ZAP Signs Electric Car Joint Venture with China's Largest Luxury Bus Manufacturer

ZAP Signs Electric Car Joint Venture with China's Largest Luxury Bus Manufacturer

September 21, 2007

Youngman Auto Group to Make Electric and Hybrid Cars,
Trucks and Buses for Joint Venture


    JINHUA CITY, China and SANTA ROSA, Calif., Sept. 21
/PRNewswire/ -- In a joint statement released today, USA
electric car pioneer ZAP (OTC Bulletin Board: ZAAP) and
Youngman Automotive Group, China's number one luxury motor
coach and high-quality commercial truck manufacturer, have
signed a joint venture agreement to manufacture, market and
distribute electric and hybrid vehicles for the passenger
car, truck and bus markets. The new joint venture company
will also focus on the development and manufacturing of
electric charging infrastructure.

    ( Logo: 
http://www.newscom.com/cgi-bin/prnh/20070130/SFTU060LOGO )
    ( Photo: 
http://www.newscom.com/cgi-bin/prnh/20070921/AQF035 )

    Youngman Automotive Group is a private holding company
with 12 subsidiaries. Youngman's partnership with Germany's
NEOPLAN controls more than 70 percent of the luxury motor
coach market in China. Youngman is the supplier to NEOPLAN
and MAN, two of Europe's top brands for luxury motor
coaches and high-quality commercial trucking. Over the past
few years Youngman has also expanded sales in Asia
(Singapore, Hong Kong, Japan and Malaysia), The Middle
East, Europe and the USA, enjoying significant market
growth.

    In 2004, with the support of the Chinese government,
Youngman was awarded a license to manufacture automobiles.
Earlier this year Youngman made auto industry headlines by
awarding Lotus Engineering a number of vehicle development
projects, and more recently by signing a vehicle
distribution and technology licensing agreement with Proton
(the Malaysian national car company), estimated to be worth
several billion US dollars. The strategic partnership with
ZAP will allow the joint venture company to bring highway
capable electric and hybrid vehicles to the market like the
ZAP-X crossover SUV.

    "There are many good manufacturers out there, but
to be a great manufacturer we need to do something that can
change the world," said Youngman Chairman Pang
Qingnian. "I have built Youngman group based upon
three key principles: quality product, technology and
brand. With our current product line-up and our commitment
to quality, I believe we can provide a viable electric
alternative to the world. Through the integration of
currently available technologies and renewable energy, I
believe we can take a leadership position and play a
significant part in providing a better alternative."

    "This is the most significant relationship that
ZAP has ever entered into," said ZAP CEO Steve
Schneider. "This joint venture will provide a platform
for both ZAP and Youngman to focus each other's strengths to
develop solutions that have the potential to transform the
industry. Our energy will not stop at the vehicle
engineering level. Using renewable energy to provide a cost
effective recharging infrastructure to customers, we can
change the world, one vehicle at a time," said ZAP CEO
Steve Schneider.

    "I applaud ZAP and Youngman for bringing the next
generation of mass-produced electric vehicles to
California. Our state is leading the nation and world in
opening the market for alternative fuel vehicles and this
move is another example of bringing high-quality,
high-paying jobs to California," said Governor
Schwarzenegger.

    Youngman's portfolio of products includes luxury motor
coaches, inter-urbans, city and airport buses as well as
premium commercial trucks for long distance, local
distribution, heavy-duty building and special services.
Youngman manufactures its motor coaches and trucking at a
million square foot factory in Jinhua. Youngman is building
new factories in Shandong province with the backing of the
Chinese government to expand its automotive manufacturing
capacity.

    About Youngman Automotive Group Co., Ltd.

    -- Based in Jinhua City, Zhejiang, China
    -- Controls 70 percent of the luxury motor coach
market
    -- 1 million square foot manufacturing facility in
Jinhua
    -- 4,000 employees, 700 R&D staff
    -- 7 new vehicle factories under development
    -- With new production facilities, capacity to produce
200,000 vehicles 
       per year
    -- July 2007 -- Youngman signed contract with
Malaysia's Proton
    -- View images from signing ceremony in Jinhua at URL
below: 
      
http://www.flickr.com/photos/11374805@N00/sets/72157602076760320/show/


    About ZAP

    -- Based in Santa Rosa, California, USA
    -- Marketed and sold 100,000 electric vehicles since
1994
    -- Distributes electric scooters, ATVs, motorcycles,
cars, trucks 
       worldwide
    -- Completed a feasibility study in May 2007 with Lotus
Engineering to 
       develop a new generation of commercially viable
electric vehicles.
    -- This month signed distribution agreement with
Chile's largest power 
       company
    -- Website: http://www.zapworld.com 

    New Joint Venture

    -- The joint venture will develop, produce, market and
sell electric and 
       hybrid vehicles, as well as develop battery and
energy recharging 
       infrastructure components and technology
    -- Vehicle models include buses, trucks and passenger
vehicles
    -- Youngman will manufacture vehicles and other
components for the joint 
       venture
    -- ZAP will manage the sales, marketing and
distribution of the joint 
       venture products

    Forward-looking statements in this release are made
pursuant to the "safe harbor" provisions of the
Private Securities Litigation Reform Act of 1995. Investors
are cautioned that such forward-looking statements involve
risks and uncertainties, including, without limitation,
continued acceptance of the Company's products, increased
levels of competition for the Company, new products and
technological changes, the Company's dependence upon
third-party suppliers, intellectual property rights, and
other risks detailed from time to time in the Company's
periodic reports filed with the Securities and Exchange
Commission.



    For more information, please contact:

     Alex Campbell
     Tel:   [phone] x241
     Email: [e-mail]

     Rachel Pang Caiping, Director
     China Youngman Automobile Group Co. Ltd. 
     Tel:   [phone]