Volkswagen Truck & Bus boss Andreas Renschler has confirmed the implementation of a new plan to streamline the development of its new drivetrain.

The new plan, aimed to free up capital, will see more collaboration between MAN and Scania on the development of engines, gearboxes, after-treatment systems and axles for all marques under the Truck and Bus umbrella, including the newly acquired US brand Navistar.

“Thanks to the concept of lead engineering, we have established clear rules for future cooperation between MAN and Scania in the area of research and development,” Renschler said.

“Both companies will develop our component platforms together, whilst incorporating their own individual strengths, which means that the cultures and business models of the brands will be preserved.”

“This will generate synergies that are to everyone’s advantage and give us the necessary financial room to manoeuvre and create new business areas, develop innovations for our customers and penetrate additional markets so that MAN and Scania will also be ensured a leading market position in the future,” he added.

Under the new arrangement Scania will take the lead on development of the 13 litre engine platforms and large after-treatment systems, heavy duty gearboxes and engine management systems, while MAN will be responsible for 5-9 litre engine options, light to medium duty after treatment systems and transmissions as well as axles.

Chief Technology Officer Anders Nielsen believes the plan highlights the strengths of the two European marques in the group.

“The way in which items have been allocated is a result of the product ranges that the two manufacturers offer,” Nielsen said.

“Whilst Scania is only represented in the heavy truck segment, MAN also offers vehicles up to a lower limit of three tonnes, for example the TGM and TGL, and in future also the TGE.

“Each company shares its strengths and in doing so contributes to the success of the team.”

The company is also adamant that despite major restructures, no jobs will be lost but many employees will be required to move between brands or reallocated to other roles.

The changes will come with restructures, the company says, but no jobs will be lost. Rather employees may have to move between brands or to other roles.