By P.R. Venkat
A loss-making joint venture between Stellantis NV and Guangzhou Automobile Group Co. will file for bankruptcy.
Stellantis will continue providing services to existing and future Jeep brand customers in China, according to a statement by the company on Monday.
The plan to file for bankruptcy has been approved by the shareholders of the joint venture, Stellantis said.
Stellantis had impaired the value of its investment in the joint venture and other related assets in its first-half financial results.
In July, Stellantis said that it was pulling out from the joint venture and that it would instead focus on selling imported Jeep vehicles into China.
Stellantis is the parent of auto brands including Jeep and Chrysler.
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