A GROUND-breaking tie-up between arch-rivals Ford and Vauxhall, together with DaimlerChrysler, to create the world's largest internet parts purchasing market could lead to reduced car prices in the UK. On Friday, the three giant motor manufacturers announced in the US a combined initiative to form a business-to-business market place open to all car makers and their suppliers, partners and dealers - worth $250 billion a year in buying and selling everything from car parts to paperclips.

Already Renault and its part-owned subsidiary Nissan, have expressed an interest in joining the electronic exchange. A DaimlerChrysler spokesman said: 'Once this system is operating, efficiencies in the manufacturing process will be passed on to the customer in the form of lower new car prices.'