Top officials representing Nissan Motor Co and Chrysler LLC have reportedly met for preliminary talks regarding a possible collaboration that would include supplying cars, trucks and engines to each other, according to a source familiar with the talks.

Both car manufacturing companies have interests in one another. Japan’s third largest care producer, Nissan, is keen about Chrysler's expertise with large trucks; Chrysler, on the other hand, has shown interest in getting access to Nissan's small cars.

Both companies have similar original equipment manufacturing (OEM) agreements with other car producers which were reached in order to save development costs in an increasingly competitive industry.

Nissan has OEM deals with automakers, including Japan's Mitsubishi Motors Corp and Suzuki Motor Corp Suzuki. Chrysler has similar agreements with South Korea's Hyundai Motor Co, Mitsubishi Motors, Volkswagen AG and China's Chery Automobile Co.

If the deal is signed, both companies will most likely cut some costs. Chrysler, acquired five months ago by buyout firm Cerberus Capital Management LP, is currently struggling after two years of losses, while Nissan deals with a 16 percent decrease in its stock price this year. It would add to a growing list of partnerships aimed at expanding product lineups and keeping assembly plants running with minimal investment.

“Collaborating is going to be a way of life. Costs are high. You have GM and Toyota with global economies of scales. That ramps up the pressure dramatically,'' said David Cole, chairman of the Center for Automotive Research in Ann Arbor, Michigan, for Bloomberg.

Nissan, which formerly marketed vehicles under the Datsun brand name, announced this week it plans to produce small pickups for Suzuki Motor Corp. in the U.S. next year. Chrysler on the other hand made public its plans to to assemble minivans for Volkswagen AG in Ontario.

The two carmakers aren’t considering buying equity stakes in each other, specialists said, but Nissan spokesman Simon Sproule in Tokyo and Chrysler spokeswoman Lori McTavish in Auburn Hills, Michigan, declined to comment.