China-based Dongfeng Motor Group has announced that it will start making its first self-developed car from this month.

The Fengshen 300, which will go on sale in the domestic market later in the year, will be priced at around 100,000 yuan (US$ 14,660). It is a 4-door sedan featuring a 1.6-litre four-cylinder engine. The engine and drivetrain are said to have been developed from Peugeot-Citroën and Aisin Seiki units.

The Fengshen 300 will be sold through the company's 54-strong domestic dealership network. Dongfeng expects to pump this up to 80 dealerships by end-2009.

Though the company already manufactures own-brand commercial vehicles, this is its first foray into passenger cars on its own. So far, it has only assembled passenger cars in joint ventures with major foreign automakers, including Honda.