Hyundai to build new China plant

Hyundai Motor (5380.KRX) announced today that it would open a new factory in Chongqing to better tap China’s rapidly growing car market, The Wall Street Journal reported. With an annual production capacity of 300,000 vehicles, the new plant’s construction has yet to receive approval from the Chinese government. The world’s fifth largest auto-maker faces severe capacity constraints and has fallen back against its rivals. The company halted production expansion in 2012, worried that it would later face quality issues that afflicted Japanese rival Toyota Motor (TM.NYSE, 7203.TYO) after it aggressively grew in the 2000s.