Volkswagen – Europe’s largest automaker — is said to be considering a tie-up with Japan’s Suzuki to gain access to the automaker’s small car know how. Suzuki’s small car experience has vaulted the comparably small automaker to become the number two selling marque in Japan, trailing only Toyota.
A source familiar with the situation revealed the possible tie-up to Reuters on Thursday. VW is reportedly mulling a 10 percent stake in Suzuki, a figure that would good enough to give it access to the Japanese automaker’s small car expertise.
Suzuki has seen tremendous success – particularly in emerging markets — in the 660cc and smaller car segments. In addition to climbing to number two in the Japanese market, Suzuki stakes claim to the best-selling car in India – the Alto.
The tie-up may seem at odds with VW’s plan to launch the Up city car in the next few years, but the Suzuki-sourced cars would actually slot below the Up. It remains unclear which global markets VW has in mind for the small cars, but China – where VW is currently battling with General Motors for the number one spot – seems like a distinct possibility.
06/25, 5:11 PM
posted by:
moparsalesman1
Suzuki a damn good car
06/25, 5:37 PM
posted by:
A4
Other than Nissan, they’re probably my favorite of all the asian marques
06/25, 6:59 PM
posted by:
leftwingagenda
sounds like a smooth move for them
06/25, 7:23 PM
posted by:
johnnycanuck
Good cars, better bikes.
06/25, 7:48 PM
posted by:
reedfast
I dont know how this can happen, the cars look nothing alike.
06/25, 8:16 PM
posted by:
AutoCritical
I guess they might be referring to more of the engineering, market positioning and other stuff, not related to the aesthetic design of the car.
06/25, 10:16 PM
posted by:
2WheeledSpeed
Suzuki can build some of the best small engines around, I’ve seen people put Suzuki Hayabusa motorcycle engines in practically anything you can imagine, even Smart ForTwos. If VW wants better small car/engine technology I’d say they’re talking to the right people.
06/25, 11:25 PM
posted by:
Veda
Good products but really messed up internal management. It wouldn’t surprise me if they lose many markets in the coming years.
06/26, 12:40 AM
posted by:
atoms
could be good, suzuki knows what it is doing when it comes to small cars
06/27, 3:04 PM
posted by:
ahnuconun
@johnnyc: Slight correction – ****e cars, awesome bikes. I never understood that about Suzuki.
06/27, 6:58 PM
posted by:
zoomzoomer
Suzuki’s reputation in the US is forever ruined by their rebadging inferior Daewoos from the past 5 years or so.. who knew they were number 2 in Japan??
06/28, 2:53 AM
posted by:
sharpie
^^ That’s true thanks to GM. So if VW wants a small car to combat GM in China, then it will give Suzuki a chance to take “revenge” on GM and Daewoo.
06/29, 12:23 PM
posted by:
shaver
They know small cars, the Swift (not sold in US) is great. The styling of SX4 is the only thing keeping it from being a real player in US.