French automaker Renault and China's Zhejiang Geely Holding (GEELY.UL) said in a joint statement on Monday that they have reached an agreement to produce and sell zero- and low-emission vehicles in Brazil.

Geely will hold minority stake in Renault do Brasil, enabling access to localised production, sales, and service resources.

The Renault Group and Geely Holding are joining forces for the production and sale of zero- and low-emission vehicles in Brazil. Geely intends to acquire a

French automaker Renault and its Chinese partner Geely said in a joint statement on Monday that they had agreed to produce and sell zero- and low-emission vehicles in Brazil. Renault said that "Renault do Brasil" would welcome Geely Holding as a new partner and that entry into this venture would enable Geely Holding to access the Renault Group's Ayrton Senna Industrial Complex,

Production and distribution partnership comes as China’s carmakers look for friendly global markets amid US and European tariffs.