Mercedes, Renault and Nissan form global alliance

The Daimler AG's and Renault SA's boards approved plans for a global alliance focusing on sharing small- car technologies and development costs. This deal will include Renault and Japanese partner Nissan Motor Co.

Renault CEO Carlos Ghosn and Daimler chief Dieter Zetsche are scheduled to attend a joint press conference today (Wednesday 07.04.2010) in Brussels.

Nissan and Renault have already been sharing development and costs in their markets, a move which is also expected to take place when they join forces with Daimler.

This global alliance is expected to have a major impact on the Middle East markets in general and the Egyptian market in specific.

In the Egyptian market Mercedes Benz and Nissan products enjoy a good reputation, while Renault has been suffering damaging image problems recently.

Establishing a 'General Sales Office' for this new global alliance under a direct supervision from the headquarters, similar to the general sales office the VW Group is planning for its ten brands in Egypt, would surely be very beneficial for Mercedes, Renault and Nissan.

MS