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Thomson / Gale

Mazda, China FAW to expand alliance

Automotive Industries,  July, 2004  

Mazda Motor plans to expand its alliance with China FAW Group by cooperating in the development of a remodeled compact luxury car and outsourcing production of a minivan.

The Japanese automaker, owned 33.4 percent by Ford Motor, is also planning to jointly produce passenger vehicles in China with Ford and Changan Automotive Group. Strengthening ties with China FAW as well will allow the Japanese automaker to pursue a two-pronged strategy in the fast-growing local market, the Nihon Keizai Shimbun reported Wednesday.

China FAW developed its current compact luxury sedan with the aid of Audi AG and Mazda will replace the German automaker as the development partner for the remodeled version.

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