Volkswagen has started construction of Phase II of the car factory in Foshan city in Guangdong Province. The project will be completed in 2017 and add 300.000 cars to the plant’s production capacity, bringing the total to 600.000 cars per year. Total investment is 15.3 billion yuan or 2.45 billion USD.

The plant is owned and operated by the FAW-Volkswagen joint venture and currently manufactures the Volkswagen Golf and the Audi A3 Sportback, soon to be joined by the Audi A3 sedan.

The additional 300.000 cars will bring the total annual production capacity of FAW-Volkswagen to just over two million cars. The factory in Changchun in northeast China has a capacity of 900.000 cars, and the factory in Chengdu can make 540.000 cars per year.