China Architectural Engineering Announces Nearly $16 Million in New Contracts and Significant Additions to Engineering Staff.

ZHUHAI, China & LOS ANGELES -- China Architectural Engineering Inc. (CAE) (NASDAQ: CAEI), a leader in the design, engineering, fabrication and installation of high-end building envelope systems, today announced a new round of contract awards valued at approximately $16 million. The Company also noted that it has made significant additions to its engineering staff to meet the increasing demands of its record and growing project backlog and pipeline, particularly from international markets.

These latest contract wins are for projects in CAE's domestic market of Mainland China. They include a fa[?]ade for the Hengze Tiancheng Podium Building in Dalian City as well as Phase 2 of the highly anticipated horseracing track in Wuhan City, the only city in China where betting on horses will be legalized by next year. CAE expects to recognize revenues from these two new projects from now until the end of the fourth quarter of 2009.

CAE Significantly Increases Engineering Staff in Response to Record Project Backlog and Pipeline Figures

The Company today also announced that it has hired more than 20 engineers during the third quarter of 2008 as its project volume continues to expand.

"The growth in our engineering capacity is directly related to a sharp rise in bidding activity and contracts awarded over the past year across all of our strategic target markets," said Ken Yi Luo, China Architectural Engineering's Chairman and CEO. "These new contracts we announced today offer the latest evidence that this upward trend in our business continues unabated, including in our own home market of Mainland China."

Mr. Luo continued, "The ongoing expansion of our engineering workforce is a direct result of our management team's confidence in our future growth expectations based primarily on the strong and record project backlog and pipeline we currently are bidding on. Further, despite the economic uncertainties that is affecting all our markets to some degree, builders and project managers, particularly in the Middle East, continue to demand for our services. Our ability to continue to grow is due to the superiority of our world-class design and engineering techniques and recognized experience," concluded Mr. Luo.

To be added to China Architectural Engineering's investor lists, please contact Haris Tajyar at [e-mail] or at 818-382-9702.

About China Architectural Engineering

China Architectural Engineering, Inc. (CAE) (NASDAQ: CAEI), which began operations in 1992, has maintained a leading position in the global commercial construction industry by providing timely, high-quality, reliable, fully integrated and cost-effective service solutions to its clients utilizing specialized technical expertise in the design, engineering, fabrication and construction of structural exterior cladding systems. It specializes in high-end curtain wall systems (including glass, stone & metal curtain walls), roofing systems, steel construction systems, eco-energy saving building conservation systems and related products, for public works and commercial real estate projects.

CAE has worked with world-renowned architects and building engineers from China and other countries and has completed over 100 large, complex and unique projects throughout China, Hong Kong, Macau, Australia and Southeast Asia, including numerous award-winning landmark buildings in many of Asia's major cities. It is now capitalizing on its industry-leading expertise by expanding aggressively beyond China into some of the most active construction markets in the world, including the Middle East, Central Asia, United States and Eastern Europe.

For further information on China Architectural Engineering, please visit www.caebuilding.com.

Forward-Looking Statements: In addition to historical information, the statements set forth above include forward-looking statements that may involve risk and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Such risks and uncertainties include, but are not limited to, uncertainty of contract negotiations and payments under existing contracts, the Company's dependence on government contracts, changes in the laws of the PRC that affect the Company's operations, fluctuation and unpredictability of costs related to the Company's products and services and the Company's dependence on the steel and aluminum markets. The forward-looking statements are also identified through use of the words "believe," "enable," "may," "will," "could," "intends," "estimate," "anticipate," "plan," "predict," "probable," "potential," "possible," "should," "continue," and other words of similar meaning. Actual results could differ materially from the expectations contained in forward-looking statements as a result of several factors, including regulatory approval requirements and competitive conditions. These and other factors that may result in differences are discussed in greater detail in the Company's reports and other filings with the Securities and Exchange Commission.