11th March 2008 - BorgWarner Doubles Dual-Clutch Production Facility in Germany

Over 1 Million DualTronic(R) Systems Already Built in Arnstadt

With demand for its dual-clutch transmission modules (known as DualTronic(R)) expected to increase 500% by 2013, BorgWarner has opened its second manufacturing facility at its Drivetrain campus in Arnstadt, Germany. The new facility will double the manufacturing area of the current site to over 107,000 square feet (10,000 square meters) and create 150 jobs by 2010. In addition, a new vehicle lab and test track with tight curves, steeply graded hills and sharp exits has been constructed for on-site evaluation of series- production technologies.

"The dramatic worldwide growth in dual-clutch transmissions continues to be very positive," said Dr. Bernd Matthes, President and General Manager, BorgWarner Transmission Systems. "Now that new applications across the world are going into high-volume production, more and more customers are discovering the fuel-saving potential and improved performance of BorgWarner's impressive transmission technology."

During the opening ceremonies, BorgWarner executives hosted auto industry leaders and local government officials including Prime Minister of the Free State of Thuringia, Dieter Althaus; Head of the Regional District Ilmkreis, Dr. Benno Kaufhold and others. They joined BorgWarner executives for an inaugural tour, test drives on the new test track, technical presentations, and displays of Volkswagen and Audi vehicles featuring DualTronic systems.

Over one million DualTronic systems have been built in Arnstadt since the first plant opened four years ago. During the next few years, the company plans to invest nearly euro 26 million to expand the site.

BorgWarner has led the globalization of dual-clutch transmission technology for ten years with awarded business in Europe, North America and Asia, including programs with VW, Audi, Bugatti, SAIC, Nissan and Getrag programs with five global automakers. At full-launch of announced programs, BorgWarner expects to be providing its innovative DualTronic technology to an expected 2.3 million dual-clutch transmissions per year.

BorgWarner's family of DualTronic transmission technology combines the efficiency of a manual gearbox with the functionality of a fully automatic transmission, delivering seamless powerflow, improved fuel efficiency, and a fun-to-drive experience. Global manufacturing capacity for BorgWarner dual- clutch transmission modules is supported by its facilities in the United States, Germany, France and China, and a new facility in Mexico.

Auburn Hills, Michigan-based BorgWarner Inc. is a product leader in highly engineered components and systems for vehicle powertrain applications worldwide. The FORTUNE 500 company operates manufacturing and technical facilities in 64 locations in 17 countries. Customers include VW/Audi, Ford, Toyota, Renault/Nissan, General Motors, Hyundai/Kia, Daimler, Chrysler, Fiat, BMW, Honda, John Deere, PSA, and MAN. The Internet address for BorgWarner is: www.borgwarner.com