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Chongqing-based Chang'an Automobile announced to increase investment in Group PSA's luxury, upmarket DS brand during a signing ceremony for an agreement on deepening strategic cooperation between Chang'an Automobile and Group PSA on June 7.

PSA, the French multinational automobile manufacturer, plans to build a DS brand headquarters for the China and Asia-Pacific region in Shenzhen, Guangdong province.

Both sides have agreed to produce more SUVs and sedans at the existing PSA-Chang'an joint venture plant in Shenzhen to accelerate the global production of the plant over the short term.

Chang'an will strengthen its cooperation with PSA in new energy vehicles, traditional engines, intelligent automobiles and overseas cooperation to increase market competition.

PSA will release at least one new car type in the Chinese market every year from 2018 onwards to meet the diversified demands of China. The company will also increase its application of new technologies for its DS product line, including a plug-in hybrid electric vehicle and a fully electric car, which will be released to the market in 2019.

Zhu Huarong, president of Chang'an Automobile, delivers a speech during the signing ceremony between Chang'an Automobile and Group PSA on June 7. [Photo/liangjiang.gov.cn]

Carlos Tavares, president of the Group PSA management committee, delivers a speech during the signing ceremony between Chang'an Automobile and Group PSA on June 7. [Photo/liangjiang.gov.cn]

Edited by Zachary Dye