The CEO of PSA/Peugeot-Citroen, Phillipe Varin, said that talks are ongoing with BMW AG CEO Norbert Reithofer with regards to cooperation in areas such as purchasing and components including transmissions and climate control systems.

Presently, PSA and BMW’s Mini brand share a 1.6-liter gasoline engine. Varin said PSA could offer BMW a new fuel-efficient three-cylinder engine that the French carmaker will introduce in 2011. In return, PSA could buy larger engines from BMW. Varin was quoted to have said that groups of experts have been set up to work on deepening the cooperation on gasoline engines, according to the German business daily Handelsblatt. Varin asserted that PSA will not merge with another automaker since the Peugeot family wants the company to remain independent. Instead, PSA is seeking to make more alliances such as its cooperation with Mitsubishi on electric cars. PSA is currently preparing to launch its own versions of the Mitsubishi MiEV electric city car for the Peugeot and Citroen brands.

[via autonews]

Tags: bmw news, car news, peugeot-citroen bmw partnership, psa bmw partnership

This entry was posted on Tuesday, October 27th, 2009 at 12:46 am and is filed under 2009, 4wheels News, Automakers, Bmw, Citroen, Europe, Peugeot, Year, Zone. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.