The Huangdao district in Qingdao, Shandong province, and the city's science and technology commission signed a cooperation agreement with the Institute of Engineering Thermophysics of the Chinese Academy of Science, on Dec 30, to build the Qingdao Light-duty Engine Institute, which is deemed as China's first aero-engine R&D base with independent intellectual property rights.

With a total investment of 550 million yuan ($89 million), the institute will cover an area of 100 mu (6.7 hectare) and engages in R&D of engines for turbojet, turbofan and turboshaft. Upon completion, it is expected to attract nearly 100 experts from home and abroad and will transform itself into China's first-class R&D center and industry base of light-duty engine within three to five years.