Faurecia will form a joint venture with Beijing WKW Automotive Parts Co. to supply decorative aluminum parts for vehicle interiors produced in Asia.
The two companies will hold equal stakes in the 14 million euro (100 million yuan) partnership.
Customers in China will include Nissan Motor Co.'s Infiniti luxury brand and Volvo, among others.
In China, Faurecia operates 38 factories and three r&d centers that employ 12,000 workers. The French supplier produces seats, interior trim, exterior components and emissions control systems in China.
The company's annual sales in China totaled 2.3 billion euros last year. Faurecia aims to raise annual sales in China to more than 4 billion euros by 2018.
To boost sales, Faurecia formed a joint venture with Dongfeng Motor Corp. in March and established a partnership with Chongqing Changan Automobile Co. in 2013.
Beijing WKW, based in Beijing, is a major supplier of decorative parts in China.