Ford And VW Continue Talks But Partnership Probably Won’t Include EVs

BY Brad Anderson | Posted on

Officials from Volkswagen and Ford are expected to meet in Michigan, Detroit this week to continue discussions about the partnership between the two companies.

The Detroit News reports that Volkswagen and Ford are still discussing terms of their deal that was announced at the Detroit Auto Show to encompass a commercial-vehicle partnership and more.

Sources familiar with the discussions claim that the two carmakers had been discussing a potential partnership on electric and autonomous vehicles. However, according to CNBC, such a partnership is no longer on the agenda due to differences in how each company is pursuing electric vehicles.

For’sd president of global marketing Jim Farley said that the differences are “almost like snowboarding and skiing.” Volkswagen is focusing predominantly on electric vehicles for the masses and has committed more than $50 billion to develop over 50 all-electric vehicles by 2025. Its EVs are meant “for the millions, not millionaires,” vice president of e-Mobility for VW North American Region Matthew Renna said.

By comparison, Ford is initially targeting commercial vehicles and performance vehicles with its electric vehicle program.

With this in mind, it’s unclear if VW and Ford will indeed secure a partnership that extends beyond the joint-development and production of commercial vehicles.

In a statement, Ford said that talks continue. “Discussions have been productive across a number of areas. We’ll share updates as details become more firm.”

The current commercial vehicle partnership between VW and Ford calls for work to start on joint vehicles in 2022. It is possible that Volkswagen could also invest in Ford’s autonomous spinoff, Ford Autonomous Vehicles, or Argo AI, the technology company which Ford owns a majority stake of.

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