You are using an older browser version. Please use a supported version for the best MSN experience.

Volkswagen and Ford Considering Vehicle Co-Development

The Drive logoThe Drive 6/20/2018 James Gilboy
a blue and white sign© Left: Sean Gallup/Getty Images Right: Karen Bleier/AFP/Getty Images

In a joint press release Tuesday, Volkswagen and Ford announced that the two companies would evaluate an alliance to develop a multitude of joint projects, namely, a line of commercial vehicles.

Research

"Ford is committed to improving our fitness as a business and leveraging adaptive business models, which include working with partners to improve our effectiveness and efficiency," stated Ford's Jim Farley, president of global markets, in the joint press release. "This potential alliance with the Volkswagen Group is another example of how we can become more fit as a business, while creating a winning global product portfolio and extending our capabilities."

Research Ford and Volkwagen on MSN Autos

Volkswagen Group's Head of Strategy, Dr. Thomas Sedran, issued his own comments alongside Farley's in the release.

"Markets and customer demand are changing at an incredible speed," explained Sedran. "Both companies have strong and complementary positions in different commercial vehicle segments already. To adapt to the challenging environment, it is of utmost importance to gain flexibility through alliances. This is a core element of our Volkswagen Group Strategy 2025. The potential industrial cooperation with Ford is seen as an opportunity to improve competitiveness of both companies globally."

If the two companies move forward with the deal, no company ownership will be exchanged. Both promise updates as talks develop.

Late last year, Volkswagen was reported by the Wall Street Journal to be in similar discussions with Fiat Chrysler Automobiles, with the two examining co-production of "light utility vehicles."

The Drive reached out to Volkswagen for comment on whether Volkswagen and Ford are exploring a deal similar to that evaluated by it and FCA, and we will update when we hear back.

Follow MSN Autos on Facebook and Twitter

AdChoices
AdChoices

More From The Drive

Loading...

image beaconimage beaconimage beacon