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Japan's Suzuki Motor Corp said on Tuesday it planned to build its second motorcycle factory in China, the world's largest motorbike market.

A Suzuki spokesman declined to elaborate, but the Nikkei business daily said the car and motorcycle maker planned to set up a joint venture with an affiliate of China's Grand River Group to jointly spend more than 30 billion yen (US$276.8 million) to build the factory.

The plant is expected to come onstream by early 2009, with an initial capacity to make 500,000 motorcycles a year, and the annual output capacity will be raised to more than 2 million units by 2014, the Nikkei said.