China Knowledge reported that Chery Automobile Co Ltd, the largest automobile exporter in China may invest CNY 3.66 billion with Subaru to jointly build a new plant in Dalian of Liaoning Province.

The Dalian plant which will be the second overseas construction site for Subaru after the US is expected to produce 50,000 vehicles by the end of initial stage of construction and the figure will reach 150,000 after completion.

Subaru sales in the Chinese market reached 570,000 vehicles in 2010 representing an increase of 62.9%YoY. The Japanese automaker plans to sell 600,000 cars this year.

Chery said last month that its monthly sales hit a record high of 86,299 units in January up by 17.52%YoY.

Mr Jin Yibo spokesperson of Chery said of the total sales, 10,505 were bought overseas, more than doubling the sales in January last year, adding that the firm believes that market growth would remain stable in 2011.

(Sourced from China Knowledge)