Though the Chinese government recently nixed its proposed joint venture with Chery, Subaru has not given up on manufacturing cars in China.

Fuji Heavy Industries president Yasuyuki Yoshinaga said the company wants a factory in China able to make 150,000 vehicles a year, reported the Beijing Morning Post.

Yoshinaga said the company will be expanding global sales to 900,000 units by 2016 with the US market - where some models are made locally - accounting for 350,000 units.

Various new vehicles will be launched by the company starting with the XV crossover [first exports to Australia - ed], BRZ sports car [the JV with Toyota] and the manufacturer's first hybrid being among the first offerings.

Fuji Heavy had inked an agreement with Chery in 2010 but their proposal was rejected by the National Development and Reform Commission.