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Ford Volkswagen merger in the works

October 19, 2018, 04:49 PM IST by Santosh Nair
Ford Volkswagen merger in the works

Industry experts expect the Memorandum of Understanding (MOU) signed earlier this year by Ford and Volkswagen to be more than just co-developing commercial vehicles.

Since the whole idea behind this collaboration would be to better serve the evolving needs of customers, it is believed that a full-fledged merger may be on the cards. However, Ford disclosed that the alliance would not include any cross-ownership stakes. 

Many believe that the timing for such a deal is actually ideal. Especially for Ford, who has of-late, been riding rough weather that ultimately saw them abandoning traditional sedans and coupes in the U.S. Talks between the two companies are currently happening, and only time will tell if it cooks up a larger partnership between Ford and Volkswagen. 

As for VW, the alliance will help them penetrate into sectors in U.S. where Ford has a strong-hold. And in the same way, Ford can strengthen its position in the European market with VW’s partnership. Stay tuned to CarWale for more information in the time to come.


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