Mitsubishi is to build 30,000 reworked Outlander SUVs a year for PSA Peugeot Citroën for sale in Europe from June 2007.
The vehicle will likely be a version of the new seven-seat Outlander due for sale under the Mitusbishi badge in the US around the same time.
The deal gives the Japanese car maker guaranteed sales while offering PSA's Peugeot and Citroën brands new models in a segment where they currently do not compete.
The two companies signed a memorandum of understanding on the deal last Friday. A detailed final agreement will be completed in the coming months.
Mitsubishi's own SUV based on that platform will go on sale in North America at the end of 2006, about a year after it is launched in Japan. It will go on sale in Europe and other markets in 2007.
Mitsubishi aims for sales of 50,000 in North America, 30,000 in Europe, 17,000 in Japan and 16,000 in other markets.
:quality(70)/s3.amazonaws.com/arc-authors/irishtimes/d1dffb5c-a0a5-4678-9146-23c7c8e72c21.png)