Tata Motors and Skoda Auto end chances of collaboration

A potential collaboration between Tata Motors and Volkswagen’s Skoda Auto has fizzled out. Both companies performed a joint technical feasibility and commercial evaluation of a potential collaboration but based on intense and constructive discussions, they concluded that the envisioned areas of partnership may not yield the desired synergies as originally assessed.
 
In March this year, the two companies signed a Memorandum of Understanding at the Geneva Motor Show to explore various options, including a partnership for the development of Tata’s new advanced modular platform (AMP), a joint venture, or a contract manufacturing agreement in a bid to achieve economies of scale that would have helped to cut costs.