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Russian Automaker Investing In Poland

Intrall Rus has signed a letter of intent to build a research center and small factory in northwestern Poland by 2014 for a total investment of $366 million.

WARSAW, Poland (AP) -- Russian car maker Intrall Rus says it has signed a letter of intent to build a research center and small factory in northwestern Poland by 2014 for a total investment of euro270 million ($366 million).

Intrall Rus said in a statement Tuesday the research-development center and small factory to be built near Szczecin will cooperate with a bigger truck and SUV factory being built in Stavropol, in southern Russia.

The factory in Poland is to make up to 5,000 cars annually starting in 2014.

The announcement comes as Poland and Russia plan to intensify economic and scientific ties as a way of improving traditionally strained political relations.