Gov. Jerry Brown said a Chinese firm had plans to build electric buses at a ground-breaking facility in Lancaster, Calif.
The Los Angeles Times reported Wednesday it stands to be the first time a Chinese company built vehicles in the United States.
The company is Build Your Dreams. The company's first order of business for its U.S. facility is to build 10 electric buses for the city of Long Beach, Calif., the newspaper said.
"It's very significant. I think it's very important that we start replacing the bus fleet with electric buses," Brown said during a visit to the company's headquarters in Shenzhen, China.
The company has produced hundreds of buses in China that it says can run for 150 miles with full passenger loads per charge-up.
Company officials also said each bus assembled in California represents one job in the United States.
Most of the parts will be made in China, the newspaper said.
The company's U.S. headquarters in Los Angeles employs 40 people.