Stellantis N.V. (NYSE:STLA) said on Monday it has entered into a non-binding memorandum of understanding with Dongfeng Motor Corporation to establish a Europe-based joint venture focused on new-energy vehicles.
The proposed business would oversee activities including sales, distribution, manufacturing, procurement and engineering operations linked to electric and new-energy vehicles across Europe.
Voyah brand expansion in Europe
Under the proposed structure, Stellantis would hold a controlling 51% stake in the venture, which would be responsible for marketing premium vehicles under Dongfeng’s Voyah brand in selected European markets, according to a statement from the Franco-Italian automotive group, confirming earlier reports from Reuters.
The agreement also provides for the potential localisation of vehicle production in Europe, including the possibility of assembling future Dongfeng models at Stellantis’ facility in Rennes, France.
Executives highlight strategic cooperation
“The plans announced today take our recently strengthened collaboration with Dongfeng to a new dimension, that of an international partnership serving customers around the world,” Stellantis chief executive Antonio Filosa said in the statement.
According to Dongfeng chairman Qing Yang, “the joint venture will be able to deliver even greater value, accelerating Dongfeng’s international expansion while supporting Stellantis’ global strategic transformation and strengthening its presence in China.”