FRANKFURT (Reuters) - German engineering giant Siemens and French auto supplier Valeo (PA:VLOF) are teaming up to make engines for electric and hybrid cars, the companies said in a joint statement on Monday.
The venture will have headquarters in Erlangen, Germany and facilities in France, Norway, Poland, Hungary and China and is to become operational in late 2016.
No financial details were disclosed.
The venture will develop and sell high-voltage electric motors, range extenders and chargers used in electrified cars and light commercial vehicles.
"With the expertise offered by Siemens, a leader in power electronics and electric motor products, Valeo would maintain its technological lead by offering a comprehensive line-up of technologies ranging from micro-hybrid to all-electric solutions," said Valoe chief executive Jacques Aschenbroich.
Siemens managing board member Klaus Helmrich said: "The Valeo Siemens joint venture is yet another example of forming a true Europe-based company."
The venture will combine Valeo's high-voltage power electronics business, which employs 200 people, with the E-Car Powertrain Systems Business Unit at Siemens that employs around 500.
The project is subject to consultation with employee representatives and the approval of anti-trust authorities.