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British engineering powerhouse McLaren is set for a head-on collision with German specialist AMG as the two Mercedes satellite companies go toe-to-toe in the supercar market.

In a world exclusive, Autocar has learned that both McLaren and AMG are developing mid-engined, V8-powered supercars, both of which will appear on the market in 2010, and which will compete as rivals.

This supercar grudge match has been years in the making, flaring up after the controversial gestation of the £240,000 Mercedes McLaren SLR in 2004.

Inside sources say that ever since the launch of the carbon-bodied UK-built machine, AMG has been lobbying Mercedes to be given the chance to build a bespoke supercar for its parent company.

Now, it looks like AMG is going to get that chance, but that won’t stop Brit outfit McLaren forging ahead with its plan for its own, V8-powered alternative

The McLaren is likely to be called the F2, while the AMG version could get the Mercedes SLC moniker – and you can read the latest on both by clicking below.

To read about McLaren’s F2, click here

To read about Mercedes’ AMG-built SLC, click here

Hilton Holloway

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