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Suzuki not interested in further offers from Volkswagen

By Tim Beissmann |

Suzuki’s CEO is talking tough about speculation that Volkswagen will expand its 19.9 percent stake in his Japanese small car company in the future.

Osamu Suzuki said he anticipates the day when the Germans come knocking on the door of his successful business and already has a response worked out.

“It is only natural perhaps that Volkswagen will say: ‘We think you are a great company. We want more of your shares’.

“When that day comes, probably Suzuki will respond by saying “Look, we have been able to succeed so well until now because of this current relationship we have with you … Let’s not to do anything to change it’,” he said.

The two manufacturers agreed to a $2.8 billion deal in December last year, allowing Suzuki to spread its wings and VW to focus on the Asian small car market. The agreement is expected to be finalised in February.

The alliance has already begun work on joint projects, with Mr Suzuki confirming in December that it would produce a competitively priced small car for developing countries.

(with AFP)


 
  • Jonno

    Surely if VW buy a further stake in Suzuki they will enter the Golf into Rally. How good would it be to see a Golf rally car up against Suzuki??

  • Patriot

    Unbelievable.

    There is no point.Let’s hope VW is smart enough not to be conned into investing their hard earned money into some little known maker of Jap deathtraps. The smart thing to do will be for VW to shut them down and simply use their factory’s capacity to produce VWs for various markets.

  • AAA

    Suzuki’s reliability >>> VW’s reliability

    • Patriot

      Completely false.

      • suziok

        i can vouch for suzuki’s reliability, i had my suzuki liana gs for 7 years now and the only thing replaced were the tyres (once) and battery (twice) and some sort of belt that cost me $60, and didnt even have them serviced at suzuki and only two logbook service ever the rest just the basic and comprehensive which cost me $179 the most, i think ive requested an expensive oil only 3 times but the rest just normal oil and it hasnt been serviced on time ever, that’s why i can’t get rid of it and it still looks like new even without those protection package (paint/rust etc)

  • MJ

    Cant VW do a hostile takeover?

  • Mark G

    Seriously why don’t these Japanese guys learn to speak English? I’m assuming that’s a translator he’s wearing.

    • Andrew

      Why not the other way around? Stupid arguement. Also, VW are German, so surely there execs are speaking German…

    • Minnow

      Yeah lets make the entire world speak english when <20% of the world speaks it.

  • spellbound

    The japanese market is virtually a closed shop , very few imports , one way to gain entry , japs love quality euro cars .

    This is a long term stratergy to get a foot hold in the last hi-lifestyle market not yet cracked by VAG .

    Also suzuki is a leader in small car production , and guess where car production in the future will be , small fuel efficient city cars , they will dominate .

    • justin

      Japanese auto market has no tariffs on imported cars, the don’t need any to protect their industry because THERE ARE SO FEW FOREIGN MODELS THAT WORK WELL IN JAPAN. The streets are much smaller, parking is a premium, the majority can only own one car, even if they have the cash, and unless you are yakuza, it isn’t going to be a mercedes S class.
      And certainly no american model is of interest.
      They have a smattering of Fiats Minis, VWs. But as fashion accessories, not because they offer anything more than a domestic example.
      If you lived in Japan, even as foreigner, you wouldn’t be dying to spend your money on a foreign car! Too many good domestic choices. This isn’t the rice market. They aren’t protecting an uncompetitive historical anachronism. Their car manufacturing base is (a) domestic already and (b) as good or better than any foreign product. So why wouldn’t the car market be nearly 100% japanese. If price is an issue, they can re-import Japanese models made offshore for cheap.