The new offer could help both companies improve in their respective weak spots; Mercedes-Benz could borrow technology from Renault for production of smaller cars while Renault, which is about to launch a range of premium models, could take on board Mercedes-Benz's renowned luxury expertise.
The news of the offer was reported in a German newspaper Boersen-Zeitung, which quoted Jerome Stoll, executive vice president of sales and marketing at Renault, as saying about the offer,
"Dieter Zetsche spoke to our leadership. Everything is possible, so long as it makes sense commercially for both partners. Mr. Zetsche said the premium segment is not taboo. One has to explore this."
In 2014, Renault will launch the new Renault Espace luxury MPV but if Renault and Mercedes-Benz join heads, Renault could be about to release a number of future premium models.