US computer chip giant Intel Corporation's first chip plant in Asia began production in northeast China's Liaoning Province Tuesday morning.

The start of operations was announced by Kirby Jefferson, general manager of the plant.

The commencement ceremony was also attended by Paul Otellini, Intel's president and chief executive officer.

The 2.5-billion-U.S.-dollar plant is located in the Economic and Technological Development Zone north of the port city of Dalian. It covers an area of 163,000 square meters, roughly the same area as 23 football fields.

Construction of the plant began in September 2007.

The factory will be Intel's eighth producing 300-millimeter integrated wafers.