Tata Motors has inked MoU with Volkswagen Group and Skoda to explore strategic alliance opportunity for joint development of products.
Skoda Auto will take the lead on behalf of the Volkswagen Group to drive forward work towards development of vehicle concepts in the economy segment.
Tata Motors CEO and Managing Director, Guenter Butschek, said, “We are delighted to announce our potential cooperation with Volkswagen Group and Skoda. This is in alignment with Tata Motors’ efforts to make itself ‘FutuReady’ by embracing new technologies, fostering higher platform efficiency and offering solutions that connect with the aspirations of our customers.”
Matthias Müller, CEO of Volkswagen AG, said, “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”.
“Delegating project responsibility to ŠKODA underscores the great confidence of the Volkswagen Group in the ability of our brand. Together with Tata we will be specifying the concrete opportunities for collaboration over the coming months”, Bernhard Maier, CEO of ŠKODA Auto, stated.
After successful completion of definitive agreements, the companies will start joint development work and joint value-chain activities. Based on this joint work, Tata Motors is planning to roll out products in the Indian market from 2019.