Mitsubishi to pursue Changfeng JV

Mitsubishi Motors will form a joint venture with Hunan Changfeng Motors to produce sedans and sport-utility vehicles, Bloomberg reported. Changfeng’s chairman said the venture would allow Mitsubishi to capture a larger share of the Chinese market, while giving Changfeng access to Mitsubishi’s management and technology. The venture between Japan’s fastest-growing auto exporter and Changfeng, which sells 70% of its vehicles to the Chinese government, will initially produce 100,000 vehicles a year. Separately from the Mitsubishi venture, Changfeng is also planning to build assembly plants in the US and Europe to help it enter those markets.