The 80,000-square-meter site will focus on R&D, production, logistics, sales and service. Its initial capacity will ramp to 15 million units per year, including some production of 3G phones, and will eventually double that to a maximum of 30 million units. Lenovo declined to detail its ramp-up schedule, but if the facility maxes out it would outstrip China's largest domestic maker of cellphones, Ningbo Bird. It would still fall short of Nokia and Motorola, which have production bases in Beijing and Tianjin.

Lenovo's mobile phone division is one of its fastest growing businesses, the company said. Mostly known for its PCs, Lenovo now also claims 7 percent of the Chinese market, after Nokia, Motorola and Samsung.

The company hopes to boost its share to 10 percent by early next year, which would still leave it just shy of breaking into the top three. According to Sino-MR, a Chinese market researcher, Nokia has 34 percent of the market, with Motorola at 22 percent and Samsung at between 12 and 13 percent.

By: DocMemory
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