December 13, Swedish auto brand Volvo has agreed to set up a joint venture with Dongfeng Motor Group Co., Ltd. (600006.SH) to make trucks, the Economic Observer newspaper reported on its website.

Dongfeng will hold 55% of the shares, while Volvo will hold the remaining 45%. The JV is expected to be established next year.

It is reported that Japan’s Nissan Automobile Co. Ltd, the third party in the JV, will stop producing medium to heavy-duty trucks in exchange for support from Dongfeng to make Infiniti and Renault cars locally through their existing venture.