Daimler AG's (DAI) chief executive Wednesday said cooperations are crucial for automakers to share the costs of developing new technologies such as alternative drivetrains given the high investments required, but economic returns will only be small in coming years.

"The solution can only be a systematical sharing of work and costs," Dieter Zetsche said during a conference in Ludwigsburg, Germany, according to a prepared statement.

Daimler has for example teamed up with Renault SA (RNO.FR) and Nissan Motor Co. Ltd. (7201.TO) to cooperate in the field of small cars and forged a partnership with BYD Co. (1211.HK) to launch an electric car in China in 2013. Daimler also bought a stake in U.S. electric car maker Tesla Motors Inc.

"I guarantee you, when alternative drivetrains will be produced on a large scale, we'll have a head-start over the competition," Zetsche said.

Daimler is also in talks with rival BMW AG (BMW.XE) over extending the joint purchasing of certain parts and components. But the world's two largest luxury car makers have so far been reluctant to provide details on the cost synergies.

On Tuesday, BMW CEO Norbert Reithofer reiterated that the company won't compromise on its independence, despite cooperating with other automakers on individual projects.

-By Christoph Rauwald, Dow Jones Newswires; +49 69 29 725 512; christoph.rauwald@dowjones.com
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