Hafei Automobile, the seventh largest Chinese automaker, has completed construction of its second plant, according to China Automotive Review.

Hafei sold more than 230,000 vehicles in 2005, most of which were mini-vehicles.

The new plant has required an investment of around US$250m and will produce sedans and hatchbacks with an engine capacity of 1.6 litres and above. In this segment the company currently builds the Saibao, designed by Pininfarina.

The report says that the new plant will build all-new models, designated HF3, HF8 and HF5. Initial capacity is put at 30-50,000 units, although it is planned that this will increase to 200,000 units by 2010.