Ford and PSA decide to end partnership on large diesel engines

Article by Anita Panait, on April 9, 2012

Ford Motor Co. and PSA/Peugeot Citroen are terminating their alliance on the joint development of large diesel engines. The companies said the termination was not because of PSA's new partnership with General Motors Co. A Ford spokesman told Automotive News Europe that the companies’ decision to part ways was already being discussed even before the PSA and GM announced their partnership. 

A PSA spokesman has clarified that the move was not due to the company’s alliance with GM. According to a joint statement released by both PSA and Ford, the two companies decided to independently develop and manufacture larger diesel engines, covering 2.0-liter and above,  to meet their future needs and comply with new regulations.

The companies said that large diesel engines developed and built separately will power light commercial vehicles produced after 2015. Ford, however, said that it will continue to cooperate with PSA with regards to the development of medium displacement 1.4-liter to 1.6-liter diesels, which accounted for about 75% of over 20 million engines, which the alliance has built in the last 12 years.

Ford currently uses large engines to power its Focus and Mondeo C-Max, S-Max and Galaxy and Kuga models. PSA uses the large engines to power the Peugeot 308, 407 and 508 models and Citroen C4, C5 and C8.

Topics: ford, psa, partnership

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