Fuji Heavy mulling vehicle production in China

Fuji Heavy Industries Ltd. said Thursday that it is considering producing vehicles in China in a bid to make a full-scale foray into the emerging market as demand for its sport-utility vehicles grows there.

The maker of the Forester SUV model is initially aiming for production capacity of 50,000 vehicles a year, though it hasn't decided on the cost or when the production facilities will be established, a company spokesman said.

Fuji Heavy sold 19,010 vehicles in China in 2008.

The car maker, in which its biggest shareholder Toyota Motor Corp. owns a 16% stake, is also studying whether it should produce vehicles in China on its own or through a tie-up with Toyota or with local car makers, the spokesman said.