China Hongqiao : ·Positive Profit Alert

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China Hongqiao Group Limited

中國宏橋集團有限公司

(Incorporated under the laws of Cayman Islands with limited liability)

(Stock Code: 1378) POSITIVE PROFIT ALERT

This announcement is made by the Company pursuant to Rule 13.09 of the Listing Rules and the provisions of inside information under Part XIVA of the Securities and Futures Ordinance (Cap 571 of the Laws of Hong Kong).

The Board wishes to inform the Shareholders of the Company and potential investors that the Group is expected to record a significant increase in the consolidated profit attributable to Shareholders of the Company for the year ended 31 December 2016 as compared to that for the corresponding period of 2015, representing an expected increase of 70% to 100%.

The information contained in this announcement is only based on the unaudited management account of the Group for the year ended 31 December 2016 which has not been audited by the auditors of the Company.

Shareholders and potential investors are advised to exercise caution when dealing in the shares of the Company.

This announcement is made by China Hongqiao Group Limited (the "Company", together with its subsidiaries, the "Group") pursuant to Rule 13.09 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the "Listing Rules") and the provisions of inside information under Part XIVA of the Securities and Futures Ordinance (Cap 571 of the Laws of Hong Kong).

The board of directors (the "Board") of the Company wishes to inform the shareholders of the Company (the "Shareholders") and the potential investors that, based on the currently available information, the Group is expected to record a significant increase in the consolidated profit attributable to Shareholders of the Company for the year ended 31 December 2016 as compared to that for the corresponding period of 2015, representing an expected increase of 70% to 100%. The increase in the consolidated profit attributable to the Shareholders was mainly attributable to, (i) the production and sales volume of the

Group's aluminum products increased on a year-on-year basis; and (ii) the average price of aluminum products for the year ended 31 December 2016 increased as compared with that in the same period of 2015, which had a positive effect on the Group's overall gross profit margin of aluminum products.

The information contained in this announcement is only based on the unaudited management account of the Group for the year ended 31 December 2016 and the information currently available to the Group. The financial results for the year ended 31 December 2016, which will be reviewed by the auditors of the Company, will be disclosed when the annual results of the Group for the year ended 31 December 2016 are announced.

Shareholders of the Company and potential investors are advised to read the reviewed annual results announcement of the Group carefully when it is published.

Shareholders and potential investors are advised to exercise caution when dealing in the shares of the Company.

By order of the Board

China Hongqiao Group Limited Zhang Shiping

Chairman

Shandong, the People's Republic of China 13 January 2017

As at the date of this announcement, the Board comprises eight directors, namely Mr. Zhang Shiping, Ms. Zheng Shuliang and Mr. Zhang Bo as executive directors, Mr. Yang Congsen and Mr. Zhang Jinglei as non-executive directors, and Mr. Chen Yinghai, Mr. Xing Jian and Mr. Han Benwen as independent non-executive directors.