Hyundai launches construction of new plant at Nosovice

The head of Hyundai Motor, Chung Mong-Koo, is to launch construction of the South Korean car giant's first European production plant in the Czech Republic on Wednesday. The company is investing 1.0 billion euros (1.36 billion dollars) in the plant at Nosovice, Moravia, the biggest ever single investment in the Czech Republic. The South Korean newcomer will produce 200,000 cars from 2009, rising to 300,000 when it reaches full production in 2011. Hyundai will produce its new i30 family hatchback at Nosovice, signalling its intent to grab a bigger share of the mainstream European car market. The Czech plant will later produce an MPV car-van hybrid, the company said.