CHINA AEROSPACE<0031>-Exceptional Price & Turnover Movements

The Stock Exchange has received a message from China Aerospace 
International Holdings Limited which is reproduced as follows:-

"This Statement is made at the request of The Stock Exchange of Hong Kong 
Limited.

We have noted the recent increases in the price and trading volume of the 
shares of the Company and wish to state that, save as the announcement 
dated 16th March, 2000, we are not aware of any reasons for such 
increases.

We also confirm that there are no negotiations or agreements relating to 
intended acquisitions or realisations which are discloseable under 
paragraph 3 of the Listing Agreement, neither is the Board aware of any 
matter discloseable under the general obligation imposed by paragraph 2 of 
the Listing Agreement, which is or may be of a price-sensitive nature.

The Directors of the Company (save for Mr. Wang Yangguang, who is 
executive director, and Mr. Li Baoan and Mr Wang Guo Lin, who are 
non-executive directors, and Ms. Chan Ching Har, Eliza, who is 
independent non-executive directors, and are not contactable prior to the 
issue of this announcement) individually and jointly accept the 
responsibility for the accuracy of this statement.

By Order of the Board of
China Aerospace International Holdings Limited

Chan King Chung
Company Secretary

Hong Kong, 27th March, 2000"