China Pharma Holdings, Inc. Projects Clear Improvements in Operating Cash Flow for the 3rd Quarter 2008 and Indicates Readiness for Upgrading to AMEX

NEW YORK and HAIKOU CITY, China, Sept. 22 /Xinhua-PRNewswire-FirstCall/ --

China Pharma Holdings, Inc. (“China Pharma”) (OTC Bulletin Board: CPHI) which develops, manufactures, and markets specialty pharmaceutical products in China, announced today that it projects a clearly improved Operating Cash Flow for the 3rd Quarter 2008. In addition, the company has already completed all preparations for transferring to the AMEX and as soon as the share price reaches the basic requirement, the company will submit the application to transfer to the AMEX.

China Pharma’s President and CEO, Ms Zhilin Li, said, “According to the performance of sales and collection in the third quarter, the company management’s strategies on sales promotion and collection seem to have had effect. Both our sales growth rate as well as the accounts receivable collection rate have improved. The company estimates that the operating cash flow in the third quarter could achieve clear improvement and turn to positive.

“In addition, the company has finished every preparation for upgrading to the AMEX. As soon as the company’s share price reaches the basic requirement for AMEX we will immediately submit our application to transfer to the AMEX.”

About China Pharma Holdings, Inc.

China Pharma Holdings, Inc., develops, manufactures, and markets specialty pharmaceutical products in China that treat a wide range of conditions, including cardiovascular and CNS diseases, infections, digestive diseases and other prevalent diseases. China Pharma Holdings Inc., is registered in Delaware, USA. Hainan Helpson Bio-pharmaceutical Co., Ltd (Helpson), located in Haikou City, Hainan Province, China, is a wholly owned subsidiary of China Pharma Holdings, Inc. For more information about China Pharma Holdings, Inc., please visit http://www.chinapharmaholdings.com .

Safe Harbor Statement:

Certain statements in this press release and oral statements made by China Pharma on its conference call in relation to this release, constitute

forward-looking statements for purposes of the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. Any statements set forth above that are not historical facts are forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements, which may include, but are not limited to, such factors as unanticipated changes in product demand, increased competition, failure to obtain or maintain intellectual property protection, downturns in the Chinese economy, uncompetitive levels of research and development, failure to obtain regulatory approvals, and other information detailed from time to time in the Company’s filings and future filings with the United States Securities and Exchange Commission. The forward-looking statements made herein speak only as of the date of this press release and the Company undertakes no duty to update any forward-looking statement to conform the statement to actual results or changes in the company’s expectations.

For more information, please contact:

China Pharma Holdings, Inc.

Diana Huang

Tel: +86-898-6681-1730

Email: hps@chinapharmaholdings.com