In a statement, Aston Martin said Palmer is tasked with leading "the next phase of technology and product creation". According to a report in the Financial Times today, Palmer will also help Aston Martin to "regain lost ground" against rivals including Porsche, Ferrari and Bentley.
Reports suggest Palmer was Aston Martin's main target during the recruitment process, which is understood to have taken more than a year. Former Aston boss Ulrich Bez stepped down late last year.
Renault's product planning boss Philippe Klein will replace Palmer as the head of Nissan when he leaves later this month, and will report directly to Renault-Nissan boss Carlos Ghosn.
A statement from Aston Martin's board of shareholders reads: "We're delighted that Andy is able to join us as our new CEO at this important time at Aston Martin.