News - BMW

BMW dismisses Peugeot alliance rumour

Case dismissed: BMW denies it will extend its Peugeot relationship beyond the Mini/207 engine program.

French speculation of deeper BMW tie with PSA ‘incorrect’

3 February 2009

By IAN PORTER

SPECULATION that BMW and Peugeot were considering a full-on alliance has been dismissed by the Bavarian premium car-maker.

A report in the French newspaper La Tribune raised the possibility after a BMW delegation visited the offices of the French president, the prime minister and the finance minister. That report was picked up by the Agence France-Presse wire agency.

The newspaper said the French Government was looking for new areas of co-operation for the French carmakers.

Peugeot and BMW already operate a joint engine factory which produces four-cylinder petrol engines for the Mini and 207 ranges.

However, a BMW spokesman told justauto.com that the newspaper story was incorrect.

The talks were not about alliances or manufacturing co-operation, the BMW spokesperson said, but rather they covered the topics of C02 reduction and “electro-mobility”.

Despite the location of the talks, she said neither the president, the prime minister nor the finance minister was present. Nor were any representatives of the French motor industry or Peugeot.

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