Daimler is reportedly in talks with Fiat about a cooperation to develop the next generation and A- and B-Class.
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According to the German magazine, Auto Motor und Sport, Daimler CEO Dieter Zetsche has already met personally with Fiat CEO Sergio Marchionne to discuss the possible project. A Daimler spokesman would not confirm the report.
Zetsche is also reportedly talking to BMW CEO Norbert Reithofer about possibly sharing platforms for the Mini and a coupe and cabriolet version of the A-Class. In return BMW could use the Smart platform for a city car that Auto Motor und Sport describes as missing from BMW’s product range.
Pressure to cooperate comes from the need to produce smaller models as cost effectively as possibly. Mercedes and BMW are not in the same position as Audi, which can benefit from scale efficiencies through the Volkswagen group.
BMW and Mercedes are also reportedly discussing a cooperation on small engine development. BMW already produces small engines in partnership with PSA. Mercedes would be a third party in this project, providing additional scale economies. Decisions on all these matters are expected by the end of the year.
