Sharp upward revisions for the last two quarters surprise analysts, with some calling the growth “untenable on the face of what we are seeing in the coal sector, roads, freight, exports contracting for 13 months in a row.”
Plans call for expanding on an existing plant near Mexico City and building a new plant in San Luis Potosi.
The company's Russian brand, Lada, suffered a 31% drop in unit sales last year.
The third-largest European carmaker faces cutthroat competition and little recognition of its brand in China.
China’s State Council announced on Sunday that it would cut between 100 to 150 million tons of steel production capacity over an undesignated length of time.