YaSheng Group Makes Breakthrough in Its New Technology for Dryland Wheat Planting

REDWOOD CITY, CA--(Marketwire - May 09, 2011) - Yasheng Group (OTCQB: YHGG) (XETRA: YSF), a high-growth diversified China-based agricultural conglomerate with US headquarters in California, today announced that it has made a breakthrough in its new technology for dryland wheat planting.

In adopting and implementing its new technology of “film-mulched and bunch-seeded cultivation,” Yasheng has successfully developed a “film mulching and soil covering” machine which greatly decreases labor intensity while increasing the use of rainfall to 72%. With a combination of the new technology and the supporting machine, it transforms the traditional mass seeding to precise seeding, and man-powered seeding to planter seeding. What’s more, it solves the problem of seed misplacement. As to the soil up on the film, it can effectively protect the film, expand the use life, and reduce film pollution. The mulched film will be used for 3-4 consecutive years which lowers costs and enhances efficiency. The new technology is called “Gangu Mode” by national wheat experts. It is anticipated that, in the next 4 years, Gansu Province will promote the technology across 830,000 acres, which will produce 500 million kilograms of additional grains.

Chairman Zhou Chang Sheng said, “Our development has long been supported by constant focus on the application of new agricultural technology. We look forward to continuing this tradition and bring more innovative technologies.”

Yasheng Group

Yasheng Group (OTCQB: YHGG) (www.yashenggroup.com), founded over 30 years ago, is a US holding company that conducts primarily agricultural operations in the Northwest of China. Today it is one of China’s leading producers and marketers with six major product segments including field crops, vegetables, fruit, specialty crops, hops, hemp, seeds, beef and poultry. Yasheng is a supplier of high-quality agricultural products to world-famous conglomerates such as McDonald’s, KFC, Tsingtao Beer, and Pepsi. The company is lead by a highly qualified management team and it has total assets of approximately $1.7 billion, over 15,000 employees, and a history of strong sales and earnings growth.

Safe Harbor Statement

Except for the historical information contained herein, certain matters discussed in this press release are forward-looking statements which involve risks and uncertainties. These forward-looking statements are based on expectations and assumptions as of the date of this press release and are subject to numerous risks and uncertainties, which could cause actual results to differ materially from those described in the forward-looking statements. These risks and uncertainties are discussed in the company’s various filings with the Securities and Exchange Commission. The company assumes no obligation to update these forward-looking statements.