An innovative hybrid engine is to be built in the UK after Toyota appointed production of the motor to its factory in North Wales.
Estimates suggest that production of the engine, which will be used in a new crossover expected to rival the Nissan Juke, will bring in £7 million for the UK economy.
The Welsh government is also backing the project, having contributed £700,000 towards the manufacture of a new 1.8-litre petrol engine that will be part of the new car's drivetrain.
Insiders have indicated that this forthcoming model is to be based on a concept revealed during the Frankfurt Motor Show last year.
Jim Crosbie, engine plant director at the factory at Deeside, said the decision was a huge vote of confidence in the skills, quality and commitment of the UK workforce.
The new car will be built in Turkey, but Toyota has not yet confirmed whether its factory in Derbyshire will also help with production.
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