China Direct Trading Corp. Signs Exclusive Agency Agreement with Premier Chinese Generator Manufacturer


DAVIE, Fla., Sept. 28, 2005 (PRIMEZONE) -- China Direct Trading Corporation (OTCBB:CHDT) (China Direct), a U.S.-Chinese trading company, today announced that it entered into an exclusive marketing agreement for selling LPG generators in the U.S. with Yiwu Generating Equipment Co., Ltd. (Yiwu), a Chinese manufacturer of generators and a subsidiary of Zhejiang YiWu Huafeng Industry (Multinational) Co., Ltd., which is a large, ISO 9001 certified, industrial Chinese conglomerate (see: http://www.ywhuafeng.com/english/dongtai.htm for information on this company and its products). China Direct has exclusive marketing rights for Yiwu's LPG-fueled electrical generators in the United States for one year. China Direct must sell US$3 million a year of the generators to maintain its exclusivity for Yiwu LPG generators in the United States market. The Agreement runs from October 1, 2005 until September 30, 2006. Yiwu is one of the sources of generators that China Direct intends to use as a source for any U.S. generator orders. Yiwu is seeking UL approval of its generators and China Direct is assisting in this process.

China Direct recently signed a five-year exclusive distribution agreement for generators on September 22, 2005 with Complete Power Solutions, LLC (CPS) of Pompano Beach, Florida. CPS has committed to purchase a minimum of 500 UL-approved generators at a value of $3,500,000 to $4,000,000 for the next 12 months to retain its exclusive territory of the Southeast, New York and New Jersey.

Howard Ullman, CEO/President of China Direct, said, "We are pleased to be granted exclusive distribution rights at a time when many companies were making inquiries to Yiwu management for product. Their confidence that China Direct will maximize their exposure and sales are a testimony of our company's good reputation in China as a successful trading force."

About Yiwu: A generator manufacturer IS09001 Certified, CE Certified, and EPA approved. The company was recently awarded as one of the top ten generator manufacturers in China, and famous brands in China. They manufacture small, medium and large generators including containers, trucks, and trailers. They are OEM manufactures and have import and export licensing.

CHDT is a global trading holding company with subsidiaries involved in trade in various industries in China. CPF is one wholly owned subsidiary engaged in the trade of items other than souvenirs and novelties. China Pathfinder will continue to set up a nationwide network of existing generator installers looking for lower pricing and quicker deliveries. All inquiries should be directed to Larry Osborne at 919-341-5800 or email losborne21@aol.com

FORWARD-LOOKING STATEMENTS: Some statements contained in this release may be forward-looking within the meaning of the safe harbor clause of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements as to diversification China Direct's products and business development activities. Editors and investors are cautioned that such forward-looking statements involve risks and uncertainties that may cause the company's actual results to differ materially from such forward-looking statements. These risks and uncertainties include, but are not limited to, our ability to generate revenues, fund business development activities, diversify our product and business lines, our reliance on good trade relations between the U.S. and China and the ability of Chinese industry to meet our client demands, our status as a small business with limited assets and cash reserves, possible impact of weather or conflict on our business, and other factors as described in the China Direct's literature and current and future filings with the Securities and Exchange Commission.


            

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