VW, FCA in Talks About Truck and Van Venture

Fiat Chrysler Automobiles NV and Volkswagen AG are in preliminary discussions about jointly producing light-duty vans and midsize pickup trucks, sources tell The Wall Street Journal.

But any such project isn’t likely to move forward until VW resolves its diesel emission cheating scandal, which so far has amassed roughly €21 billion ($25 billion) in fines, penalties and restitution payments. The sources add that VW isn’t interested in acquiring either FCA or its iconic Jeep brand.

The companies are exploring a possible partnership to build next-generation versions of VW’s midsize Amarok pickup truck and compact Caddy panel van. Both models are sold primarily in Europe and compete with FCA’s Fullback pickup and Fiat Doblo van.

If the two companies agree to collaborate, they would share development costs. Each would then market variants of the pickup and van under their own brands.