[volkman10]

VW and Ford , earlier this year said they were considering a joint development and production alliance that would include light commercial vehicles and could strengthen the companies' overall competitiveness. and to just focus on co-developing an array of commercial vehicles, but will also work to “better serve the evolving needs of customers.





Now new reports indicate the pair's commercial vehicle partnership, possibly turning into a future merger between the two companies.

But industry analysts are now suggesting such a partnership could reach far beyond the commercial vehicle market, some even wondering whether there could be full-fledged merger or, at the least, an equity swap, in their future.

Win-Win situation:

Ford does have some clear strengths. It’s F-Series pickups make up the best-selling model line in the U.S. market and other light trucks, such as the newly redesigned Edge, are also strong sellers.

But it is particularly weak in several markets, including Europe, Latin America and China, where Volkswagen is strong. The German company is, in fact, number one in China and that cemented its position as the world’s best-selling automaker in the world for the first nine months of this year.

On the other hand, VW is particularly weak in Ford’s home market. It has rebounded in the U.S. slightly as it moves past its diesel emissions scandal but still lags well behind key Asian imports, such as Toyota, Nissan, Honda and Hyundai

Merger or Alliance:

If Merger would pose an issue an alternative scenario is now playing out between what is now Daimler AG and the Euro-Asian Renault-Nissan Mitsubishi Alliance.

A Ford-VW alliance could push a bit further, perhaps with a limited equity swap akin to what happened when Renault helped bail out then-faltering Nissan 20 years ago.

The talks between the two companies are already happening. Whether they will be productive and will result in a larger partnership between VW and Ford, only time will tell.

Source:

[AutoSphere]

Very interesting and easy things first the name could be FordWagen (FW)

[AccordSport]

This is great news. IF this happens VW group will become the unbeatable world No.1 position.

With the current state of Ford - loosing share market value and VW -Dieselgate issues, it will be a win win for both in US for sure.

Also merger makes global sense and it is happening fast in Auto sector.

Next what? GM - Honda alliance ?

[Jomz]

VW Ford merger will never happen. Detroit & Wall street is full of people who still have terrible memories of Daimler Chrysler. It is going to be the same with Ford-VW

[ajmat]

You think the US will let the evil german take over? No way!

Even if Ford want to sell Europe operations a la GM, it would not be VW. Why?

1. VW are not broke, they have cash but have fines to pay at the expense of development budgets.
2. VW are leaders in most markets, why would they need to stumble with Fords over capacity?

What about others?

• PSA have their hands full with Opel
• Renault have enough with the Rebel alliance - could be a dark horse though new entrants to the Alliance are usually basket cases
• Hyundai and Kia will not bother
• FCA? - A possibility - shared platforms might give Fiat a shot in the arm!

[GTO]

IMPOSSIBLE!

An alliance for some products or technology maybe, but there is ZERO chance of a merger.

- Americans hate what happened with Daimler-Chrysler. Once touted as a 'merger of equals', it was later admitted to be a takeover. Americans are hugely patriotic about Ford and will never allow this. When Daimler took Chrysler from the Americans, Chrysler was in healthy shape; when Chrysler was returned to the Americans a decade later, it was like a paralysed patient on life support.

- The Ford family still holds a lot of control over Ford Motor Company.

- VW isn't known to be interested in mergers. They are too big & too aggressive. If VW ties up with a company, it completely swallows it.

- The culture clash between the Americans & Germans is too volatile.

- VW's reputation has taken a beating due to Dieselgate, and also their bitter divorce with Suzuki.

- Ford is very, very particular about its independence & reputation. Remember that, when GM & Chrysler went to Washington with a begging bowl in 2008, Ford did a u-turn and avoided government support.

[volkman10]

Ford Spokesperson's response to the potential alliance:

Both VW and Ford have been very clear: any strategic alliance would not involve equity arrangements, including cross ownership stakes

Link

[sunilch]

Not happening at all. Neither a merger nor an acquisition.

In case of Ford:
- Ford family has a major say in the board and operations.
- How Ford operates in markets, keeps its brand position and runs its product portfolio is very different from how VW operates.
- Ford has done away with having too many sub-brands under on belt - JLR for example, which is opposite of what VW does.

