Shares in Mitsubishi Motors Corp jumped 18% today following a report that French carmaker PSA Peugeot Citroen will buy a 30 to 50% stake in Japan's fourth largest manufacturer.

Venezuela has ordered Mitsubishi Motors Corp to reopen its car assembly plant in the South American country.

A German newspaper report quotes a Mitsubishi official as saying that Mitsubishi Motors Corp (MMC) needs at least €2bn fresh capital from shareholders DaimlerChrysler AG and the Mitsubishi group.

Local Japanese carmakers plan to step up efforts to have more of their new cars certified as low-emission vehicles by the Ministry of Land, Infrastructure and Transport, the Nihon Keizai Shimbun reported.

Japan is preparing to overhaul its laws on car recalls in response to a massive cover-up of defective vehicles, according to a national newspaper.