BERLIN, GERMANY — General Motors Corp. and DaimlerChrysler AG have announced that they are teaming up to develop hybrid technology, which combines combustion engines and electric motors, for use in their vehicles, according to the Associated Press. GM and DCX have signed a memorandum of understanding. A detailed agreement is expected early next year, the statement said. No financial details were disclosed. Demand for hybrids has grown worldwide due to concerns about the dangers of global warming and decreasing natural fuel supplies. GM plans to launch hybrid technology in 2007 in its Chevrolet Tahoe and GMC Yukon full-size sport/utility vehicles. “Our planned cooperation will draw on the technical expertise of two of the largest auto companies in the world,” DaimlerChrysler board member Thomas Weber said in a news release. “The result is expected to be a series of strong hybrid propulsion systems that will serve as a solution for our alternative powertrain needs.” The planned project will be open to other partners and may result in GM and DaimlerChrysler licensing hybrid technology to rivals, the statement said.

Originally posted on Fleet Financials