Local production of Nissan's luxury brand follows similar moves by General Motors' premium Cadillac brand and could help the Japanese carmaker better compete with the three German brands -- Audi, BMW and Mercedes-Benz -- that currently dominate China's luxury car market.
The three German brands all make cars in China, which helps them cut production costs and avoid hefty import duties. They, however, need to share profits with their Chinese partners.
Nissan sees China as key to helping it triple its global Infiniti sales to half a million vehicles by 2016. Currently, worldwide sales of Infiniti models are just a tenth of Audi's global sales.
"We will double our endeavors to build Infiniti into a mainstream premium auto brand in China which is truly rooted here and loved by Chinese consumers," Kirchert said in the statement.
Bloomberg and Reuters contributed to this report