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TAMG Signs Joint Venture Agreement with Zhongda Industrial Group

Transnational Automotive Group, Inc. (OTCBB: TAMG), today announced that it has signed a joint venture agreement with Zhongda Industrial Group in China for joint ownership and operation of a bus and automotive manufacturing facility in Shanghai.

Under the terms of the agreement, TAMG and Zhongda will jointly own and operate the Shanghai Guanghui Passenger Bus Company, with each possessing 50% of the company. In addition to manufacturing buses for China and the international market, the joint venture company will be responsible for international sales and marketing all of the Zhongda Industrial Group's products; including buses, recreation vehicles, steel buildings, automotive equipment and tools, and automotive paint booths. The JV company also plans to integrate TAMG automotive technologies into Zonda Buses (a subsidiary of Zhongda Industrial Group) and other local automotive marks in anticipation of their sale in China.

In addition to owning 50% of the JV company, TAMG will manage its operations, sales, management, and administration. The JV company will continue to be based in Shanghai, but will undergo a name change and move into a new, 7-building office and manufacturing complex currently under construction and scheduled for completion in December 2006. The new complex will have over 100,000 square feet of manufacturing and office space and sits on approximately 8 acres of land in Shanghai.

"We are pleased to join hands with Zhongda and represent them in the international market," stated TAMG Chairman and CEO Joseph W Parker. "Their products are well suited for most of the global marketplace. This is also an opportunity to introduce TAMG's expertise through Zhongda into the China market."

Mr. Jim Xu, President of Zhongda Industrial Group, agrees. "TAMG's international marketing expertise is just what Zhongda needs to expand globally, and their automotive technologies could help us gain market advantage here in China. This is Zhongda's first joint venture with an American company, and to the best of my knowledge no other American company has a bus manufacturing license in China."

The Shanghai Guanghui Passenger Bus Company is one of 5 bus manufacturing companies currently owned by Zhongda Industrial Group. Last year Zhongda sold 300 buses on the international market and 2700 buses in the China market. 2005 revenues for the entire Zhongda Industrial Group was approximately US$250,000,000; of which approximately $125,000,000 came from bus sales.

Transnational Automotive Group (OTCBB: TAMG), a Nevada corporation, is a transportation management, sales and manufacturing company. Our vision is to become a leading provider of transportation management and vehicle sales in the developing world. Headquartered in Seattle, WA, TAMG has been established through key acquisitions of leading transportation and automotive businesses.

This news release contains certain "Forward-Looking Statement" within the meaning of Section 21E of the United States Security Exchange Act of 1934. All statements, other than of historical fact, included herein are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents files from time to time with the Securities Exchange Commission.