By IANS,
Chennai: Putting an end to all speculation, the Franco-Japanese automobile alliance Renault-Nissan and the German automobile major Daimler AG are expected to announce their cooperation Wednesday in Brussels.
Representatives of the three companies will address a joint press conference Wednesday.
For quite some time talks about equity swap between Renault and Daimler were on though the parties had denied this.
Renault-Nissan chief executive Carlos Ghosn on his recent visit here termed the media reports about equity swap between Renault and Daimler as speculative.
“This industry is about scale, technology and competitiveness. We are talking with many potential partners and companies. The share swap with Daimler has not been decided,” Ghosn said.
He said equity swaps would happen between two equals or with players who are strong in a region.
“Equity swaps are done largely as a matter of leverage and showing commitment to the partnership,” he added.
In India Renault-Nissan alliance have a 200,000 units per annum car plant near here.
Renault has a joint venture also with Mahindra and Mahindra (M&M) for making Logan car while the Japanese Nissan Motor Company has tied up with Ashok Leyland for making light commercial vehicles.
Renault-Nissan has tied up with Bajaj Auto Ltd to design and manufacture an ultra low-cost car.
In addition the Franco-Nissan alliance is also in talks with Ashok Leyland for rolling out a small car.
The German luxury car maker Daimler has its car plant in Pune and is building its truck plant near here.
It is expected that Renault-Nissan-Daimler will have small stakes in each other so as to cooperate in making cars.