Mercedes Benz

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BEIJING -- China's Geely is building a new plant to produce a quarter of a million bigger-sized cars that it expects will power future growth and help meet its goal of selling more than 2 million vehicles by 2020, two people familiar with the matter said. Zhejiang Geely Holding Group Co., one of China's five biggest automakers and the owner of Volvo, is building the facility in the eastern port city of Ningbo where it already operates an assembly plant, as per the sources and information on a Geely-owned construction bidding procurement website. Once known for its cheaper, copycat designs and shoddy quality, Geely has assumed upmarket aspirations after the Volvo deal and has expanded sales significantly since 2016 by banking on smaller compact cars. The planned capacity increase underscores its ambitions as well as the shift in customer preferences toward bigger vehicles such as utilities and minivans in China, the world's biggest auto market. The new capacity will enable G...