DaimlerChrysler and Hyundai to Continue Strategic Alliance

So why the need for the two automakers to rethink their strategic alignment? Since working together in September of 2000 much has occurred in the consumer automotive market

Much has changed in the auto industry in the past four years, so a new cooperation plan between the two companies was needed. The next-generation Dodge SX 2.0 will receive the new 4-cylinder engine co-developed with Hyundai and Mitsubishi. (Photo: Trevor Hofmann, Canadian Auto Press)

and global commercial vehicle market. Rather than force each other to live with the original agreement, a strategy that would see both companies losing, a new cooperation allows DaimlerChrysler and Hyundai Motor to rethink and re-prioritize strategic objectives based on the new economy.

On the subject Vice Chairman Kim, Dong Jin of Hyundai Motor stated, "We have been partners with DaimlerChrysler for nearly four years now and believe that the realignment of the strategic alliance is an important step

The cooperation between the two companies will be on a per-project basis, starting with a replacement for Chrysler Group's aging 2.4-liter four. (Photo: Trevor Hofmann, Canadian Auto Press)

forward to better position both companies to capitalize on opportunities in the changed market environment now facing us."

Dr. Eckhard Cordes, Member of the DaimlerChrysler Board of Management and Head of Commercial Vehicles Division added, "Over the last few years, we created multiple strategic options for sustainable and profitable growth of our business in Asia. We are now implementing the strategy with good progress. In light of these developments, DaimlerChrysler and Hyundai Motor have agreed to primarily focus on a collaborative relationship on a per-project basis in the future."