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A French car manufacturer has announced that it is planning to open a new facility in Russia.
Peugeot Citroen will set up the factory in Kaluga, a town located to the south-west of Moscow.
The carmaker will produce mid-size vehicles in the new plant, which is scheduled to be open within the next three years.
This range of vehicles represents almost two-thirds of the firm's sales in Russia, one of its fastest-growing markets.
Peugeot Citroen said it is hoping to sell 100,000 vehicles in the country, in 2010, adding that it hopes to boost this number to 300,000 in subsequent years.
This comes after the Peugeot 207 was named as the best-selling car in Europe for 2007.
Earlier this year, Jato Dynamics stated that the model sold 410,156 units throughout the year.
This put it ahead of other vehicles such as the Volkswagen Golf, the Ford Focus and the Renault Clio.
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