Chery will launch 5 new car models powered by gasoline or diesel engines this year. It also will launch an electric car and a hybrid, the state-owned automaker said in a statement.

The company did not offer further details about the new models.

Chery, based in the east China city of Wuhu, produces passenger vehicles under the Chery, Riich and Rely brands as well as micro-commercial vehicles under the Kerry brand.

In 2010, the company sold 682,000 passenger and commercial vehicles, according to Chery's Web site. That was up 36 percent from 2009, but still fell short of Chery's 700,000-unit sales goal.

To boost sales, the company is holding talks with Fuji Heavy Industries to form a joint venture to produce Subaru cars in China. Chery also plans to build a $400 million (2.6 billion yuan) assembly plant in Brazil which will launch production in 2013.