New Factory for ZAP Electric Car and Truck Near Completion in China

LING XIAN, China, Aug. 13, 2007 -- A factory near completion in the Shandong Province of China will have the capacity to produce up to 4,000 cars per month, according to a joint announcement from Shandong Jindalu Vehicle Company, Ltd. and California electric vehicle manufacturer ZAP (BULLETIN BOARD: ZAAP) .

Shandong Jindalu and ZAP are seeking to scale up production for their pioneering auto industry venture in China. The existing factory has the manufacturing capacity to produce up to 1,000 vehicles a month, but the modernized factory will help improve quality and efficiency with four times the output. Partnership officials say they have delivered more than 600 electric cars and trucks since they were introduced in June of 2006. A publicly owned company, ZAP reported that annual sales tripled in 2006 with the launch of its automotive marketing.

"Our research over the past 12 years tells us that new approaches to transportation like the XEBRA are possible. Scientists, climate and pollution data, the current political state of affairs, as well as the price of oil are telling us that we must change our ways. What is needed is real leadership. We are proud to be part of a true collaboration between the USA and China in the manufacturing, design and distribution of our first generation of ZAP cars," said ZAP Chairman Gary Starr.

Officials from Shandong Jindalu and ZAP are preparing to dedicate the new factory next month with the planting of trees delivered using zero-emission XEBRA trucks. The two companies joined in 2005 to create a strategic partnership between China and the USA that would design, manufacture and market vehicles that produce fewer carbon emissions. They signed a declaration to campaign against global warming with a pledge to plant one tree for every vehicle delivered. Learn more about the campaign at http://www.zaptrees.org/.

"The XEBRA will open the door for a full line of electric transportation," added Starr.

ZAP is marketing the XEBRA electric sedan and pickup through a global distribution network of auto distributors, dealers and service centers. The XEBRA is a unique 'city-car' designed to provide a gas-free alternative for commuters, multi-car families, businesses and government fleets. For a price of about $10,000, the XEBRA can drive all over town at speeds up to 40 MPH with a range up to 40 miles per charge. It recharges in three to six hours at normal 110 or 220-volt outlets for a cost of 1-3 cents per mile. The XEBRA comes in an array of bright colors with options like a solar panel and zebra stripes. Schedule a test drive at a dealer near you by visiting http://www.zapworld.com/.

About ZAP

ZAP has been a leader in advanced transportation technologies since 1994, delivering over 100,000 vehicles to consumers in more than 75 countries. At the forefront of fuel-efficient transportation with new technologies including energy efficient gas systems, hydrogen, electric, fuel cell, ethanol, hybrid and other innovative power systems, ZAP is developing a high-performance crossover SUV electric car concept called ZAP-X engineered by Lotus Engineering. The Company recently launched a new portable energy technology that manages power for mobile electronics from cell phones to laptops. For product, dealer, and investor information, visit http://www.zapworld.com/.