Beijing-based distributor-turned-producer ACE Film Studio has announced that it is lining up thriller Midnight Taxi and China-Japan co-production Dream Wall (working title).

Adapted from Xu Zi's hit online novel of the same name, Midnight Taxi tells the true story of a Beijing-based taxi driver's encounter with a mysterious woman. Scriptwriter and film critic Zhang Jiangnan will direct. Jordon Chan (Initial D) and Chinese actress Deng Ziyi (The Luckiest Man) will lead the cast.

ACE is producing and backing the $2.92m (RMB20m) film along with yet-to-be-announced Chinese co-investors. Production started in Beijing on March 18.

ACE is also the main Chinese investor in $1.46m (RMB10m) China-Japan co-production Dream Wall, co-produced with Japan's Tokuma Shoten. Directed by Zhang Jiabei (Cherries), the film tells the story of a Japanese girl's friendship with Chinese children during her stay in Beijing during WWII.

Leading cast includes Kobayashi Ayako, Mao Sasaki and Kazama Toru. The film started shooting last week.

ACE was established by producer Lv Jianmin in 2002, originally as a distribution company. In 2007, the company co-produced comedy Da Wei Wang with Beijing-based Golden Skyway Media. In 2008, ACE co-produced Lam Chi-chung's The Luckiest Man with Hong Kong's My Way Film.