Aston has also specified the development of V8 engines, suggesting it may either switch exclusively to eight-cylinder powertrains, or maintain its current V12 and V8 strategy but with Daimler design input.
“Aston Martin sources cutting edge technology from key suppliers around the globe and the opportunity to include content from Mercedes-AMG in our next generation sports cars is, clearly, good news,” Aston Martin’s Ian Minards said.
“Working with Mercedes-AMG in this way while, of course, remaining independent and preserving the unique character and style of Aston Martin, points to a very bright future for the company as it starts its second century in business.”
The two carmakers hope to have a deal in place by the end of the year, which also raises questions over earlier reports that Aston Martin had re-signed with Ford to extend its existing engine-supply deal for another five years.
It is possible that the agreement will see Aston continue to source V12 engines from Ford, at least in the short term.
Head of Mercedes-Benz AMG, Ola Källenius, said the carmaker was proud to be working alongside Aston Martin.
“This is proof of AMG’s technological and performance expertise and a real win-win situation for both sides,” Mr Källenius said.
Assuming the deal goes ahead, Daimler will own a stake of up to five percent non-voting shares in Aston Martin.