China Shengda Packaging Announces Receipt of Chairman's Non-Binding "Going Private" Proposal of $1.40 per Share

China Shengda Packaging Group Inc.

("China Shengda Packaging" or the "Company"), a leading Chinese paper packaging manufacturer, today announced that that its Board of Directors has received a preliminary, non-binding proposal (the "Proposal") from its Chairman, Mr. Nengbin Fang ("Mr. Fang"), in which Mr. Fang has offered to acquire all of the outstanding shares of the Company's common stock he and his family currently do not own in a going-private transaction at a proposed price of $1.40 per share to be paid in cash. According to the Proposal, Mr. Fang intends to fund the acquisition with a combination of debt and equity financing. Currently, Mr. Fang and his family collectively beneficially own approximately 54.03% of the Company's common stock. A copy of the proposal letter is attached as Exhibit A.