CHONGQING Changan Automobile Co said yesterday it will invest 11.5 billion yuan (US$1.72 billion) in a passenger vehicle project in Beijing.

The manufacturing base, which covers 3.3 square kilometers, will be able to produce 500,000 vehicles and 500,000 engines annually with an output valued at 50 billion yuan.

It will become a vital base for mid-to-high-end sedans and new energy cars. The assembly line for pure-electric vehicles is scheduled to start production from July 2011.