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Nissan and Suzuki link up for European small car

June 2006

       

Nissan and Suzuki have put in place a new collaboration that will make minicars for Nissan, including the Moco for the Japanese market, and automatic transmissions for Suzuki.

The two companies announced this month in Tokyo further projects together, including a new A-segment vehicle for Nissan, which will be supplied by Suzuki on an OEM basis. The car is expected in 2008 and is intended primarily for the European market. The car will also be sold as a Suzuki.
The pair also plan to expand their presence in emerging markets by sharing manufacturing facilities, starting with Suzuki’s factory in India.

Suzuki already enjoys a successful partnership with Maruti, India’s largest car maker. Located in New Delhi, the plant currently produces the Alto and Swift models and will have an annual capacity of 900,000 units by 2007. Suzuki GB said it was likely that the new A-segment product would be manufactured there and exported to Europe.

Nissan chief operating officer Toshiyuki Shiga said: “This expansion is part of Nissan’s continuing drive into new market segments and further global expansion, as set out in the Nissan value-up business plan.”

Suzuki president and chief operating officer Hiroshi Tsuda said: “This expansion of business collaboration with Nissan will strengthen Suzuki’s global competitiveness through pursuit of economies of scale in production volume by additional OEM business opportunities.”