15 March 2017 Current Affairs: Tata Motors on 10 March 2017 announced the signing of a MoU for a long-term partnership with Volkswagen Group and Skoda to explore strategic alliance opportunities for joint development of products.
The Memorandum of Understanding (MoU) was signed by Guenter Butschek, CEO & MD of Tata Motors, Matthias Mueller, CEO of Volkswagen AG and Bernhard Maier, CEO of Skoda Auto.
Features of the MoU : The MoU lays down the scope and objectives in order to reach agreement on the modalities and terms of a long-term cooperation in identified areas of partnership.
As part of the MoU, the Skoda Auto will take the lead on behalf of the Volkswagen Group to drive forward work towards development of vehicle concepts in the economy segment. In the next few months, Tata Motors and SKODA Auto, representing the Volkswagen Group, will detail out the guiding principles and terms of cooperation under the agreement.
After the successful completion of definitive agreements, the two parties will start joint development work and joint value-chain activities.
Based on this joint work, Tata Motors will launch products in the Indian market in 2019.