Volkswagen will build a new gearbox plant in Dalian, Reuters reports. The plant will have a capacity of 300,000 units per year, and will start operations in 2010.
The Dalian plant will supply Volkswagen's two China-based joint
ventures, with FAW Group and SAIC. While the carmaker did not provide
further details, Dalian's mayor Xia Deren told Reuters that the project
will cost between RMB 2-3bn.
Volkswagen's sales increased in China and Hong Kong by 28 per cent to
more than 910,000 units last year, exceeding its target of 900,000
units.