Japanese car maker Nissan and its Chinese joint venture Dongfeng Motor are planning to invest CNY2bn ($315m) in the Xiangyang plant in Hubei province of China to produce two Infiniti models from 2014.
Xiangyang plant currently produces Teana and Murano models, will assist the company to meet the rising demand from its Chinese customers by further increasing its production capacity from the current 130,000 units per year to 250,000 units.
Nissan's Infiniti Business Unit China managing director Allen Lu said, "Local production will allow our valued Chinese customers more access to our products and enhance our brand awareness."
Nissan had sold nearly 19,000 Infiniti cars in China in the previous fiscal year that ended in March and its mid-term growth plan is to sell about 500,000 Infiniti vehicles globally by 2016.
According to Nissan, China is expected to account for a large portion of the company's global growth.