Hornby has convinced its main Chinese manufacturer to produce its heritage toy trains as well as Scalextric sets,
the Telegraph reports.
The factory will be now be capable of making 130,000 train sets on top of the required volume of Olympic Velodrome Scalextric sets.
Speaking about the firm's recent fortunes, chief executive Frank Martin said: "we just haven't fulfilled our potential."
Martin predicted the velodrome to be Hornby’s top seller, and said that "millions" of Olympic products would be produced.