Opel, which PSA Group has agreed to buy from General Motors, will use the French carmaker's technology in the next generation Corsa.

The current Corsa model is built with GM technology. Opel had previously said its new Corsa, planned to be launched in 2019, would also be built with GM technology but has now decided to use Peugeot technology, allowing for higher margins.

The new Corsa will be Opel's fourth joint project with PSA after Opel models Crossland X, Grandland X and Combo. The Corsa will be built at Opel's largest manufacturing site, in Saragossa, Spain.