Seoul, South Korea – Hyundai has begun construction of its third assembly plant in China to respond to growing demand in the world’s largest automobile market.

Beijing Hyundai Motor Company, a 50-50 joint venture between Hyundai Motor and Beijing Automotive Industry Holding, held a groundbreaking ceremony on November 28 for the plant. Capable of producing 400,000 units a year, the plant is scheduled to be completed by July 2012.

Combined with its two existing plants, which build up to 300,000 units each, Hyundai will be capable of producing up to one million vehicles in China by 2012.

The new plant is scheduled to produce small or midsized models specifically designed for the Chinese market. The model lineup will be gradually expanded depending on demand.

Hyundai opened its first plant in 2002 and added its second factory in 2008.

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