(Yicai Global) Aug. 15 -- Swedish truck and bus manufacturer Scania is planning to set up its first vehicle plant in China after Beijing eased its restrictions on firms' foreign ownership.

Scania's financial unit is proceeding with the factory application, after which the operation plan will be put into action at the end of this year or the beginning of next year, Steve Wager, the general manager of Scania China told online news outlet Jiemian. 

Beijing lowered the limit of foreign-funded firms' ownership in some sectors to 51 percent last month, which means that overseas companies can buy out their local partners and have more power in decision-making in these ventures.

Scania already has two factories in China, which is its largest market in Asia. Sales hit a new high last year, driven by a surge in demand for tractors, as well as commercial trucks and chassis trucks.  

Scania is quite content about the performance of its new-generation trucks in China, Wager said, adding that independent dealers and direct-sale franchisers will coexist to expand Scania's marketing networks.

Editor: Emmi Laine