VW says it might use Ford manufacturing capacity in U.S.

Volkswagen Group CEO Herbert Diess said the automaker was building an alliance with Ford and that they might use the U.S. automaker’s plants to build cars.

VW is also considering building a second car plant, Diess said on Tuesday after a meeting at the White House. “We are in quite advanced negotiations and dialog with Ford to really build up a global automotive alliance, which also would strengthen the American automotive industry,”  he said.

Ford and VW said on June 19 they would explore a strategic alliance and they agreed to a memorandum of understanding at the time. Talks further intensified this fall, the automakers said in October.