The auto industry appears to be a land of partnerships, as a new one seems to pop up every day. The newest agreement comes from BMW and Peugeot , who have signed an agreement to jointly work on a new hybrid vehicle.
The two companies will work together in the effort to develop hybrid components for a front-wheel drive vehicle. This is no surprise since BMW has been discussing the possibility of a small front-wheel drive vehicle for the U.S market for some time now. Although we have had no official announcements on a new hybrid system, this new partnership could be just what the doctor ordered.
There is a chance that Mini might get in on this sharing effort, seeing as how Toyota is preparing an onslaught of new hybrid vehicles, including a Yaris-sized vehicle.
Peugeot have yet to make any noise on the possibility of a front-wheel drive hybrid, as most of their hybrids use batteries to turn the rear wheels, while the fronts are powered by a regular petrol engine.
This isn’t the first time that BMW and Peugeot have linked up, as the two have been working on engines for years. In February, the two signed an agreement to jointly work on a four-cylinder powerplant, which will be able to meet EU 6 requirements.