Zhejiang Qianjiang Motorcycle Co., Ltd, has signed a cooperation agreement with U.S. motorcycle maker Harley-Davidson, Inc. to launch a small motorcycle in China by the end of 2020.

Qianjiang and Harley-Davidson plan to co-develop a premium 338cc displacement Harley-Davidson motorcycle for sale in China, with additional Asian markets to follow, Qianjiang said in an announcement made on Thursday.

The new motorcycle and its engine will be manufactured at Qianjiang's factory based in the city of Wenling, east China's Zhejiang Province.

Founded in 1985, Zhejiang Qianjiang Motorcycle Co., Ltd, is a subsidiary of Geely Technology Group specializing in the research and development, manufacturing and sales of motorcycles and engines as well as key components. In 2005, the company acquired Benelli, an Italian motorcycle manufacturing company with a 100-year history.

Since Harley-Davidson announced its plan to build more riders globally in July 2018, the group has continued to expand its dealership network in China and invest in marketing, e-commerce and product supply. Last year, the company saw retail sales in China up 27 percent from that in 2017.

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