Tata Motors has signed the Memorandum of Understanding (MoU) for a long term partnership with German conglomerate Volkswagen Group and its subsidiary Skoda. The alliance will form base for strategic collaboration for developing new products jointly. The agreement was inked by officials Guenter Bustschek, CEO & MD of Tata Motors, Matthias Mueller, CEO of Volkswagen AG and Bernhard Maier, CEO of Skoda Auto. Tata Motors aims to rolls out new products based on the joint work by 2019.
The document objectifies the terms, modalities of a long standing alliance in several areas. Skoda Auto will represent parent company Volkswagen to further take the works related to vehicle concepts from the perspective of economy under the JV. Read – Upcoming New Car Brands In India
Announcing the newly formed strategic collaboration, Guenter Butschek, CEO and Managing Director, Tata Motors, said that Tata Motors is happy to collaborate with Volkswagen Group and Skoda. With the belief that both the companies with benefit from this alliance, they envisage developing smart innovative solutions for the Indian & international market. He further said that this collaboration is in line with Tata Motors’ objective to make itself ‘FutureReady’ by adopting new technologies, stimulating versatile platforms and providing solutions that meet with customers’ expectations.
Matthias Müller, CEO of Volkswagen AG, also commented that with this strategic partnership with Tata Motors, the company aims to develop customer oriented solutions in the emerging and fast-growing markets. He also mentioned that VW is looking at developing sustainable products that reap benefits in India and other markets globally.
“We are looking forward to the joint project with Tata Motors. 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.
Tata Motors and Skoda Auto, on behalf of Volkswagen Group will chalk out the guiding principles and terms of the alliance in the coming months. Once both the companies structure a plan, they will start joint development and joint value-chain activities.
