(Archived) Praxair China Signs Supply Agreement with SMIC

Arrangement Provides Ultrahigh-Purity Gases and New Gas Production Facility to SMIC (Beijing) in Beijing Economic-Technological Development Area

Shanghai, China, November. 24, 2003 — Praxair China Investment Co., Ltd., a subsidiary of Praxair Inc., (NYSE: PX), has signed an industrial gases supply contract with Semiconductor Manufacturing International (Beijing) Corporation (SMIC).

According to the contract, Praxair China will supply nitrogen, oxygen, argon, hydrogen, helium and compressed air to SMIC’s new 300 mm semiconductor wafer fab under construction at Beijing Economic-Technological Development Area (BDA) in Beijing, China.

A multi-product bulk gas production and supply facility will be built in BDA, including an air separation plant for the supply of bulk gases primarily to SMIC (Beijing). The plant will also produce liquid oxygen, nitrogen, and argon for the local Beijing market. The facility is expected to be fully operational in the first quarter of 2005.

"SMIC is on track to become one of the leading foundries of 8- and 12-inch wafers in China and we are committed to helping them meet the growing market demands for their products,” said Jay Cheng, president of Praxair China. “This agreement expands the successful relationship between Praxair and SMIC in Shanghai, where Praxair supplies industrial gases to SMIC’s semiconductor wafer fabs at the Zhangjiang High-Tech Park.”

About SMIC

As one of China's most advanced foundries, SMIC provides IC manufacturing at 0.35-micron down to 0.18-micron and finer line technologies. Established in April 2000, SMIC has three 8-inch fabs in volume production in Shanghai and a 12-inch facility currently under construction in Beijing. It is also in the process of acquiring an 8-inch fab in Tianjin. In May 2003, SMIC's Fab1 was named one of two "Top Fabs of the Year 2003" by Semiconductor International magazine, a leading industry publication. For more information, please visit www.smics.com. (Note: this is a Chinese language site only.)

Praxair is the largest industrial gases company in North and South America, and one of the largest worldwide, with 2002 sales of $5.1 billion. The company produces, sells and distributes atmospheric and process gases, and high-performance surface coatings. Praxair products, services and technologies bring productivity and environmental benefits to a wide variety of industries, including aerospace, chemicals, food and beverage, electronics, energy, healthcare, manufacturing, metals and others. More information on Praxair is available on the Internet at www.praxair.com.