Italian carmaker Fiat and its U.S. unit Chrysler are set to sign a new agreement with Guangzhou Automobile Group Co <601238.SS> to produce the Jeep vehicle for the Chinese market, Il Corriere della Sera said on Sunday.
In an unsourced article, the Corriere said the head of Fiat and Chrysler Sergio Marchionne could announce the agreement at the Detroit auto show, which kicks off on Monday.
Under the agreement, off-road vehicles under the Jeep brand will be produced at GAC's Canton factory, the paper said.
Fiat, which declined to comment the report, already has a joint venture with GAC.
The agreement does not envisage moving any jobs from Chrysler's main Jeep factory in Toledo, Ohio, the Corriere said.
In October, Marchionne said Jeep production would not be moved from the United States to China.
Fiat is betting on strong demand for its Jeep not just in the United States but also in foreign markets such as Russia, India and China.
(Reporting by Stephen Jewkes; Editing by Catherine Evans)