Northwest China's Xi Yanliang Aircraft Manufacturing Base reached an agreement on Monday with UK-based UMECO plc to establish a foreign-owned enterprise at Xi'an in 2006, according to the city government.

The enterprise is expected to go into operation before May 31, 2006 and will provide procurement and logistic services, as well as composite materials for China's aerospace industry.

The Xi'an Yanliang Aircraft Manufacturing Base has attracted a number of foreign investors since it started operation on March 2005 because it has impressed foreign visitors with innovative drives and highly efficient services.

UMECO plc sent a team of professionals to visit the base twice in 2005 before it decided to invest here.

UMECO plc is a leading international provider for value-added distribution services and composite materials primarily to the aerospace and defense, automotive, motors port and wind turbine industries. Its customers include Boeing, Airbus and Goodrich Aerospace.

(Xinhua News Agency January 18, 2006)