VW and Tata have officially announced their new partnership in creating a new range of models targeted to emerging markets like India.
The two companies have signed a Memorandum of Understanding (MoU) to explore the possibilities of a strategic partnership in India.
Skoda is going to lead this new relationship with Tata, firstly addressing topics like the application of specific market knowledge and local development expertise and in the long term creating new models that suit the needs of a market like India.
“Our aim with the envisaged strategic partnership with Tata Motors is to lay the foundations in the Group and the brands that will enable us to offer customer-oriented mobility solutions in the emerging, fast-growing automobile markets, as elsewhere”, said Matthias Müller, CEO of Volkswagen.
“We are delighted to announce our potential cooperation with Volkswagen Group and Skoda”, added Günter Butschek, CEO and Managing Director of Tata Motors. “We strongly believe that both the companies, by working together, can leverage from each other’s strengths to create synergies and develop smart innovative solutions for the Indian and overseas market.”
The details of this strategic cooperation will be announced over the coming months, with reports suggesting that Tata Motors will share its Advanced Modular Platform (AMP) and powertrains while VW will chip in other components, such as electrical systems, in order to create a new range of vehicles that are more suitable to a price-sensitive market like India.
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