SAIC-GM-Wuling to Build $1.1 Billion Factory in China

General Motors Co. and its Chinese joint venture partners plan to erect a 6.6 billion-yuan ($1 billion) manufacturing complex in Chongqing, China, to begin making unspecified vehicles and engines in 2015.

The expansion is aimed at helping the SAIC-GM-Wuling venture reach its goal of producing 2 million vehicles annually in China by the end of that year. The partnership sold 1.29 million units in 2011.

The Chongqing plant will have initial annual capacity of 400,000 vehicles and engines, according to the companies. They expect to begin construction early next year, pending government approval, and expand the facility later.

The new factory will be the third car plant for GM's venture with Shanghai Automotive Industry Corp. and Liuzhou Wuling Motors. The partners operate one assembly facility each in Qingdao and Liuzhou. The latter opened earlier this week.