Renault move is aimed at tapping China’s growing electric vehicles market.
In a deal which sees French carmaker Renault taking a 50% stake, the carmaker has formed a joint venture partnership with China’s Jiangling Motors Corporation Group (JMCG) to target the Chinese electric vehicles (EV) market.
In a statement Renault said, it would increase its share capital by $144 million (1 billion Chinese RMB), to acquire a 50% stake in the joint venture.
“China is a key market for Groupe Renault. This partnership in electric vehicle business with JMCG will support our growth plan in China and our EV capabilities,” said Francois Provost, Senior Vice President and Chairman of China region for Renault.
Provost went on to add, “As a pioneer and leader in the European EV market for since 10 years, we will capitalize on our experience in EV R&D, production, sales and services”.