Audi AG and China’s SAIC Motor Corp have signed an agreement that will likely pave the way for the German luxury car maker to produce cars in China with SAIC, a person familiar with the matter told Reuters. Executives of Audi and SAIC formally signed the “cooperation framework agreement” on Friday, and the German car maker is expected to announce the move on Monday. The move, if finalized, would allow Audi, a unit of Volkswagen AG, to significantly expand its ability to produce cars in China, the world’s biggest auto market. Audi currently produces all its cars in China jointly with FAW Group Corp in the southern city of Foshan, near Guangzhou, and in the northeastern city of Changchun. Both SAIC and FAW are Volkswagen’s joint venture partners.