Renault Might Get Approval for Chinese Plant By Summer image

Renault-Nissan CEO Carlos Ghosn said he hoped to receive by the summer Beijing’s approval fir its first Renault facility in China.

“Renault already has a plan for China, which is ready, and currently being negotiated with the Chinese government, and I hope we will have all agreements before the summer,” Ghosn told French radio Europe 1.

Last month Ghosn said that he expects to receive approval for the new plant by the end of this year. The visit of French President Francois Hollande in China is expected to solve the administrative matters and finally get the plan to fruition, after it has already been delayed for more than a year due to the territorial dispute between China and Japan.

At the beginning of this year Nissan has signed a memorandum of understanding with Chinese automaker Dongfeng Motor Corporation to build Renault vehicles in China. The new joint venture will mark Renault’s first production facility in China, as currently the French automaker must rely on imports to sell cars in China.

The first Renault model to be assembled in China could be the Koleos SUV, according to Chinese media. Dongfeng, which is a state-owned Chinese company based in Wuhan, also has joint ventures with Honda Motor Company, Kia Motors Company and PSA Peugeot Citroen.

Source: Reuters