TOKYO -- Mazda has agreed to form a new venture with two Chinese partners in which it will have a 47.5 percent stake.
State-owned Chongqing Changan Automobile will also hold 47.5 percent of the new joint venture, called Changan Mazda Automobile. FAW will own the remaining 5 percent.
"The three companies aim to utilize every strategic and managerial opportunity in the new joint investment company and strive to make its business and management system optimal to adapt to the needs of the expanding Chinese market," Mazda said in a statement.
In China, the world's biggest car market, Mazda's sales lag far behind other Japanese automakers.
The automaker sold 214,574 vehicles in China last year, down from 227,750 in 2019. Rivals Toyota, Honda and Nissan all sold over one million cars in the market last year.