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Renault and Daimler to Cooperate on New Engine Family and Transmission for 2016

Mercedes has been expanding into the small car market and using Nissan to help it

The RenaultRenaultFrance, 1898 > present189 models
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-NissanNissanJapan, 1932 > present159 models
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Alliance and DaimlerDaimlerGermany, 1889 > present12 models
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have announced plans at the Paris Motor Show to cooperate on building and designing a new family of four-cylinder turbocharged engines with low emissions and high fuel economy. They will also work together to build a new transmission that will enter production in 2016.

The new turbocharged engine family will feature direct injection and be especially compact. The engines will be available in Daimler, Renault and Nissan vehicles in 2016.

The new transmission has been developed by Daimler but will be licensed to the Alliance. It will be used in Nissan and InfinitiInfinitiJapan, 1989 > present31 models
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vehicles. The transmission features start/stop and park and shit by wire technology.

“These new components demonstrate how broadly and rapidly our collaboration is proliferating – while all the time remaining rooted in specific projects that give tangible benefits to our customers. The relationship is expanding organically and logically," said Alliance Chairman Carlos Ghosn.

The two companies are also in the early stages of developing fuel cell vehicles and advanced batteries for small cars.

Daimler and the Renault-Nissan Alliance started their partnership in 2010 when Daimler bought 3.1% of the shares of Nissan and Renault, and the Alliance bought 3.1% of Daimler. They have worked together to produce new platforms for the Smart Fortwosmart FortwoGermany, 1997 > present3 series
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and Renault TwingoRenault Twingo Gen.3 [III]France, 2014 > present15 versions
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that will launch in 2014. The two groups will also be sharing three-cylinder and four-cylinder diesel engines. Mercedes and Infiniti will share a front-wheel drive platform in the near future as well.