SHANGHAI, May 20. /ITAR-TASS/. An agreement on the construction of a car manufacturing plant in Russia’s Tula region was signed between China’s major carmaker Great Wall Motor Company Limited and Tula Regional Governor Vladimir Gruzdev. Investments in the project are estimated at 18 billion roubles (about $520 million), the press service of the Tula government told ITAR-TASS on Tuesday.

“The agreement envisages construction of a plant for manufacturing cars under Haval brand. The plant will embrace metal press-room, the shops of welding, painting and assembling, as well as car part production,” the press service said, adding, “The designed output capacity is 150,000 cars a year.”

The new plant is expected to be located in the Uzlovaya industrial park.

“The project for car plant construction is of huge economic and strategic importance for the Tula region,” Gruzdev said during the signing ceremony. “It will make it possible to create up to 2,500 new jobs with high salaries, raise budget investments and promote development of allied sectors,” the governor said.

The investment project is scheduled to be launched already in 2014. The plant will be commissioned in 2017. Its output capacity will achieve the designated level in 2020.

The Great Wall Motor Company Limited is China’s largest carmaker, which embraces more than 30 subsidiaries involved in the production of cars, trucks, and buses, as well as scientific research and design activities. The holding is in the list of China’s 500 biggest companies.