China Biologic subsidiary Shandong Taibang receives approval to build two new plasma stations

China Biologic Products, Inc. (Nasdaq: CBPO) ("China Biologic," or the "Company"), a leading plasma-based biopharmaceutical company in China, today announced that its majority-owned subsidiary, Shandong Taibang Biological Products Co. Ltd. ("Shandong Taibang"), has been approved by the Shandong Province Health Department to build two new plasma stations.

"This approval is a major milestone for the Company, providing a unique opportunity to expand our plasma collection capacity to meet the significant market demand in China," said Mr. Chao Ming Zhao, China Biologic's Chief Executive Officer. "We are proud to receive the first Shandong provincial government approval for new plasma station construction since privatization of the industry in 2006. We hope to complete the two new stations by the end of this year."

The Company estimates capital expenditure during 2010 for the two sites will be between RMB 16 - 20 million (approximately, $2.4 - 2.8 million). Once the new stations are operational, China Biologic will own seven of the eight plasma collection stations in Shandong province, and 18 total plasma collection stations nationwide, with up to 660 metric tons of plasma collection capacity.

China Biologic will build its two new plasma collection stations in Yishui and Ningyang counties, which have a combined population of nearly two million. Both counties are economically underdeveloped regions that with the appropriate promotional programs, marketing efforts and nutritional supplement fees, may offer reliable sources of plasma donors over time. The construction of the new stations will also provide the Company with the opportunity to invest in the commercial vitality of these counties through job creation in the construction and healthcare sectors. Construction of the new stations will commence once final site selection is completed. Management hopes to receive approval to begin commercial plasma collection by the end of 2010.

"We expect the two new plasma stations to expand our overall collection capacity by up to 80 metric tons, or 14%, over the next few years," added Mr. Zhao. "With the additional plasma supply and the advancement of our product pipeline, we believe that we are well positioned to increase our market share in China."