Models to be produced by JV include new-energy vehicles, venture will explore the possibility of smart mobility services

Audi AG has joined hands with China's largest automaker SAIC Motor to localize and sell its models, a move to consolidate its beleaguered lead in the country's premium car market.

Shanghai-listed SAIC Motor said in a letter to investors on Monday that it signed a memorandum of understanding with Audi's parent company Volkswagen AG at its headquarters in Wolfsburg, Germany, on Friday.