As a first step, the companies agreed to cooperate in the development of commercial vehicles in January 2019, with the extension of the plans last July to pickups and a Ford EV built on the Volkswagen Group`s MEB platform. The two companies have signed formal agreements for the partnership and have presented all the details of the projects in which it will participate. In a separate deal, Ford plans to build electric cars based on engines, batteries and other standardized components developed by Volkswagen and used in a model called ID.3, which expires next year. Volkswagen said the car would be sold for less than 30,000 euros in Europe, or $34,000, making battery-powered transportation more accessible to middle-income buyers. Volkswagen has said it wants to use Ford plants in the U.S. to build a few vehicles for the North American market, and while there may be joint production, Ford`s Le Hackett stressed that it does not plan to cut the company`s workforce as a result of the Ford-VW deal. As part of the deal, Ford could produce a mid-size commercial vehicle and truck for itself and for Volkswagen starting in 2022. According to Ford spokesman Mike Levine, Ford`s Ranger (the version sold in the international market) will be the basis of the pickup, while the pickup will be derived from the U.S. automaker`s Transit Custom Van sold in other markets. Ford will offer the platform that backs up its Ranger to help Volkswagen produce a new version of its Amarok pickup.

The Amarok will be included in the VW utility program as early as 2022. Over the life of the deal, Ford and VW expect to produce a total of 8 million units of medium-sized trucks, trucks and urban trucks. Ford and Volkswagen both say the deal could generate significant savings on operating costs as early as 2023. The alliance will offer both companies considerable savings and allow them to develop new or updated offerings in important market segments, whose development costs are significantly reduced. It is estimated that the combined savings of the deal could reach $1 billion (£773 million). An important part of the deal will be a Ford EV focused on the European market and developed until 2023 on the Volkswagen Group`s MEB electric architecture. The company says the Ford machine will be “highly differentiated” and will be designed and built at the U.S. company`s European site in Cologne, Germany.

FRANKFURT/DETROIT — Ford Motor Co. and the Volkswagen Group have reached a framework agreement to share electric and autonomous automotive technologies and expand their alliance beyond commercial vehicles, a source familiar with the matter said. The deal calls for Volkswagen to participate in a Ford-backed startup that develops autonomous technologies, and for Ford to use components from electric cars developed by Volkswagen. Ford and the Volkswagen Group have announced their expected announcement of a cooperation agreement for the development of commercial vehicles and mid-sized vans. The two auto giants will also look for ways to collaborate on the development of electric and self-driving vehicles to achieve cost savings on both sides. Volkswagen has agreed to invest $2.6 billion in cash and other resources in Argo AI, a Ford-backed startup that works on sensors, software and other technologies to enable cars to drive themselves. . .

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