG

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    Group Structure

    Dongfeng Motor Group

    the Company

    Subsidiaries Sino-foreign JVsOther companies in which

    the Company has direct

    equity interests

    Dongfeng(Shiyan)

    Special Purpose

    Commercial Vehicle Co.,

    China Dongfeng Motor

    Industry Import&Export

    Co., Ltd

    Dongfeng Motor

    Tender Info. Co., Ltd

    Dongfeng Motor Co., Dongfeng HondaEngine

    Dongfeng HondaDongfeng Honda

    Auto Parts

    Dongfeng Nissan

    Diesel

    Dongfeng Motor

    Finance Co., Ltd

    Dongfeng SUVCo., Ltd

    Dongfeng Electrical

    Motor Joint Stock

    Dongfeng Peugeot

    Citroen Co., Ltd

    Honda Auto

    (China) Co., Ltd

    50% 50%

    50%

    44%

    Dongfeng Motor Corporation

    Public Shareholders

    66.68%

    33.32%

    96%

    95%

    35.2%

    50%

    50%

    20%

    10%

    40%

    36.44%

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    Production

    Capacity

    Unit: 0,000

    Product

    Line

    ajor JVs Foreign

    Partner

    Dongfeng Peugeot

    Citroen

    PV

    22

    Dongfeng Honda

    Automobile

    PV 12

    Dongfeng Honda

    Engine

    Engine

    32

    Dongfeng Motor Co.

    Ltd

    CV

    PV

    32

    28.5

    (1)

    Nissan Diesel inclu ded

    Brief Overview of DFG

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    Xinjiang Auto

    Liuzhou Auto

    Shanghai

    Hangzhou

    Dongfeng Honda Auto

    Parts

    Shiyan BaseXiangfan Base

    Wuhan Base

    Guangzhou Base

    Layout of Major Production Facility

    Four Major Production FacilitiesShiyan Base:CV, Auto Parts , Auto

    Manufacturing Equipments

    Wuhan Base:Headquarter, PV

    Xiangfan Base:LCV, Engines, PV

    Guangzhou Base:PV, Engines, Auto Parts

    and Components

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    Brief Overview of DPCA

    DPCA was first established on May 18th, 1992. Construction established in

    two major stages based on an overall planning

    First stage investment: RMB13.1bl. Annual production capacity of 150,000

    units sedans and 200,000 units engines was formed in the stage

    Investment budget for second stage construction is RMB 5bl, forming

    annual capacity of 300,000 sedans and 400,000 units of engines

    In January 2004, second stage construction for 300,000 units production

    capacity expansion project broke ground.

    On Oct. 27, 2006, construction for DPCA Second Plant started.

    Company staff number: 9,000. Company structure: 9 departments, 2 plants,

    2 Brand Commercial Departments.Technical engineers: 700 with an

    average age of 35. 83.5% are college graduates.

    Dual-brand strate

    Course of Development

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    Brief Overview of DPCA

    Dual brands and a broad product line

    Advanced technology

    Strong R&D capability

    Fine product quality

    Leading-edge technology and safety

    Platform-sharing strategy

    1

    Products technology keep pace with PSA level. Joint development of

    products which are more adaptable to local market

    2

    Wider coverage of product lineN platform, No.2 platform, No.1 platform

    3

    Designed shared auto parts rate exceeding 60% - largely reducedmanufacturing cost

    Company advantages

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    Brief Overview of DPCA

    2005 production:141,661

    2005 Sales: 140,399

    YoY growth: 60.92% and 57.52%

    Operation Performance

    114040

    165453

    141661

    206762

    0

    50000

    100000

    150000

    200000

    250000

    20051-10 20061-10 2005 2006

    83670

    32984

    96233

    64342

    100011

    40388

    125000

    83015

    0

    50000

    100000

    150000

    200000

    250000

    20051-10 20061-10 2005 2006

    DCAD DPAD

    3.79% 4.39% 4.83% 4.95%

    0

    2

    4

    6

    8

    2004 2005 20061-9 2006

    Operation situation from

    95-2002

    Operation situation from January October 2006

    Sales from JanuaryOctober 2006 Market share

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    Brief Overview of Dongfeng Honda Automobile

