The car industry has always relied on parts sharing to some degree in a bid to keep costs down, but an unprecedented partnership is reportedly on the horizon.
According to Manager Magazin, Mercedes-Benz could soon start using engines developed and produced by BMW, long its fierce fellow German rival.
Additional reporting by Autocar claims Mercedes-Benz sources have said the brands are “already at [a] high level of planning and negotiations”, with an official announcement set to be made by 2026.
By sharing engines, the two brands would massively reduce their development costs, at a crucial time when the Chinese car industry is taking away sales and moves ahead in the electric and plug-in hybrid vehicle space.
According to the reports, BMW would supply four-cylinder engines for future Mercedes-Benz plug-in hybrid models, such as the CLA, C-Class, GLC and even the long-rumoured ‘Baby G’ rugged SUV, among others.
Mercedes-Benz is no stranger to outsourced engines, with its current CLA powered by a Chinese-made ‘M252’, built by a joint venture between Geely and Renault (named Horse), but designed by the German firm.
This mild-hybrid engine reportedly isn’t suitable for plug-in hybrid applications which will become crucial amid Europe’s ever-tightening emissions net.
While the M252 is currently used transversely, the reports suggest the BMW engine which could be employed is a derivative of the B48, which is not only mounted transversely but also longitudinally. This would provide Mercedes with more flexibility.
The engine deal could also result in Mercedes moving away from using its own in-house transmissions in its BMW-powered models, instead likely using the ZF gearboxes currently found mated to the B48.
Autocar’s report claims the partnership may lead to more global production hubs, which could include a US engine plant, key to the brand’s ambitions to avoiding tariffs currently in place.
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