Suzuki Ends U S Car Sales Why It Had to Do It (And Other Brands …

6 мая 2014 | Author: | Комментарии к записи Suzuki Ends U S Car Sales Why It Had to Do It (And Other Brands … отключены
Suzuki Electric Cars

Suzuki Ends U.S. Car Why It Had to Do It (And Other Brands Could Disappear)

We re in the midst of an reckoning. Suzuki s announcement week that it will no be selling cars in the U.S. it the 10th major brand to since the start of the century. Of one was a Ford brand, one was a division of and the remaining eight all were subsidiaries of or close partners General Motors. (Many we in our Decade in Review .) Like another U.S. evacuee and GM ally, Suzuki will selling cars outside the did Suzuki, Japan s fourth-largest car leave?

And why does this happening?

A multi-dimensional look at s U.S. sales

The Short

The tl;dr explanation—that s too long; t read in internet-ese—is that though Suzuki has two models really are quite good, isn t selling enough cars and can t with the big guys. The Kizashi and may be virtuous, but the buyers aren t Suzuki s U.S. sales in 2007, with about units sold, and fell to a quarter of that last It becomes a death spiral: close, fewer cars are the company has less money, piles up, and public image

Suzuki has no product in the pipeline for the and fewer corporate partners to on for rebadges.

In other countries, the isn t so grim. Suzuki sells kei cars by the boatload in Japan, its R often the top-selling small car in the India, too, is a stronghold for where its Maruti Suzuki unloads cheap, cheerful to an exploding middle class.

of Product Partners

Suzuki s competency is in small cars and SUVs. Really small. So to a full product lineup in the Suzuki has had to snuggle up to several partners.

The late Forenza and Reno developed by GM Daewoo in Korea, when Suzuki owned 15 of GM Daewoo and General Motors 20 percent of Suzuki. The Equator was a Nissan Frontier with the logo slapped on the front, the XL7 crossover was built on the General Theta platform used for the Equinox .

But Suzuki couldn t align with new friends to the product it needs—and even if it the result threatens profit Ties are mostly severed General Motors. A deal Volkswagen fell through. which sells a rebadged SX4 in has talked about closer with Suzuki but no deals been announced.

Developing and platforms on your own is expensive and Suzuki can swing that of investment for the small cars it so well in other countries, but much of a market for big ones the Kizashi outside the U.S. it little sense.

The market for imported econo-cars—often even overseas—from niche companies has disappeared, with Suzuki one of the survivors among a field included Geo, Isuzu, Yugo, Eagle, and Daihatsu. Mitsubishi to limp along. All were by competition from the big boys.

Decisions by Toyota and Honda to the small-SUV market in the mid-1990s was a to Suzuki s business, long on the Samurai, the Sidekick, and the Vitara. On the car the company was able to hold on a longer. It wasn t until the when Kia and Hyundai introduced truly competitive models

When they did, cheap cars with warranties slaughtered what of the cheap-import segment.

The new CAFE and gas rules disproportionately penalize manufacturers of physically small Porsche can weather the storm afford penalties), but Suzuki was at Even with a special called TLAAS, or Temporary Allowance Alternative Standard, would have needed to almost impossible reductions to its CO2 emissions—not because they re dirty, but because the EPA requires degrees of improvement.

Suzuki Electric Cars

Suzuki and Porsche joined Jaguar-Land Rover in voicing to the EPA, but a final rule in October showed them minimal clemency.


Suzuki s retail system was a mess. There weren t sales to support more opening, but too few dealers to really sales. Low-profit-margin products and sales didn t always high-quality dealer managers and staff, which in turn turned off many customers. For dealers and Suzuki corporate complained about an antiquated, system for ordering vehicles in the dealers had little input; often didn t have to the cars they could sell.

It cost Suzuki

Are We Going to Lose More in the U.S.?

Very possibly. is the obvious skater on thin and when asked this its U.S. boss was firm in the company will stay. didn t expect him to be wishy-washy, did But Mitsubishi is in very serious globally as well as in the States, like Suzuki, it s experiencing how the world car market is for smaller

There may come a time Toyota pulls the plug on its own experiment with low-priced econoboxes repurposed from markets. In Scion s favor, it s not expensive to run, and Toyota has the to spare. Badging the new rear-drive car as the Scion FR-S instead of as a GT 86 in the U.S. is a something of a Hail pass for the Scion brand.

It s unthinkable, but Volvo may have to the U.S. market at some as well. Volvo sales in 2011 were just of their 2003 level, and the recently pruned several models its lineup, including the S40 sedan, the C70 and the C30 hatchback. Whether Volvo largely will depend on the of its owner, Geely, to put up with sales—and the importance of being in the to keep appearances as a global brand.

Like all of these companies, had some very good on offer in American showrooms. The and the SX4 may not have been class-leading, but weren t at the back of the group both were well If you re looking to score a deal, now is a time for either.

Suzuki continue to honor warranties and parts, a promise made by the company s plan to continue car in Canada, and to remain in the U.S. motorcycles and ATVs.

Suzuki Electric Cars
Suzuki Electric Cars
Suzuki Electric Cars
Suzuki Electric Cars
Suzuki Electric Cars
Suzuki Electric Cars


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