China Gerui Advanced Materials Group Limited Announces Introduction of a New Laminated Steel Processing Line

 China Gerui Advanced Materials Group Limited Announces Introduction of a New
                       Laminated Steel Processing Line

PR Newswire

ZHENGZHOU, China, Jan. 29, 2013

ZHENGZHOU, China, Jan. 29, 2013 /PRNewswire-FirstCall/ -- China Gerui Advanced
Materials Group Limited (NASDAQ: CHOP) ("China Gerui," or the "Company"), a
leading high precision, cold-rolled steel producer in China, today announced
the introduction of a new laminated steel processing line at its existing
production facilities in Zhengzhou, China. The new laminated steel processing
production line is estimated to be completed, tested and to begin commercial
production in the second quarter of 2013.

"With the addition of the new laminated steel production line, we are
broadening our product mix by providing a value-added, high-margin,
cold-rolled steel product," said Mr. Mingwang Lu, Chairman and Chief Executive
Officer of the Company. "This new capability is consistent with our strategy
to broaden our product offerings and enhance our competitive profile in order
to reach more customers with an expanded range of end-use products and
materials."

Mr. Lu continued, "We are looking to migrate further up the specialized
cold-rolled steel sector value chain with this new specialized steel material
and will continue to work on additional product initiatives that involve
technologies and end-use applications that appeal to both existing and new
customers. We believe that the new laminated steel production line will
further solidify our competitive edge as a leading specialized cold-rolled
steel materials producer in China."

The new laminated production line will utilize the Company's cold-rolled steel
as a raw material to produce a specialized steel material that will be
primarily marketed to the industries of food and beverage packaging,
electrical appliances, and construction and decoration. These markets are
expected to experience continued growth stimulated by rising domestic
consumption within the next few years. The new laminated production line is
designed to produce up to 30,000 tons per year of laminated steel sheets,
although there is room for further capacity expansion pending market demand.

Historically, China's domestic food and beverage industry has relied heavily
on imported food-grade metal packing materials. Thus, China's 15^th five-year
plan encourages domestic development and production of toxic-free,
environmentally-friendly, food-grade packing materials. China Gerui's growth
strategy of replacing imports with precision, high-end cold-rolled steel
products is consistent with the government's goals.

The laminating process requires a strictly controlled manufacturing process to
achieve strong adhesion between the laminating film and the cold-rolled steel
sheet. The Company expects to produce a highly stable, adaptable and top
quality product using the latest quality control instruments under a
high-level clean room environment. China Gerui has adopted the advanced
technology in this new production line, which also includes standards and
guidelines that ensure environmentally-friendly production processes.

About China Gerui Advanced Materials Group Limited

China Gerui Advanced Materials Group Limited is a leading niche and high
value-added steel processing company in China. The Company produces high-end,
high-precision, ultra-thin, high- strength, cold-rolled steel products that
are characterized by stringent performance and specification requirements that
mandate a high degree of manufacturing and engineering expertise. China
Gerui's products are not standardized commodity products. Instead, they are
tailored to customers' requirements and subsequently incorporated into
products manufactured for various applications. The Company sells its products
to domestic Chinese customers in a diverse range of industries, including the
food and industrial packaging, construction and household decorations
materials, electrical appliances, and telecommunications wires and cables. For
more information, please visit http://www.geruigroup.com.

Safe Harbor Statement

Certain of the statements made in this press release are "forward-looking
statements" within the meaning and protections of Section 27A of the
Securities Act of 1933, as amended and Section 21E of the Securities Exchange
Act of 1934, as amended, or the Exchange Act. Forward-looking statements
include statements with respect to our beliefs, plans, objectives, goals,
expectations, anticipations, assumptions, estimates, intentions, and future
performance, and involve known and unknown risks, uncertainties and other
factors, which may be beyond our control, and which may cause the actual
results, performance, capital, ownership or achievements of the Company to be
materially different from future results, performance or achievements
expressed or implied by such forward-looking statements. All statements other
than statements of historical fact are statements that could be
forward-looking statements. You can identify these forward-looking statements
through our use of words such as "may," "will," "anticipate," "assume,"
"should," "indicate," "would," "believe," "contemplate," "expect," "estimate,"
"continue," "plan," "point to," "project," "could," "intend," "target" and
other similar words and expressions of the future.

All written or oral forward-looking statements attributable to us are
expressly qualified in their entirety by this cautionary notice, including,
without limitation, those risks and uncertainties described in our annual
report on Form 20-F for the year ended December 31, 2011 and otherwise in our
SEC reports and filings. Such reports are available upon request from the
Company, or on the SEC's Internet website at http://www.sec.gov. We have no
obligation and do not undertake to update, revise or correct any of the
forward-looking statements after the date hereof, or after the respective
dates on which any such statements otherwise are made.

Company Contact:         Investor Relations
                         Contacts:
Email:                   Vivian Chen              Kevin Theiss
investors@geruigroup.com
Website:                 Managing Director        Account Director
www.geruigroup.com
                         Grayling                 Grayling
                         Phone: 646-284-9427      Phone: 646-284-9409
                         Email:                   Email:
                         vivian.chen@grayling.com kevin.theiss@grayling.com

SOURCE China Gerui Advanced Materials Group Limited

Website: http://www.geruigroup.com
 
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