CHONGQING (CQNEWS) -- The Lifan Group signed an investment intention agreement with the government of Russia's Lipetsk Oblast on Monday, planning to invest approximately 300 million US dollars into the construction of a brand new vehicle plant.

The new plant is to be located in the Special Economic Zone of Lipetsk Oblast, with a total area of 600,000 square metres. Modern welding, coating and assembly workshops will be built in the factory, with a planned annual capacity of 60,000 vehicles after production begins. This factory will be Lifan’s third fully–owned vehicle plant overseas, after expanding into Uruguay and Ethiopia. It is also to be the largest overseas investment project of Lifan has produced.

In 2007, Lifan built assembly lines in a Russian Derways factory, producing Breez, Solano, Smily and X60 vehicles. In 2013, Lifan achieved total sales of 27,467 vehicles in Russia, an increase of over 30% compared with the previous year. It has become the largest Chinese car seller in Russia's auto market for three consecutive years. Presently, Lifan owns 156 dealers in 91 Russian cities, more than any other Chinese car brand. (Translated by Wang Yueyue, Fathom Language Limited)