SEOUL -- French automaker Renault SA plans to invest about $191 million to build an engine plant in South Korea, online news agency edaily reported on Monday, citing industry sources.
The plant, to be built in the South Korean port city of Pusan, will produce 2.0-liter gasoline- and diesel-powered engines and have a capacity of 200,000 to 300,000 units annually, it said.
Part of the engines from the plant will be exported for use by Renault and Nissan Motor, edaily said.
A spokesman at Renault Samsung Motors, the South Korean unit of Renault, declined to confirm the report and said details would be revealed at a news conference on Tuesday.
At the conference, Renault Samsung is set to unveil its passenger car model, SM7. The company, acquired by Renault in 2000, has built small- and medium-sized cars based on models developed by Nissan.
Renault has successfully turned around Nissan, Japan's number two carmaker, from near bankruptcy in the late 1990s.