China Approves Renault Venture with Dongfeng

China has approved a 50:50 joint venture between Renault SA and Dongfeng Motor Group Co., Reuters reports.

Dongfeng says approval was granted earlier today by China's National Development and Reform Commission. Environmental authorities okayed the plan in June.

The long-awaited deal comes after years of preliminary discussions and a memorandum of understanding that was signed 20 months ago.

The 7.8 billion-yuan (€937 million) partnership will be called Dongfeng Renault Automotive Co. Ltd. The venture aims to produce 150,000 vehicles and an unspecified number of engines annually.

Previous reports said the partners will make minivans and SUVs at a new factory in Wuhan, starting with Renault's Koleos compact crossover.