Nissan aims for 20% growth in 2010 China sales

Shanghai, November 24 (Gasgoo.com) Japanese carmaker Nissan Motor aims to boost its China sales by 20% next year as it looks to the world's largest car market for return to profitability, Reuters reported yesterday, citing a top executive of Nissan China.

Nissan tries to sell 600,000 units in China next year, but its local production capacity, now 500,000 vehicles a year, is a kind of challenge, said Yasuaki Hashimoto, president of Nissan (China) Investment Co Ltd., adding that the carmaker would add extra shifts and take other measures in the short term.

Japan's No. 3 carmaker, which produces cars and trucks in China with Dongfeng Motor Group, expects to sell more than 500,000 vehicles in the Chinese market this year, well above its previous target of 380,000 and last year's 350,000, as sales have soared thanks to government's incentives for the auto industry.

To address its capacity limits, Hashimoto said the company was building a plant in the southern Chinese city of Guangzhou, to add 240,000 units of new annual capacity when it comes on line within two years. The new plant will focus on electric vehicle production.

Nissan has plans to tap Chinese demand for environmentally friendly cars, first by importing electric vehicles into the country from 2011. "We believe China is one of the biggest potential markets for EV," he said.