FRANCE’S Renault SA said yesterday it will invest US$145 million in a unit of China’s Jiangling Motors Corp. Group (JMCG) that will allow it to expand its electric vehicle manufacturing footprint in the world’s largest auto market.

The French carmaker will take a 50 percent stake in JMEV, an electric-car maker launched by JMCG in 2015, and establish it as a joint venture between the two companies, Renault said in a statement.

“This partnership in electric vehicle business with JMCG will support our growth plan in China and our electric vehicle capabilities,” said Francois Provost, China region chairman for Renault. “We will capitalize on our experience in electric vehicle R&D, production, sales and services.”

JMEV currently makes affordable electric vehicle sedans and sport-utility vehicles and has an initial production capacity is 150,000 vehicles a year, according to its website.

Renault at present manufactures electric vehicles in China through its joint venture with Dongfeng Motor. It also plans electric vehicle production through its venture with Brilliance Automotive .

JMCG, based in China’s southern city of Nanchang, also owns 50 percent of Jiangling Holdings, which is Shenzhen-listed Jiangling Motors Corp.’s biggest shareholder.

Electric vehicle sales rose 80 percent in June to 152,000 vehicles, bringing the January-June sales to 617,000, up almost 50 percent from a year ago, even as China’s overall auto market weakened. (SD-Agencies)