Beijing  [2004-06-02]

Beijing, China―June 2, 2004 -- Semiconductor Manufacturing International Corporation (SMIC; NYSE: SMI and HKSE: 981), one of the leading semiconductor foundries in the world, received its first 12-inch semiconductor manufacturing equipment today. The equipment will be installed in SMIC’s Fab 4, a 12-inch fab located in Beijing, China.

SMIC’s Fab 4 is located at Beijing Economic-Technological Development Area and will be the first 12-inch semiconductor fab in China when it commences production, which is currently scheduled for the second half of 2004.

“SMIC is pleased to be ramping up its 12- inch fab to serve the needs of leading semiconductor players such as Infineon and Elpida. The equipment move-in at Fab 4 demonstrates SMIC’s ability to compete in the global semiconductor market by providing our customers with the most advanced foundry services currently offered in the world. We will continue to build up a strong base of customers for Fab 4 and diversify our offerings to include advanced logic production, as successfully demonstrated in our fabs in Shanghai,” said Mr. Marco Mora, Chief Operating Officer of SMIC.

“At the same time, SMIC will continue to exercise caution in expanding its 12-inch production, ramping up only when there are customer and market demands,” he added. Fab 4’s planned capacity is 45,000 wafers per month (in 8-inch equivalent wafers) by the end of 2005.


About SMIC
SMIC is one of the leading semiconductor foundries in the world. As a foundry, SMIC provides integrated circuit (IC) manufacturing at 0.35-micron to 0.13-micron technologies. Established in April 2000, SMIC, a Cayman Islands company, operates three 8-inch wafer fabrication facilities in the Zhangjiang High-Tech Park in Shanghai, and an 8-inch wafer fabrication facility in Tianjin, China. In addition, SMIC is currently constructing 12-inch wafer fabrication facilities in Beijing, China. SMIC's Fab 1 was named one of two "Top Fabs of the Year 2003" by Semiconductor International, a leading industry publication in May 2003. In addition to IC manufacturing, SMIC provides customers with a full range of services, including design services, mask manufacturing and wafer probe test. For more information, please visit www.smics.com.

SMIC Contact:
Sarina Huang
Public Relations Department
Tel: 86 21 5080 2000 EXT10356
Fax: 86 21 5080 2868