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SUN EAST TECHNOLOGY (HOLDINGS) LIMITED
Establishes SMT equipment joint venture with Rehm of Germany

Hong Kong, July 18, 2004 - China's leading electronics production equipment supplier Sun East Technology (Holdings) Ltd (SEHK: 365) announces a 50:50 joint venture with Rehm Anlagenbau GmbH of Germany to engage in the production of SMT (surface-mount treatment) equipment in Shenzhen, China. With a registered capital of HK$10 million, the joint venture Rehm-Suneast SMT Equipment (SZ) calls for an initial investment of HK$1 million. The new facilities have become operational in May 2004.

Rehm Anlagenbau GmbH looks to the joint venture as a vehicle to tap the average annual growth of 2,000 SMT production lines in China, and to position itself closer to the market to enable much shortened shipment leadtime. With a floor area of 3,500 sq m, the joint venture facility is expected to turn out 100 lead-free reflow soldering systems per annum.

Mr Joe But Tin-fu, Chairman of Sun East Technology, noted: "We anticipate strong demand for lead-free soldering equipment as the new lead-free requirements for the electronics industry are fully implemented in July 2006 in Europe and China. The joint venture with Rehm will lead Sun East's first forays into the high-end arena and new overseas markets including Europe and the US."

About Sun East Technology
Sun East Technology (Holdings) Ltd (SEHK: 365) is a leading electronics equipment supplier in China, offering a full range of surface-mount treatment (SMT), screen printing, soldering, cleaning, coating and logistics equipment. It is the largest soldering equipment supplier in China. The Group operates two production bases in Shenzhen and Shanghai with a total floor area of 76,300 sq m and employing a staff of 1,800 including 300 engineers. The Group became the first ISO9001 accredited equipment supplier in China in 1998.

About Rehm Anlagenbau GmbH
Found in 1990 by chairman Johannes Rehm, the company has since become a leading supplier of manufacturing technology for the electronics industry. Rehm is setting standards in the development of design and fabrication of customer-specific applications for economic printed circuit board manufacturing, and the development of insert gas inflow soldering systems. For more information, please visit: http://www.rehm-anlagenbau.de

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Sun East Technology (Holdings) Ltd

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