Jordan's Siag Arabian Auto Manufacturing Company has signed an agreement to build a car production plant at a cost of around $1.5 billion, said a report.

The project will be set up in the Southern economic zone of Aqaba and will produce nearly 50,000 cars a year, a Zawya report said citing Al-Rai daily.

Siag will build the plant under an agreement signed with Aqaba Special Economic Zone Authority, it said.

Total investments in the project are expected to reach nearly $6 billion after the first six years of operation, added the report.