OREANDA-NEWS. China's leading rail equipment manufacturer signed an agreement with the municipal government of Hefei, capital of Central China's Anhui province, on May 25, pledging to start construction on a plant in the city's hi-tech district in the middle of 2013, Xin'an Evening News reported.

Under the agreement, the Hefei plant of China North Locomotive & Rolling Stock Corp.(CNR) will have an average capacity of 300 trains for subways, 300 for intercity railways and 200 streetcars every year after completion in 2014.

"Its annual output is expected to reach a minimum of 7 billion yuan. Also, it will emerge as a driving force behind the development of local locomotive-related businesses," an official of the district said, adding that the plant will offer nearly 10,000 jobs.

"The city will be the frontline for the province's and even the Central China region's markets," according to the official, who wouldn't give the name.

In addition to rolling stock production lines, the plant will be equipped with locomotive overhauling facilities, said the report.