    Co., Ltd

    Time of EstablishmentJuly 16th, 2003

    Equity Stake

    DFM :HM :HMCI 50%:40%:10%)

    Registered Capital200 mn USD

    Production Capacity

    120,000 units/year

    Current Models

    CR- V CIVIC

    Staff number2526 personsby the end of September 2006

    Time of Production

    February 2004

    Land Area

    690,478

    Corporate Culture

    Continuously expand business scale and strive to achieve business target

    Strive to improve customer satisfaction

    Further improve corporate governance and closely cooperate for mutual

    Course ofDevelopment

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    Brief Overview of Dongfeng Honda Automobile

    Co., Ltd

    1st stage construction

    2nd stage costruction +

    CR-V: launched in May 2004, two time winner of CCTV Annual SUV

    Taking leading position in PRC high-end SUV market ever since its launch

    Civic: Launched in April 2006, the first sedan introduced by DHAC. Well

    acclaimed by the market for its superb power and fuel efficiency.

    CRV

    CRV CIVIC

    Products Briefing

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    Brief Overview of Dongfeng Honda Automobile

    Co., Ltd

    11,931

    25,645

    51,887

    0

    5000

    10000

    15000

    20000

    25000

    30000

    35000

    40000

    45000

    50000

    55000

    60000

    2004 2005 2006 1 10

    Operation performance

    Production volume Sales revenuer

    47071

    10 ,47 2

    26 ,24 4

    5,000

    20 ,00 0

    35 ,00 0

    50 ,00 0

    2004 2005 061 10

    Sales volume 649 ,949494 ,999

    203 ,212

    0

    100 ,000

    200 ,000

    300 ,000

    400 ,000

    500 ,000

    600 ,000

    700 ,000

    2 4 2 5 2 61 1

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    Current operation for DFG

    Aggregate sales: 595,000 units

    PV: 385,000 units

    YoYgrowth34.78%

    High than industry average:31.68%

    Several newly launched models, including new

    Dongfeng Nissan Teana, Dongfeng Peugeot 206,

    Dongfeng Citroen C-Triomphe and DongfengHonda Civic were well received by the market

    and the recently launched Nissan Sylphy also

    became a new growth driver for the Group.

    In IH2006 sales volume broke through 100,000

    units, recording a YoY increase of 38% and a

    profit of RMB190 ml, operational level

    remarkably improved

    Sales revenue YoY growth 9.8%

    Net profit YoY growth 68.75%

    Gross profit YoY growth 47.65%

    ROE YoY growth 7.2%

    Remarkable market performancePV growth higher than industry average

    in first 10 months

    Improved financial performance 1-6

    2006

    Turning Around of DPCA, with

    Remarkably Improved Operation

    Major performance in first 19months

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    384782

    285486

    0

    50 ,00 0

    10 0,000

    15 0,000

    20 0,000

    25 0,000

    30 0,000

    35 0,000

    40 0,000

    45 0,000

    2005,1-10 2006,1-10

    Sales of PV- Dongfeng Honda Automobile

    Sales of PV- Dongfeng Peugeot Citron

    Sales of PV Dongfeng Motor Co. Ltd Total sales of PV - Dongfeng Motor Group

    20,839

    0

    15,000

    30,000

    2005,1-10 2006,1-10

    Source: Forcast of China Association of Automobile Manufactures (CAAM)

    Each JV strategically launched competitive new models directed at each sub-segment,

    which fastly pushed forward the Groups PV industry.

