Chery adds a plant of 200,000-unit capacity

Shanghai, June 17 (Gasgoo.com) China's Chery Automobile announced last week it will add a plant of 200,000 unit-a-year capacity for production of fuel efficient cars, the Beijing Morning Post reported today.

Construction of the plant will begin this year and Chery expects to start the new facility's operation by 2010. The project will boost the Chinese automaker's annual production capacity of complete cars to 850,000 units from the current 650,000 units within two years.

Production will mostly center on the A0 class compact cars with an engine size of between 1.3L and 1.5L. No further information on the project was available.

The report said while Chery is busy expanding its output, the automaker's lineup of outdated models and poor services still pose concerns.