MUMBAI, India: Jaguar Land Rover and Chinas Chery Automobile Co. have completed a joint venture to make and sell luxury vehicles in China.

Jaguar Land Rover, which is owned by Indias Tata Motors, has long wanted to set up shop in China, one of the companys fastest-growing markets.

China accounted for 1% of Jaguar Land Rover sales in 2005, but is now its third largest market after North America and the UK. China sales rose 60% in 2011 to 42,000 vehicles.

The joint venture will manufacture engines, Jaguar, Land Rover and joint-venture branded vehicles. The companies also plan to open a research and development facility.

The companies have not disclosed financial details of the deal because it still needs regulatory approval.

Chery is Chinas sixth largest passenger vehicle maker, selling 643,000 vehicles in 2011.

©The Canadian Press