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Japan’s Mitsubishi Motor Corporation has formally signed an agreement, confirming a previously announced tie-up, to build electric cars in co-operation with France’s Peugeot-Citroen.

The car, which will be based on the Mitsubishi i-MiEV that was launched in Japan in June, will be sold by Peugeot-Citroen .

Peugeot has revealed its version will be called iON and wil go on show at the Frankfurt Motor Show this month.

Peugeot i-MiEV

PSA, the parent company of Peugeot-Citroen, said it expects to sell about 25,000 vehicles a year once the car is launched next year.

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The two carmakers had agreed in March to cooperate in developing and marketing electric cars.

Peugeot-Citroen, which will have separately branded versions of the i-MiEV, will start selling the cars in Europe under both brand names by the end of 2010, Mitsubishi Motors said in a statement.

Mitsubishi is making an aggressive push into electric vehicles. The carmaker will begin global sales of the right-hand-drive i-MiEV this year and has plans to expand the rollout of the i-MiEV in left-hand-drive markets in 2010.

01_i-MiEVL

PSA said its version of the electric car would enhance its growing range of low-emission vehicles.

PSA will launch its diesel-electric hybrid technology in 2011 on the Peugeot 3008 HYbrid4 and Citroen DS5 HYbrid4. A plug-in diesel hybrid is due in 2012.

38_i-MiEV

PSA and Mitsubishi agreed in March to cooperate in developing and marketing electric cars.






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