Sources say Mitsubishi Motors has decided to end vehicle sales and production in China, and pull out of the country. This comes as a rapid shift to electric continues to push down gasoline car sales in the world's top auto market.

The company is expected to make an official decision as early as next week. But sources tell NHK the automaker has already decided to sell its stake in a Chinese firm that manages its production in the country.

Mitsubishi has run a factory in Hunan Province since 2012, but suspended operations there in March. It is now expected to end its business in China when the current inventory runs out.

Mitsubishi's lineup of mostly combustion engine vehicles has struggled in China, where electric and plug-in hybrid models are increasingly dominant. The company plans to instead focus on the Southeast Asian market.

Other Japanese automakers that depend on gasoline models have also been hit by declining sales and are now reviewing their China strategies.