Auburn Hills, Michigan, July 11, 2005 – BorgWarner has begun production of turbochargers for Hyundai/Kia Motor Company, Korea as part of its continuing expansion in the Asian market.The first products to be manufactured are BV43 turbocharger systems with variable turbine geometry (VTG).The systems are produced at BorgWarner’s Korean joint venture company, SeohanWarner Turbo Systems, for the new Kia Sorento 2.5 CRDI VTG diesel engine.The engine initially will be available only in Korea.

"In earning the business to supply turbochargers to Hyundai Motor Company, we have made a decisive step toward serving the Korean market," said Lee Wilson, President and General Manager, BorgWarner Turbo Systems.

The BV43 represents the latest in VTG turbocharger technology from BorgWarner, and offers improved thermodynamics and optimized control behaviour while at the same time ensuring much higher reliability than the previous VTG product.

BorgWarner Turbo Systems is a leading designer and manufacturer of turbochargers for the passenger car and commercial vehicle markets.

Auburn Hills, Michigan-based BorgWarner Inc. (NYSE: BWA) is a product leader in highly engineered components and systems for vehicle powertrain applications worldwide.The company operates manufacturing and technical facilities in 62 locations in 17 countries.Customers include Ford, DaimlerChrysler, General Motors, VW/Audi, Toyota, Hyundai/Kia, Renault/Nissan, Honda, Caterpillar, Navistar International, Peugeot, and BMW.The Internet address for BorgWarner is: http://www.borgwarner.com.

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Statements contained in this news release may contain forward-looking statements as contemplated by the 1995 Private Securities Litigation Reform Act that are based on management's current expectations, estimates and projections.Words such as "expects," "anticipates," "intends," "plans," "believes," "estimates," variations of such words and similar expressions are intended to identify such forward-looking statements.Forward-looking statements are subject to risks and uncertainties, many of which are difficult to predict and generally beyond the control of the Company, that could cause actual results to differ materially from those expressed, projected or implied in or by the forward-looking statements.Such risks and uncertainties include:fluctuations in domestic or foreign automotive production, the continued use of outside suppliers by original equipment manufacturers, fluctuations in demand for vehicles containing the Company's products, general economic conditions, as well as other risks detailed in the Company's filings with the Securities and Exchange Commission, including the Cautionary Statements filed as Exhibit 99.1 to the Form 10-K for the fiscal year ended December 31, 2004.The Company does not undertake any obligation to update any forward-looking statement.

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