SINOVAC BIOTECH LTD. COMPLETES THE ACQUISITION OF AN ADDITIONAL 20.56% OF ------------------------------------------------------------------------- SINOVAC (BEIJING) OPERATING SUBSIDIARY ---------------------------------

SINOVAC BIOTECH 6K, PRESS RELEASE, 02.09.05

SINOVAC BIOTECH LTD. COMPLETES THE ACQUISITION OF AN ADDITIONAL 20.56% OF

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SINOVAC (BEIJING) OPERATING SUBSIDIARY

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BEIJING, February 9, 2004 - Sinovac Biotech Ltd. ("Sinovac") ("the Company")

(AMEX - SVA) announces that as of February 4th 2005 it has completed the

acquisition of an additional 20.56% of its Beijing-based operating subsidiary,

Sinovac Biotech Co., Ltd. ("Sinovac (Beijing)") for approximately US $3,310,000.

Sinovac's intention to make this purchase was previously announced on December

Sinovac's holdings now include nearly 72% of Sinovac (Beijing) and 100% of the

Tangshan Yian R&D and production facility. The Tangshan Yian facility was

acquired by Sinovac in February 2004 and is now a 100% owned subsidiary. China

Bioway Biotech Group ("China Bioway"), a subsidiary of Beijing University, owns

the remaining 28% of Sinovac (Beijing).

Per the purchase agreement, Sinovac paid cash for the 20.56% of Sinovac

(Beijing), to the following companies: acquired 9.73% of from China Bioway

Biotech Group Co., Ltd. for US$1,570,000; acquired 7.92% from Shenzhen Bio-Port

Co., Ltd. for US$1,270,000; and acquired 2.91% from Beijing Keding Co., Ltd. for

Dr. Wei Dong Yin, president of Sinovac, commented, "We are delighted to have

increased the ownership of Sinovac in its key Beijing operating subsidiary to

almost 72%. If possible, we will endeavour to purchase further interests from

China Bioway at an attractive valuation as we continue to implement our business

strategy and to further set the foundation for building value for Sinovac public

company shareholders. Beyond the increased interest in Sinovac (Beijing) and the

Tangshan Yian acquisition, Sinovac is looking for and evaluating potential

synergistic and accretive acquisition targets in the vaccine industry that

complement Sinovac's current vaccine portfolio."

About Sinovac Biotech Ltd.

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Sinovac Biotech Ltd. specializes in the research, development,

commercialization, and sales of human vaccines for infectious illnesses such as

hepatitis A and hepatitis B, influenza, SARS, and avian flu. Sinovac is one of

the leading emerging biotechnology companies in China.

Sinovac now has two vaccines fully approved for sale in China - Healive(TM) for

Hepatitis A and Bilive(TM) for Hepatitis A&B combined. The Hepatitis A vaccine,

Healive(TM), is currently experiencing strong sales growth in China. Sinovac's

Hepatitis A&B combined vaccine, Bilive(TM), has just received approval to

commence sales in China and is expected to achieve similar sales growth to

Healive(TM). The Company's flu vaccine completed clinical trials in April 2004

and a New Drug Application has been filed with the Chinese FDA (SFDA). Approval

of Sinovac's flu vaccine is expected in 2005 upon completion of a new flu

vaccine production line.

Sinovac currently leads the world in the development of a human vaccine to

prevent SARS. Preliminary Phase I clinical trial results show that this SARS

vaccine is safe and induces SARS-neutralizing antibodies in the human body. In

addition, the Company is co-developing a human vaccine targeting the avian flu

virus in partnership with China CDC.

For further information please refer to the Company's filings with the SEC on

EDGAR or refer to Sinovac's website at www.sinovac.com.

If you would like to receive regular updates on Sinovac please send your email

request to info@sinovac.com.

Contact: Investor Relations at (888) 888-8312 or 1 604 684-5990 from outside of

North America or info@sinovac.com

THIS NEWS RELEASE MAY INCLUDE FORWARD-LOOKING STATEMENTS WITHIN THE MEANING OF

SECTION 27A OF THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED, AND SECTION

21E OF THE UNITED STATES SECURITIES AND EXCHANGE ACT OF 1934, AS AMENDED, WITH

RESPECT TO ACHIEVING CORPORATE OBJECTIVES, DEVELOPING ADDITIONAL PROJECT

INTERESTS, SINOVAC'S ANALYSIS OF OPPORTUNITIES IN THE ACQUISITION AND

DEVELOPMENT OF VARIOUS PROJECT INTERESTS AND CERTAIN OTHER MATTERS. THESE

STATEMENTS ARE MADE UNDER THE "SAFE HARBOR" PROVISIONS OF THE UNITED STATES

PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 AND INVOLVE RISKS AND

UNCERTAINTIES WHICH COULD CAUSE ACTUAL RESULTS TO DIFFER MATERIALLY FROM THOSE

IN THE FORWARD-LOOKING STATEMENTS CONTAINED HEREIN.