Autoliv Invests in China

Autoliv Invests in China

Buys Remaining Shares in Joint Venture

(Stockholm, October 18, 2007) - - - Autoliv Inc. (NYSE: ALV and SSE:ALIV), the
world¬wide leader in automotive safety, has agreed to buy 41% of the shares in
its 59% held Chinese company Autoliv (Changchun) Maw Hung Vehicle Safety Systems
for nearly U.S. $14 million. The joint venture, which has one of Autoliv's nine
manufacturing facilities in China, primarily produces seatbelts. 

The acquisition is subject to customary governmental approvals.

The joint venture in Changchun in Northern China was formed in 2002 to deliver
safety products primarily to FAW-Volkswagen Jetta, Audi A6 and First Automotive
Works. Business has grown rapidly, and this year the company expects to reach
U.S. $50 million in sales and employ 170 people. In 2007, Autoliv's total sales
in China are expected to reach $380 million, an increase of 60% from 2006. In
addition, Autoliv's companies in China will this year export $70 million worth
of safety products to mainly Australia, Korea and Japan. 

In China, Autoliv has manufacturing facilities in the Shanghai area; one
seatbelt and airbag plant supplying both for domestic and export markets, and
one seatbelt webbing weaving plant as well as three recently opened plants for
safety electronics, airbag inflators and steering wheels. The three remaining
plants of the Company's nine facilities in China are producing seatbelts in
Changchun, Nanjing and Guangzhou, with Guangzhou plant primarily supplying to
Japanese vehicle manufacturers in China and Japan.

Vehicle production in China last year grew to 5.5 million and is expected to
double by 2012 to 11 million. In tandem, the safety content of many Chinese
vehicles are continuously being upgraded with airbags and more sophisticated
seatbelt technologies. 

Inquiries: 
Jan Carlson, President and CEO, Autoliv Inc. +46-8-587 20 600
Georg Chang, President Autoliv China.  +86-21-691 69699


Autoliv Inc., the worldwide leader in automotive safety systems, develops and
manufactures automotive safety systems for all major automotive manufacturers in
the world. Together with its joint ventures, Autoliv has 80 facilities with
approximately 42,000 employees in 28 vehicle-producing countries. In addition,
the Company has technical centers in twelve countries around the world,
including 21 test tracks, more than any other automotive safety supplier. Sales
in 2006 amounted to US $6.2 billion. The Company's shares are listed on the New
York Stock Exchange (NYSE: ALV) and its Swedish Depository Receipts on the OMX
Nordic Exchange in Stockholm (ALIV).