US carmaker Ford is planning to invest $760m in building a new assembly plant in Eastern China, in a move to expand its capacity.
The carmaker said that new Hangzhou plant will double its production capacity in China to 1.2 million passenger cars per year by 2015.
It is part of company's plan to increase its sales by 50% globally to 8 million vehicles per year.
Ford Global Manufacturing and Labor Affairs executive vice president John Fleming said it is an opportunity for Ford Motor Company to increase its Manufacturing capacity in a part of the world where vehicle demand is expected to grow in the coming years.
"Our expectation is that between 2012 and 2020 the market is going to grow up to 30 to 40 million units," Fleming said.
Further, the company's current investment follows its earlier plans to invest $600m to build a third plant at Chongqing in southwest China to expand its assembly line capacity by 350, 000 passenger vehicles.
Ford is also planning to unveil 15 new car models, 20 new engines and transmissions for Chinese market by 2015.
With the Chongqing facility expansion and construction of the new Hangzhou facility, the carmaker's investments in China has accounted to $4.86bn.
