Asian Tech Press (Nov 8) -- Chinese automaker Geely has reached an agreement with French auto giant Renault Group to form a powertrain technology joint venture.

Zhejiang Geely Holding Group Co., Ltd (Geely), Renault Group and Geely Automobile Holdings Ltd (0175.HK) have entered into a framework agreement to set up a joint venture, aiming to integrate their respective expertise and strengths in the internal combustion engine, hybrid and plug-in hybrid powertrain and transmission businesses and related technologies, according to a statement Tuesday.

Under the framework agreement, Geely and Renault will hold respective 50-50 equity stakes in the new joint venture.

This is not the first cooperation between the two companies. In August last year, Geely and Renault signed a memorandum of understanding to cooperate in the development of hybrid vehicles.