With its sales rising fast, Hyundai needs more capacity to increase production of its cars destined for fast growing China market. Recently, the automaker held a groundbraking ceremony for a new manufacturing plant, which will have an annual capacity of 400.000 vehicles.
The all-new factory is scheduled to begin operating in July 2012. Once this happens, Hyundai will be able to build 1 million cars in China each year. Those not familiar with the current situation, Hyundai already operates two manufacturing plants in China. Each of them can build up to 300.000 units each year.
The carmaker's third China plant is scheduled to produce small and mid-size vehicles specifically designed for the Chinese market starting from the second half of 2012, with plans to gradually expand its model lineup depending on demand. Hyundai has yet to release official information about new models that it plans to build at its new plant.
Through the 2010 Hyundai cars have been selling well in China market, particularly Elantra sedan, which has been the carmaker's best-selling nameplate. So far this year, Hyundai sold 569.787 new vehicles in China and its sales are expected to exceed 690.000 units by the end of 2010.