Arkansas state in the United States said on Wednesday that a Chinese company would invest $20 million in the state as it continued to gain from its strong business relations with China.

Hefei Risever Machinery Co Ltd, headquartered in Hefei, Anhui province, has chosen Jonesboro, Arkansas as the site for its first facility in the US.

The move comes after years of concerted effort by the Arkansas Economic Development Commission and Governor Asa Hutchinson, according to the governor's office.

"Arkansas is garnering international attention as a great place to do business," Hutchinson said. "Our economic development trips to China and AEDC's presence in China are paying dividends."

"Risever is the latest example of several Chinese companies that have selected Arkansas because of these relationships, as well as our skilled workforce and cost of doing business. I wish them much success as they join Jonesboro's thriving business community," the governor added.

Over the past two years, four Chinese companies have announced plans to locate new facilities in Arkansas.

Shandong Ruyi Technology Group, Tianyuan Garments Co, Pet Won Pet Products and Sun Paper will create an estimated 1,520 new jobs by investing $1.4 billion in the state.

Risever's new manufacturing plant will be built in Craighead Technology Park, Jonesboro. It will involve a total investment of $20 million over the next five years and create 130 new jobs when fully operational. The facility will target an annual production capacity of 18,000 metric tons of steel.

The company's move to Jonesboro began in 2016 with an initiative called Made in the USA. Risever spent more than a year investigating 70 possible cities in five states before choosing Jonesboro.

A maker of machine parts for heavy equipment, Risever supplies manufacturers such as Caterpillar, Volvo and Komatsu with its products. It is a family-owned business founded in 1999 and employs more than 1,000 people at its facilities in China.

Risever General Manager Yonggang Lai said: "Why Jonesboro? We were convinced by its great location, convenient transportation system, full-fledged industrial base and supply chain, well developed industrial park, competitive business costs as well as professional talent, coupled with Arkansas' and Governor Hutchinson's support and enthusiasm for Chinese investment, plus the city's favorable community environment and professional support for investment.

"All these are key factors for our determination to invest in Jonesboro."

"Jonesboro is a perfect fit for Risever. Their addition to Jonesboro will add 130 highpaying jobs to our local economy," said Mark Young, president of Jonesboro Unlimited, a private partnership organization dedicated to the advancement of economic prosperity in the Jonesboro region.

"Risever began their search with 70 cities on their list," Young said.