The chief executive of Suzuki Motor, partner of India’s Maruti Suzuki, has reportedly brushed aside any impact from rival Tata Motors Ltd’s low-cost compact Nano car, unveiled earlier this month at a pre-tax price of $US2,500.
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Osamu Suzuki told Reuters his company is in no rush to try to match the top Indian car maker’s new product as concerns about its safety and environmental impact still remain.
Suzuki said it expects its global car sales to rise 7% this year. The CEO told a news conference he expects robust growth in Asian markets such as India and China to continue to benefit the company, but a slowing in the global economy stemming from the US sub-prime lending problems and high oil prices poses concerns.
“I don’t expect demand for cars will expand this year, while we have worries about the United States, currency moves, a decline in overall consumption and high oil prices,” Suzuki said, according to Reuters.
For 2008, the automaker is forecasting a 13% increase in sales in China at 191,000 units and a 7% rise in West Asia, including India, at 904,000 units.
Sales in North America are expected to grow 7% this year to 122,000 units while the Japanese domestic market remains at 676,000 units.
Globally, Suzuki expects to sell 2.55m vehicles in 2008, the report said.
