Renault is reportedly close to announcing an agreement to produce cars in China with domestic partner Dongfeng.

If a deal is done, it would provide Renault with its first car producing factory in China. The company has said before that it plans to build cars in China.

Reuters reported that the joint production plans include an electric vehicle and an SUV, according to unspecified sources.

The report added that the two makers have hurried the deal in order to beat a change in China's foreign investment rules that will make FDI more difficult.

Chinese press reports said Renault was looking to manufacture cars in Wuhan, central China, where Dongfeng already has an auto factory.

Dongfeng is already a manufacturing partner to Renault's alliance partner Nissan. Reports last week in Japan said that Nissan will build its fourth Chinese auto factory in Dalian City. The Nikkei business daily said the new plant will have an annual capacity of 200,000 vehicles and is scheduled to start production in 2014.