Japanese industry minister Masayuki Naoshima on Friday said the just announced tie-up between Suzuki Motor and Volkswagen would be beneficial to the auto industry in Japan.

The tie-up ''seems complementary to each other...and would have synergy'' as the fields they are good at are different, Naoshima, minister of economy, trade and industry, told Kyodo News. ''In my view, if the alliance works effectively, then that would be good for the auto industry,'' the minister added.

The car manufacturers signed the agreement on Wednesday, in a move that analysts said could trigger the emergence of one of the world's largest auto groups with a boosted competitive edge in emerging markets and green technology.

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