The first car to be produced by Beijing Hyundai’s new auto plant in Hebei Province rolled off the assembly line Tuesday.
The facility is Beijing Hyundai’s first factory outside Beijing. It is located in an economic development zone in Cangzhou City, with an annual production capacity of 300,000 vehicles and 200,000 engines.
Beijing Hyundai is a joint venture between Beijing Automotive Industry Holding Co. Ltd and the Republic of Korea’s largest car maker Hyundai Motor. It has three assembly plants in Beijing.
Construction of the Cangzhou plant began in April 2015, and the project cost 12 billion yuan (1.78 billion U.S. dollars). Besides subcompact sedans, it will manufacture SUVs, including an electric model.
The endeavor is the largest project, in terms of investment, between Beijing and Hebei. Beijing is moving some plants to neighboring Hebei as part of the coordinated development of the Beijing-Tianjin-Hebei region.
Guo Wanyi, head of the administration committee of Cangzhou economic zone, said the auto plant in Cangzhou will boost the development of supporting industries such as auto parts manufacturing and logistics, which will have a joint output of more than 100 billion yuan.