    Well Positioned PV usiness Entered a Fast

    Development Stage

    147,993

    0

    50,000

    100,000

    150,000

    2005,1-10 2006,1-10

    Unit:,000

    Unit:,000

    116,654

    160,575

    0

    100,000

    200,000

    2005,1-10 2006,1-10

    Unit: ,000

    PSAPeugeot Citron

    ,ooo units

    Industry YoY growth rate34.75

    47,071

    177,136

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    Steady Revenue Grow th

    Sales Revenue

    23,282

    21,192

    20,000

    20,500

    21,000

    21,500

    22,000

    22,500

    23,000

    23,500

    1H 2005 1H 2006

    RMB million

    Composition of Revenue

    35

    28

    61

    70

    4

    2

    0

    10

    20

    30

    40

    50

    60

    70

    80

    90

    100

    1H 2005 1H 2006

    C V P V O thers

    Rapid sales growth as well as a steady pricing policy guaranteed a continuous and

    steady growth of the Groups sales revenue

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    Cont inuous Grow th of Gross Prof i t

    2,766

    3,330

    4,084

    13.1

    16.2

    17.5

    0

    1,000

    2,000

    3,000

    4,000

    5,000

    6,000

    7,000

    8,000

    9,000

    10,000

    2005 1H 2005 2H 2006 1H

    0

    4

    8

    12

    16

    20

    G ross profit G ross profit m argin

    DFGs Overall Gross Profit and Gross Profit Margin

    14.0

    10.3

    13.0

    0.0

    10.0

    20.0

    2005 1H 2005 2H 2006 1H

    12 .9

    18 .2 19 .6

    0.0

    10 .0

    20 .0

    2005 1H 2005 2H 2006 1H

    CV Gross Profit Margin

    PV Gross Profit Margin

    RMB million

    Significant growth of the Groups PV gross profit and gross profit margin guarantees the

    steady increase of the Groups gross profit margin

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    Robus t Prof i t Grow th

    660

    940

    1,11 4

    0

    300

    600

    900

    1,20 0

    1,50 0

    N et Profit

    DFGs Total Net ProfitSales Growth

    RMB Million

    Fast growth of PV sales volume and steady pricing policy guaranteed a continuously

    steady growth of the Groups sales revenue

    164

    187

    233

    141 103

    125

    0

    50

    100

    150

    200

    250

    300

    350

    2005 1H 2005 2H 2006 1H

    PV C V

    000 units

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    Cont inuous Improvement of Operat ional

    Ef f ic iency

    16.72

    15.18

    15.40

    14.00

    14.50

    15.00

    15.50

    16.00

    16.50

    17.00

    2 0 0 5 1 H 2 00 5 2 H 2 0 0 6 1 H

    Improvement of operation efficiency led to steady growth of the Groups ROA and ROE

    Net Profit Margin Return on Equity

    4.80

    3.10

    4.60

    0.00

    1.00

    2.00

    3.00

    4.00

    5.00

    6.00

    2005 1H 2005 2H 2006 1H

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    Prospect of PRC Au to Indus try in 2H 2006

    At the beginning of 2006, estimated annual sales growth of Chinas automobile industry by CAAM was 13% ,

    000 units

    Source: Forcast of China Association of Automobile Manufactures (CAAM)

    6 5

    5 758

    5 2

    5 4

    5 6

    5 8

    6

    6 2

    6 4

    6 6

    2 5A 2 6 E

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    2. Outlook of DFG

    Specific Measures

    000 units

    Passenger Vehicles

    In the 2H, Dongfeng Nissan Sylphy,

    Geniss and Dongfeng Citroen T21

    successively launched to the market.

    Further improve localization rateand reduce cost through

    advancement of technology,

    management and central

    procurement, so as to improve

    competitive edge of our products in

    the market.

    Commercial Vehicles

    Strengthen marketing of newly

    launched products

    Safeguard competitiveness of old

    products

    Sales Planning

    230

    200

    70

    250

    0

    50

    100

    150

    200

    250

    300

    D FL-PV D PC A D H A C C V

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    `

    Thanks!