Mitsubishi Fuso Truck and Bus Corporation (MFTBC) and Nissan Diesel Motor Co., Ltd. (Nissan Diesel) today announced that the companies have signed a letter of intent (LOI) to explore expansion of their relationship regarding the bus business, including the possibility of establishing a joint venture company in the bus business.

To optimize participation in the bus market in Japan, the companies will discuss integrating bus operations including planning, research & development, production and sales under a joint company. But both MFTBC and Nissan Diesel plan to continue to offer comprehensive bus product lines under their own brands.

The purpose of the planned increase in bus cooperation is to make effective use of both company’s resources so the companies can extend their capabilities to develop, produce and service fuel efficient, low emissions (clean) buses which meet comprehensive customer needs.

“The signing of the LOI with Nissan Diesel is an important step for our bus business in Japan and our Asia strategy,” said Daimler AG Board of Management member Andreas Renschler, who is responsible for Daimler Trucks and Daimler Buses. “Combining the bus expertise of Fuso and Nissan Diesel is intended to strengthen the competitiveness of both brands.”

“MFTBC is one of the leading commercial vehicle manufacturers in Asia, and it has a strong market position in Japan. Through the potential cooperation with Nissan Diesel in the bus business, we plan to strengthen our joint position in the Japanese market. Through this cooperation we are responding to the structural changes and challenges of the bus business in Japan,” said Dr. Albert Kirchmann, President & CEO of MFTBC.

The companies already participate in an OEM supply agreement reached in July 2006, whereby MFTBC has supplied Nissan Diesel with large tourist coaches and some large city buses and Nissan Diesel has supplied MFTBC with mid-sized buses and non-step, large city buses since June 2007.