In case of VW:
- Control by 2 family clans and the Union of the workers.
- Very different brand position in numerous markets.
- Very different in how they work/operate.

Two different family influenced, though not completely controlled, behemoths can't merge or work together. And they both know this.

At best you may see some technical collaboration on a particular product or platform or may be a new R&D (safety, connectivity, etc) initiative. Even a branding related joint initiative is Unlikely.

[volkman10]

Ford sees VW cooperation helping with small cars, overseas markets - An alliance similar to the Ford - Mahindra brewing in India.

Ford is in serious negotiations with Volkswagen Group to broaden their alliance beyond commercial vehicles in ways that would help Ford reverse losses in Europe and South America and share costs of costly technology and small cars

Ford spokesperson:

We're having a very broad set of discussions about how we can help each other around the world.
Collaboration isn't being limited in any way whatsoever, whether it’s different types of technology, product segments or geography

With VW and Mahindra, we haven't put boundary conditions in terms of where we could collaborate

Link

[volkman10]

VW- Ford alliance could get more cozy as VW is now open to share the MEB Platform for Electric Vehicles With Ford.


Link

[blackwasp]

Ford & Volkswagen to collaborate on self-driving cars and EVs

According to a media report, Ford and Volkswagen are in talks to jointly develop autonomous and electric vehicles (EV). The move is expected to save both companies considerable expenses and it is reported that both of them will share more details on it by the end of 2018.

Due to the toughened emission norms in Europe, both the German and American car makers are under pressure to launch EVs in the region. The Volkswagen emissions scandal was one of the reasons that lead to a revision in regulations. A joint venture on EVs would enable economies of scale for both companies.

Volkswagen’s CFO has said that the company is open to forge alliances with outside companies in the field of autonomous driving. At present, the VW group companies are investing Euro 34 billion into e-mobility and self-driving by the year 2022. Meanwhile, Ford has created a US$ 4 billion unit for self-driving operations and is seeking outside investors for the project.

Last month, both companies were considering a joint development and production alliance that included light commercial vehicles. The alliance would also work on co-developing new commercial vehicles.



Source: Reuters

Link to the Team-BHP News

[volkman10]

VW could trade platforms with Ford.

Volkswagen CEO Herbert Diess tells Automotive News that the Chattanooga plant could grow, or VW could build another plant to expand North American capacity for EVs and perhaps a pickup. He also says talks with Ford could involve licensing VW's MEB electric architecture, or using the Ford Ranger to replace the VW Amarok.

Link

[volkman10]

VW is likely to use Ford's manufacturing capacity in U.S.

We are in quite advanced negotiations and dialog with Ford to really build up a global automotive alliance, which also would strengthen the American automotive industry

We’re having a very broad set of discussions about how we can help each other around the world

Link

[volkman10]

Ford and Volkswagen are expected to announce "Strategic Alliance" in January 2019.

Barring a last-minute hitch, two of the world's largest automakers plan to announce a far-reaching alliance shortly after the new year, one that will cover a wide swath of territory and a broad range of technologies, new and old.

- to leverage their strengths and offset weaknesses

- will be a cooperative effort to bring to market electrified and autonomous vehicles

- The sharing of assembly plants in the U.S. and other markets

It is also possible, that VW could wind up sharing more than one plant with Ford.

Link

[volkman10]

Volkswagen - Ford alliance made official.

Alliance will see Ford and VW team up on EVs, vans, trucks, autonomous cars and mobility solutions.

Ford Motor Co. and Volkswagen Group said they will collaborate on commercial vans and midsize pickups, and are exploring the joint development of autonomous and electric vehicles as part of a broad partnership designed to save both companies money.

-As part of the alliance, Ford will develop medium-sized pickups and large commercial vans for both companies as early as 2022.

The midsize pickup will be based off Ford's global Ranger and the large van will be based off Ford's Transit Custom, which is not sold in North America,

- Volkswagen intends to develop and build a city van for both automakers.

- Ford and VW are also open to working on additional vehicle programs

The two sides also signed a memorandum of understanding "to investigate collaboration on autonomous vehicles, mobility services and electric vehicles

Link