General Motors has signed an agreement with Russian automaker, Avtotar, to begin assembly of the Hummer H2 for the local market.

Avtotar, which currently assembles Kia and BMW vehicles, will assemble 200 to 400 of the vehicles each year at its facility in Kaliningrad, in Western Russia near Lithuania and Poland. All components will come from the U.S.

GM reportedly hopes the vehicle will become popular with the growing segment, of wealthy Russian businessmen who purchase luxury imports. The vehicle is expected to sell for $85,000 to $110,000. It will be available in yellow, orange and black and is expected to go on sale later this fall.

The H2 will not be exported into other parts of Eastern Europe. Currently the large SUV is sold in some parts of Western Europe through GM importers.

GM currently builds the Chevy Niva in Togliatti in a joint venture with Russia's largest automaker, AvtoVAZ. Opel Astra production is expected to begin at the JV in the near future.

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