Dec. 10, 2018—Ford and Volkswagen plan to announce an alliance shortly after the new year, according to the Daily Times.

Among the key elements expected to be part of the deal will be a cooperative effort to bring to market electrified and autonomous vehicles, something each of the companies already has spent billions of dollars developing.

The meeting, which included other European auto executives such as Daimler CEO Dieter Zetsche, was aimed at easing trade tensions that have seen Trump threaten to impose major new tariffs aimed at restricting access to the American market by European automakers. The two have been talking for the better part of a year.

Confirming widespread rumors, Ford and VW formally signed a memorandum of understanding last June that focused on efforts to jointly develop and assemble commercial vehicles.