Chongqing Changan Auto plans to double capacity at its venture with Suzuki Motor by building a new factory in what state media said on Wednesday could be a $US366 million investment.
Chongqing Changan Automobile Co. Ltd., also Ford’s main Chinese partner, holds a 51% stake in the joint venture with Suzuki, which mainly makes compact cars such as the Alto. The new plant would have a capacity of 200,000 units annually, the same as the venture’s existing factory, an official in the board secretary’s office told Reuters.
“We are planning to build a new factory, but where and when we do it as well as the investment amount has yet to be decided,” the executive, who declined to be named, told the news agency.
The official China Daily reportedly said the investment could be worth up to 2.96 billion yuan ($365.8 million).