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PSA Peugeot Citroen and BMW considering an alliance?

Rumors | February 3rd, 2009 by 0

A  BMW delegation has met with representatives of the French government to talk about a closer cooperation between BMW and PSA Group. The parties also …

A  BMW delegation has met with representatives of the French government to talk about a closer cooperation between BMW and PSA Group. The parties also exchanged opinions on issues such as electric cars.

BMW already cooperates with the French company PSA in developing engines for the MINIs, the 1.4-litre and 1.6-litre engines which are used in the Peugeot 207 and 308 and in the Citroen C4 and C4 Picasso.

It also has been rumored for a long time now that the next generation BMW 1 Series will receive PSA/BMW engines, which will range from 1.4 to 2.0 liter, a twin-turbo was rumored as well.

The news were reported by Bild citing the La Tribune, but BMW quickly rushed to stop the speculations. BMW spokesman Marc Hessinger told the press that a company delegation did not include members of the board, and that simply the conversation topics included “cooperation on a political level between France and German on sustainable mobility” and issues like electric technology.

BMW also announced that the two sides did not talk about industrial cooperation, and thus not about a possible alliance between BMW and PSA Peugeot-Citroen. What the spokesman confirmed were the talks between the Fiat and BMW, regarding joint projects.

Was this just a rumor or is BMW indeed seeking larger partnerships with other European carmakers, partnerships that will allow BMW and the other companies to reduce production costs by sharing parts?

Time will tell, but I thought it would be interesting to share these speculations with you.

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