Fiat, Mazda to jointly develop roadster

Fiat and Mazda are teaming up to make new versions of two of the most successful and iconic sports cars, the first step of a possible broader partnership between the Japanese and Italian automakers and the latest example of the industry's biggest players joining forces to share development costs and improve economies of scale.

The agreement—a non-binding memorandum of understanding announced early Wednesday—allows Mazda to try out a partnership with another big foreign manufacturer after a pact with Ford Motor Co. unravelled last year.

The alliance will work on a car for Fiat's Alfa Romeo brand and a roadster with a different engine and styling for Mazda.

Each company will take charge of the body design and the engine for their respective versions of the new model, but both will be based on a new version of Mazda's MX 5 - the car that Mazda is best known for.

Production of the car is expected to start at Mazda's Hiroshima plant in Japan in 2015.

Mazda and Fiat have also agreed to look at cooperating in Europe. A partnership would focus on product development and manufacturing.