BEIJING (XFN-ASIA) -- Chery Auto's joint venture with Argentina's SOCMA Group is expected to set up an assembly plant in Argentina, the official Xinhua news agency reported yesterday.
The report added that one of the joint venture's assembly plants, with annual production capacity of 20,000 units in Uruguay, started operations ins March, although it is insufficient for meeting local demand.
The new plant, which is expected to enter production in 2010, is designed for annual capacity of 100,000 to 150,000 units, involving investment of $500 million.
In 2006, Chery and SOCMA Group entered an agreement to co-invest $100 million in the Argentina venture, with Chery holding 51 pct.