According to a report by German daily Handelsbatt, Daimler AG is talking to Renault SA and other potential partners to forge a partnership for compact cars by mid-2010.

“But it could certainly also go faster than that,” Dieter Zetsche told the publication.

Daimler has been previously reported to be in talks with Renault on a new small car platform. Renault also named Daimler as a potential partner earlier this month. The German company is seeking a partnership that will help it expand its Smart brand and jointly produce engines for the Mercedes-Benz B-Class.

- By: Omar Rana

Source: Automotive News (Subscription Required)