Renault, Nissan Form Parts-Buying Company

French auto maker Renault and Nissan Motor Co. of Japan said they are setting up a company to buy parts in a move to improve their leverage over suppliers and obtain better prices. Renault has been working with Nissan to develop cars and share parts since it acquired a 36.8% stake in the Japanese auto maker two years ago. The new parts-buying company, which will be based in Paris, will initially handle about a third of the combined Nissan and Renault annual parts purchases of $50 billion, or about $14.5 billion, the auto makers said. In the future, the company may handle as much as 70% of the procurement for Nissan and Renault.