Case New Holland (CNH), a leading manufacturer of agricultural and construction equipment, said Tuesday it will spend $90 million to build a manufacturing plant in Harbin in northeast China.

The planned 4.3 million-square-foot factory will produce high-horsepower tractors, combine harvesters and other machinery featuring advanced technology, the company said.

Burr Ridge, Ill.-based CNH already assembles high-horsepower tractors and other agricultural equipment in Harbin, and operates a manufacturing plant for low- and medium-horsepower tractors in Shanghai.

"China is a very important market for us, and we strongly believe in its potential," said CNH Chief Financial Officer Richard Tobin, who becomes president and CEO in January.

The investment in a new manufacturing base will strengthen CNH's position in China and will enable its agricultural equipment brands to contribute to the mechanization of the country's agriculture sector, the company said.

CNH said it is a Chinese market leader in high-horsepower tractors and harvesting equipment through its Case IH and New Holland Agriculture brands. CNH said it also distributes Case excavators, backhoe loaders, skid steer loaders and other construction equipment in China.