Suzuki and Nissan Expand Business Collaboration

June 7th, 2006 by gary

Suzuki Motor Corporation has announced plans to further expand the scope of their business with respected manufacturer Nissan Motor Co. Ltd.

The new plans will further compliment the original agreement put in place in April 2002, which includes the OEM supply of Suzuki mini cars to Nissan and the supply of automatic transmissions to Suzuki through Nissan’s affiliate company Jatco, Ltd.

The two companies will now expand their business collaboration, after agreeing to the following:

  • To extend cross supply of vehicles in Japan
  • At the end of 2006, both manufacturers will supply to each other a vehicle on an OEM basis, Nissan will supply a minivan to Suzuki, while Suzuki will provide a mini-vehicle to Nissan. Both products are intended for the Japanese market only.
  • To begin a cross supply of vehicles in overseas markets From 2008, Nissan will supply a compact pick up truck to Suzuki on an OEM basis for sale in the North America market. Suzuki will provide a new A-segment vehicle for Nissan on an OEM basis for the European market.
  • To share manufacturing capacity at each others overseas facilities Nissan and Suzuki will begin a manufacturing collaboration in new emerging markets by sharing their respective manufacturing facilities, this activity will start at Suzuki’s plant in India.

The expansion of the business collaboration with Nissan will further strengthen Suzuki’s global competitiveness, and will ensure Suzuki achieves its midterm five year business plan by complementing its product portfolio in new segments.

The relationship with Nissan, will not change Suzuki’s alliance partnership with General Motors.

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