In a bid to increase output in China to 400,000 units by 2012, Hyundai Motor Co. has started building a third plant with its Chinese partner. Beijing Hyundai is a tie-up between Chinese state auto group Beijing Automotive Industry Holding Co. (BAIC) and Hyundai.
The plant is located on the outskirts of Beijing. Beijing Hyundai Chairman Xu Heyi says the alliance is expected to sell about 700,000 cars in China in 2010, up by about 23 percent.
At the third plant site, Xu told company executive and government dignitaries that, when the plant is operational, Beijing Hyundai will hasten the introduction of Hyundai's medium-to-high end models.
In China, Beijing Hyundai sold 59,287 cars in October, up 23 percent year on year. China is one of Hyundai's fastest growing markets. Meanwhile, Toyota Motor Corp. sold 61,600 units in China, down 6 percent during the period and China sales from Honda Motor Co. climbed 4.7 percent to 53,050 units.
Toyota and Honda also have partners in China. To help maintain its momentum, Beijing Hyundai will introduce a new Sonata car in 2011, according to company vice president Hsiu-Fu Wang. Beijing Hyundai also builds the i30, Accent, ix35, Tucson and Verna models.