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Production is to return to the former MG Rover plant in Longbridge.
Around 250 workers are due to be employed at the factory to make the two-seater MGF sports car, new owner Nanjing Automobiles announced.
But that is a fraction of the 6,000 who lost their jobs when MG Rover went out of business last year.
Around 80 people are currently working at the plant and more will be recruited when the business develops.
The workers will assemble the MG TF, with production due to start early next year.
The annual production capacity will be 15,000 and the cars will be sold in the UK and Europe, although they may be exported to other parts of the world.
Cars will be assembled from kits of components, supplied from Nanjing's factory in China, which is currently being built.
Other Rover models will be built in China and elsewhere, including the US.
Chinese manufacturer Nanjing Automotive bought the collapsed British carmaker almost a year ago to the day.
It indicated at the time that up to 2,000 jobs could be created at Longbridge through a design, engineering and manufacturing facility.
Earlier this year Nanjing agreed a 33-year lease at the Birmingham factory with site owners St Modwen.
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