CHINA DIRECT INDUSTRIES, INC. COMPLETES PURCHASES OF A TOTAL OF 1,589,502 SHARES OF ITS COMMON STOCK

Deerfield Beach, FL - February 10, 2009 - China Direct, Inc., d/b/a China Direct Industries, Inc. (NASDAQ: CDII), a U.S. company that manages a portfolio of Chinese entities, announced today it has purchased a total of 1,589,502 shares of its common stock through its share buyback plan approved by its Board on September 10, 2008 and its reverse/forward split completed in the fourth quarter of 2008.  The shares purchased by China Direct Industries, both in a private transaction and in the open market, accounted for approximately 6.3% of its total outstanding shares of the company, at an average price of approximately $1.32 per share, totaling approximately $2.1 million. The repurchased shares will be cancelled. Additionally, in a private transaction unrelated to the purchases made by the company, Yuwei Huang, Executive Vice President of the company’s magnesium operations and a director of the company purchased 500,000 shares of the company’s common stock.

Commenting on the buyback, Dr. James Wang, Chairman and CEO of China Direct Industries stated “As we are steadfast in our belief in the value of our company and the future of China Direct Industries, we have purchased and cancelled these shares.  We are further encouraged by the demonstration of that same belief by Mr. Huang, Chairman of our Chang Magnesium subsidiary through his investment in the future of our company.”

About China Direct, Inc. d/b/a China Direct Industries, Inc.

China Direct, Inc., d/b/a China Direct Industries, Inc. (NASDAQ: CDII), is a U.S. owned, rapidly growing holding company operating in China in two core business segments, pure magnesium production and distribution and distribution of basic material production in China.  The Company also provides advisory services to China based companies in competing in the global economy.  Headquartered in Deerfield Beach, Florida, China Direct operates 10 subsidiaries throughout China. This infrastructure creates a platform to expand business opportunities globally while effectively and efficiently accessing the U.S. capital markets. For more information about China Direct, please visit http://www.cdii.net. .

Contact Information:

China Direct Industries, Inc.

Richard Galterio or Lillian Wong Phone: 954-363-7333

Email: rgalterio@cdii.net 

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DISCLOSURE NOTICE:  

In connection with the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, China Direct Industries, Inc., is hereby providing cautionary statements identifying important factors that could cause our actual results to differ materially from those projected in forward-looking statements (as defined in such act). Any statements that are not historical facts and that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions or future events or performance (often, but not always, indicated through the use of words or phrases such as “will likely result,” “are expected to,” “will continue,” “is anticipated,” “estimated,” “intends,” “plans,” “believes” and “projects”) may be forward-looking and may involve estimates and uncertainties which could cause actual results to differ materially from those expressed in the forward-looking statements. These statements include, but are not limited to, our expectations about our future success, the success of financing, and our ability to identify and close acquisitions of operating companies in China in a cost effective manner that enhance our financial condition.  We caution that the factors described herein could cause actual results to differ materially from those expressed in any forward-looking statements we make and that investors should not place undue reliance on any such forward-looking statements. Further, any forward-looking statement speaks only as of the date on which such statement is made, and we undertake no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made or to reflect the occurrence of anticipated or unanticipated events or circumstances. New factors emerge from time to time, and it is not possible for us to predict all of such factors. Further, we cannot assess the impact of each such factor on our results of operations or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. This press release is qualified in its entirety by the cautionary statements and risk factor disclosure contained in our Securities and Exchange Commission filings, including our Annual Report on Form 10-K for the year ended December 31, 2007 and our reports on Form 10-Q.