German automaker Daimler and the Renault-Nissan Alliance have signed an agreement to collaborate on two new projects, to develop new engines as well as expanded availability of Daimler transmissions.
Under the new deal, the German carmaker will develop a new range of 1.3litre 4-cylinder petrol engines with Renault and will certify its automatic transmissions to Nissan and its Infiniti brand.
Renault-Nissan alliance chief Carlos Ghosn said: "The relationship is expanding organically and logically."
Featuring 'start and stop' and 'park and shift by wire' technologies, the new licensed gearboxes are expected to be manufactured by Nissan's subsidiary Jatco in Mexico.
The new joint development programmes are expected to save expenses related to production and development for all three firms and the output is expected to run to about three million of the four-cylinder engines.
According to firms, vehicles powered by the new engines will be unveiled in 2016.
Earlier in 2010, Renault-Nissan and Daimler have already collaborated to manufacture small cars including the Renault Twingo, Mercedes A-Class and Smart, along with engines and they are being manufactured at Nissan's Tennessee facility in the US.
Currently, both the companies are working on a cross-supply program for battery and powertrain components of zero-emission versions of their small cars and they have also been planning to develop new fuel-cell vehicle powertrains.
