Ford, VW to announce partnership next month?

A Ford-VW tie-up could be right around the corner.

Ford and Volkswagen could announce a far-reaching global alliance as soon as January, a new report claims. Ford and VW have been in talks regarding a potential partnership for the last several weeks.

According to a new report from CNBC, Ford and VW will announce their new partnership "shortly after the new year.” The exact nature of that alliance hasn't been defined, but it's expected to cover technologies both new and old.

Previous reports have suggested that VW could use excess capacity at some Ford plants to expand its U.S. manufacturing footprint. The German automaker is said to also be considering a plan to expand its own production facility in Chattanooga, Tennessee.

VW has also said that it's open to sourcing a future pickup truck model from Ford. The truck tie-up would likely involve Ford's mid-size Ranger, which could serve as the basis for the next-generation VW Amarok.

Looking long-term, the pact could see Ford and VW partnering on EV and autonomous tech. Such a synergy would greatly reduce the development costs associated with the expensive technology.

Given the reported timing of the announcement, it's possible that Ford and VW could announce their alliance at the Detroit auto show.