Coca-Cola to invest $2 bn in China

US beverage giant Coca-Cola said today it would invest $2 billion in China over the next three years as it looks to dramatically increase its presence in the world's largest market.

The ambitious development means the world's biggest soft drink maker will more than double the $1.6 billion it has spent in China since the nation opened up to the world with economic reforms in 1979.

Coca-Cola made the announcement as it unveiled the first part of its  planned investment: a $90-million research and development centre in Shanghai, where 600 staff will develop new products.

"The Coca-Cola Company will continue to invest another $2 billion in the next three years in terms of new plant and distribution infrastructure, sales and marketing, and R and D (research and development)," company president Muhtar Kent said.

It was the second major announcement Coca Cola has made in China in six months.

Coca-Cola is awaiting Chinese government approval for its proposed $2.4-billion takeover of Hong Kong-listed China Huiyuan Juice Group, which was made public in September.