Cooperation talks in between Germany’s Volkswagen Team and Tata Motors about joint enhancement of a auto for emerging markets, have ended amicably, a Volkswagen Team resource mentioned on Thursday.
FRANKFURT: Cooperation talks in between Germany’s Volkswagen Team and Tata Motors about joint enhancement of a auto for emerging markets, have ended amicably, a Volkswagen Team resource mentioned on Thursday.
The collapse of the talks is a even further blow to Volkswagen’s efforts to develop a low-priced motor vehicle platform for Asian markets, after an earlier alliance with Japanese partner Suzuki also fell apart.
Volkswagen was not instantly readily available for comment.
In March, Tata Motors and Volkswagen announced a Memorandum of Understanding (MoU) for a extensive-term partnership to check out joint enhancement of products and solutions for consumers in India and other markets.
Volkswagen’s entry-level Skoda brand has been commissioned by VW to lead the talks with Tata and was discovering a achievable entry-level auto platform jointly with the Indian company, using Tata’s AMP motor vehicle platform as a basis.
Volkswagen’s Skoda division dropped the thought of establishing the AMP platform on fears that it would want major even further investment decision to fulfill long term crash-check and emissions demands mentioned the resource, who declined to be named.
“VW-Skoda have determined to fall the thought of partnering with Skoda and AMP and in its place check out VW’s very own MQB platform for achievable even further synergies,” the resource mentioned.
Skoda to declined comment.
Tata Motors did not instantly react to a request for comment.
(Reporting by Frankfurt Newsroom Supplemental reporting by Andreas Cremer in Berlin and Aditi Shah in New Delhi Modifying by Georgina Prodhan)