The Renault-Nissan alliance is expanding its push into China, teaming up with Dongfeng Motor Group Co. on its first locally designed electric vehicle as emissions rules tighten in the world's largest car market.
Renault SA, Nissan Motor Co. and Dongfeng established a joint venture to develop a battery-powered model based on a small sport utility vehicle platform developed by the French-Japanese alliance, the companies said Tuesday. The vehicle is due to hit showrooms in 2019.
Automakers are accelerating electric-vehicle investment in China to meet stricter environmental rules set to take effect in major markets. Starting next year, carmakers that fail to meet fleet-based emissions and fuel-economy limits could face fines under China's new cap-and-trade framework.