Mitsubishi, Peugeot in electric commercial vehicle tie

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Wednesday, June 30, 2010 at 10:10AM

(Reuters) - Mitsubishi Motors Corp and PSA Peugeot Citroen said on Wednesday they have agreed to work together to develop electric vehicle powertrains, initially focusing on light commercial vehicles.

"This new step results from continuing discussions between the companies to expand their existing collaboration on electric vehicles," the two car makers said in a joint statement.

Mitsubishi Motors said the deal was aimed at developing a commercial vehicle to be sold by PSA.

The Japanese and French partners last September signed a contract under which Mitsubishi Motors will supply electric cars to the Peugeot and Citroen brands based on the egg-shaped i-MiEV model.

In the past few weeks, the two companies have also started discussions on possibly sharing Mitsubishi Motors' low-cost "Global Small Car" to compete in emerging markets, a Mitsubishi Motors spokesman said.

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