Mazda is to launch R&D operations with a Chinese partner in 2013 to develop fuel-efficient vehicles for the local market.
The move follows Chinese government approval to overhaul the three-way Changan Ford Mazda Automobile joint venture in which the Japanese company has a 15% stake.
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The Nikkei business weekly reported Mazda will sell its stake in the venture to Ford, which currently owns 35%, and will set up its own 50-50 joint venture with Changan Automobile to manufacture Demio (the Mazda 2) and Axela (3) subcompacts. It also intends to make SUVs in China, starting next year.
As a condition of allowing the break up of the JV, Chinese authorities said Mazda must have the new firm operate an R&D base, as well as manufacture and sell original-brand vehicles. They also tasked the new company with offering electric vehicles and other alternative-fuel models.
The Nikkei said that, to meet the requirements, Mazda and Changan will establish an R&D base at Nanjing, investing about US$78.7m.
The R&D base is expected to be completed by 2016.
