The new alliance between Suzuki and Volkswagen won’t have much effect in North America according to the sales chief of the Japanese firm’s US unit.
“It’s mostly about India and technology. We’ll eventually see some of the technology here but not for awhile,” American Suzuki Motor’s Gene Brown told Reuters, adding it was becoming increasing expensive for any company to develop new engines. Cooperation between Suzuki and Volkswagen in North America was very limited, he said.
Brown expects Suzuki sales to rebound this years after falling for the first time in several years in 2009.
“We’re not predicting any big gains but flat has become the new up,” he said.
One thing that should help Suzuki is the improvement in GMAC’s financial position.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataGMAC has provided financing to Suzuki dealers over the years as part of the now defunct General Motors-Suzuki alliance. GMAC is now independent of GM and has strengthened it overall position, giving Suzuki hope that it might be able to start leasing some vehicles again. “They had stopped leasing,” Brown said.
Suzuki has previously sourced a D-segment sized sedan from GM-Daewoo for North America but recently launched a replacement developed in-house.