Tianjin municipal government officials believe Beijing will this year approve the proposed passenger car manufacturing joint venture linking Tianjin Automotive Industrial (Group) with Japan's leading car-maker Toyota Motor Corp.
The new plant might be a 50-50 joint venture with an initial annual production capacity of about 30,000 cars - eventually growing to 150,000 units - Tianjin Planning Commission official Liu Jiangang said.
The city government had not adjusted its target of doubling passenger car production capacity at Tianjin Automotive to 300,000 units by 2000, although the target may be unattainable considering present progress.
Under the preliminary plan, the joint venture would produce Toyota Corolla cars with 1,300 and 1,600 cc engines. The engines would be supplied by a joint venture already established between the two companies.
The car-making venture could involve an investment of about US$100 million, Mr Liu said.
Tianjin Commission of Foreign Economic Relations & Trade official Tan Shuqi said the project required State Council approval.