(Yicai Global) April 29 -- State-backed automaker China FAW Group and a unit of Finnish telecoms giant Nokia have agreed to jointly develop fifth-generation wireless technology for vehicles.

Nokia Shanghai Bell, a joint venture of Nokia and state-backed Shanghai Bell, will build a 5G test network at FAW's Changchun base in the northern province of Jilin to research autopilot technology and the Internet of Vehicles, an information website run by the Ministry of Industrial and Information Technology said today.

The move is a great chance to show off 5G in the auto industry, and FAW's new Hongqi series which showcased at the Auto Shanghai recently gave full play to the carmaker's prospects in the field, Nokia Shanghai Deputy Vice Director Ma Tao said at a ceremony to ink the agreement.

Nokia Shanghai will also provide FAW with a data center, cloud computing, and automated quality inspection solutions to help it speed up digitization.

Nokia Shanghai, as a new model for innovation between China and Finland, will pool superior scientific and technological resources, strengthen cooperation with Jilin province, and strive for more gains in information communications and smart manufacturing, Ma added.

Founded in 1983, Nokia Shanghai Bell is directly controlled by China's State-Owned Assets Supervision and Administration Commission and provides information and communications solutions, with business in more than 50 countries and regions.