Aichi, Japan, September 21, 2004 – Toyoda Gosei Co., Ltd. announced today the establishment of a new subsidiary in Vietnam. Toyoda Gosei Haiphong Co., Ltd. (TGHP) will manufacture bags for airbag modules at a production facility in Nomura Haiphong Industrial Park in Haiphong City, in the northern region of Vietnam. TGHP’s operation will significantly enhance Toyoda Gosei’s production capacity, ensuring a stable bag supply so that the company’s global airbag module production business can meet future anticipated demand while enhancing cost competitiveness. Principal shareholders are Toyoda Gosei (95%) and Toyota Tsusho (5%). Start-up capital of 17 million US dollars (approximately 1.8 billion yen) has been committed. Four executives have been appointed to the board of directors. Construction will soon start on a 20,000 m² plant (on a 54,000 m² site) scheduled to commence operation in October 2005. The plant will initially employ approximately 300 employees, and this number is expected to grow to 1,200 by 2007. The plant has a first-year sales target of 250 million yen, and sales are forecasted to reach 8 billion yen by 2007.