| We've always known Mercedes-Benz and BMW to | | | | Mercedes-Benz has earlier rejected a prior proposal |
| be the arch-rivals in the uber-car market department; in | | | | from BMW that the two luxury carmakers should |
| fact most of us prefer these two great European | | | | work more closely in the future, as revealed by |
| automakers locked in a perpetual battle as to who | | | | Mercedes marketing Chieft Klaus Maier. |
| comes up with the most luxurious car, the smoothest | | | | Maier, in an interview with Handelsblatt, acknowledged |
| performance, the neatest in-car gadgets, or the best | | | | that the two had worked together in the past, |
| auto parts from the engine down to the Mercedes or | | | | commenting "we cooperate naturally with BMW in a |
| BMW camshafts. | | | | few technical areas, like development of hybrid |
| But it looks like in the ever-changing car industry no | | | | engines." The consensus in the Mercedes boardroom |
| rivalries are really sacred. | | | | however, is that there are no plans to work together |
| BMW has recently expressed hope to join forces with | | | | beyond the current co-development of hybrid |
| DaimlerChrysler and the PSA Peugeot Citroen Group | | | | drivetrains. |
| in the development of a hybrid technology, as well as | | | | There are rumors though suggesting that Mercedes |
| for a new transmission and engine technology. | | | | may work with BMW for the production of the |
| BMW Exec Klaus Draeger, in an interview with Auto | | | | next-generation A-Class on the Mini platform from |
| Motor und Sport, revealed that component sharing | | | | Beemer's Oxford factory. |
| between the three carmakers would not be impossible | | | | Reuters, citing German motor magazine Auto Bild, is |
| within the next four years. He however, discounted | | | | reporting that BMW, the world's largest premium |
| plans for common platforms. | | | | carmaker, and its closest rival, Mercedes-Benz, are |
| With PSA, Draeger hopes to see further cooperation | | | | currently in negotiations over a partnership to build |
| in engine development, referring to the deal it shared | | | | subcompact cars. |
| for the new Mini engine as an example of the success | | | | According to the report, the two companies are |
| that could be achieved. According to Draeger, | | | | expected to make a decision in July on whether to |
| technology sharing can be done without compromising | | | | build the next generation Mercedes A-Class on BMW's |
| brand-specific characteristics of the engines. | | | | Mini platform. |
| BMW's Marketing Chief, Michael Ganal has also | | | | A partnership with another automaker will benefit |
| confirmed BMW's interest in working with | | | | BMW since the heavy cost pressure could result in the |
| Mercedes-Benz. "Cooperation is the right approach | | | | loss of money for Mini should its Oxford, England, plant |
| because it allows both carmakers entrepreneurial | | | | not run at full capacity. |
| freedom," Ganal reportedly told German newspaper | | | | Meanwhile, Mercedes has plans of building the next |
| Wirtschaftswoche. | | | | A-Class in 2012 on a platform to be developed jointly |
| Ganal did not say in which areas the cooperation | | | | with Chrysler. These plans however have been |
| between the two companies will increase, but said | | | | sacked after parent DaimlerChrysler's disposal of its |
| there are several possibilities. | | | | majority stake in the money-losing U.S. carmaker. |
| Unfortunately for Draeger and Ganal though, | | | | |