Ford and Volkswagen are in talks about building VW vehicles in some of Ford’s U.S. factories.
VW CEO Herbert Diess (dees) told reporters after a meeting at the White House that the automaker is holding discussions with Ford.
Ford CEO Jim Hackett confirmed the talks Tuesday and Executive Chairman Bill Ford says the negotiations are going well.
VW also has said it’s considering a new U.S. factory to build electric vehicles that the company plans for the future.
The German company now builds SUVs and a midsize car at a factory in Chattanooga, Tennessee, but imports the rest of its vehicles.
Ford and VW also are in talks about an alliance to build commercial vehicles.