Ford Motor Co, which is selling off parts of its automotive empire and closing plants in North America, is mulling a new car plant in China to meet growing demand, state media said Tuesday.

"We are gauging the need for further expansion of our manufacturing capacity," said Kenneth Hsu, spokesman for Ford's China operations, according to the China Daily.

"Local governments are keen to have a new plant from Ford in their regions."

He said the US car maker planned to reach a final decision by early next year, without elaborating.

The plant will be jointly built by the US auto giant with its Japanese unit Mazda Motor Co, which is 15 percent owned by Ford, and local partner Chang'an Motor Corp, the report said.

Chang'an Ford Mazda Automobile Co, in which Chang'an holds a 50 percent stake, Ford 35 percent and Mazda 15 percent, now has two factories in the southwestern city of Chongqing and Nanjing in the east.