Despite VW stake, Suzuki will continue Fiat collaboration

Despite VW stake, Suzuki will continue Fiat collaboration

Many would expect the relationship between Suzuki and Fiat to drift apart after Volkswagen bought a 19.9% stake in the Japanese carmaker. But no, both parties are set to continue their 10-year old cooperation and expand it further. Currently, Suzuki builds the Sedici for Fiat in Hungary (Fiat buys 20,000 units a year) and produces Fiat diesel engines under license in India.

Now, according to two persons in the know, Suzuki Chairman Osamu Suzuki met Fiat CEO Sergio Marchionne and Fiat chairman/controlling shareholder John Elkann in Turin last week. He offered to build the next generation Sedici for the Italians.

A rebadged SX4, the current Sedici was launched in 2005 and production will end in 2013. Fiat’s product plans does not include a replacement for it, but they might want to have one as the Sedici is Europe’s top-selling small SUV. An option is a small SUV planned in 2013 by Chrysler’s Jeep unit (code-named B-Jeep), but no decision has been made yet.

Despite VW stake, Suzuki will continue Fiat collaboration

Moving to India, market leading Suzuki has asked Fiat for permission to double its annual production of the 1.3L diesel engine to 400,000 units as demand for diesels grow, although Fiat prefers to built the additional engines for Suzuki itself in an underutilised, 300,000-unit a year engine plant in Ranjangaon, India, which is part of Fiat’s JV with Tata Motors.

This DDiS engine that features in cars like the popular Maruti Swift is a 1,248 cc commonrail turbo unit with 75 PS and 190 Nm of torque. It’s paired only to a five-speed manual ‘box.

At the high level meeting, the bosses also discussed the possibility of Fiat subsidiary Magneti Marelli supplying Suzuki in India with an automated manual transmission system. The gearbox they’re talking about could be the one used in the Proton Savvy AMT.

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Danny Tan

Danny Tan loves driving as much as he loves a certain herbal meat soup, and sweet engine music as much as drum beats. He has been in the auto industry since 2006, previously filling the pages of two motoring magazines before joining this website. Enjoys detailing the experience more than the technical details.

 

Comments

  • http://www.proton.com/Models/Our-Model-Lineup/Concept-Cars/Categories/Proton-XActive.aspx

    Like or Dislike: Thumb up 0 Thumb down 0
    • kassim murad on Jun 03, 2011 at 10:52 am

      Desperate Proton salesman trying to sell
      Proton cars in this forum.
      Wonder why the silence after all the hoo haa
      about going into India.
      By the looks of it the Saga will struggle to find a foothold
      in the competitive India market with bigger and better
      established makes there !!

      Like or Dislike: Thumb up 0 Thumb down 0
  • Mazlan on Jun 02, 2011 at 12:20 pm

    Other carmakers are joining forces to capture segments all over the world.
    Where are we, proudly being one of the carmakers on the world?

    Like or Dislike: Thumb up 0 Thumb down 0
  • Asrul hezly on Jun 02, 2011 at 2:19 pm

    Suzuki SX4, VW Crosspolo and Fiat Sedici is similar in term of design. Who was design first?

    Like or Dislike: Thumb up 0 Thumb down 0
  • isuzuki on Jun 02, 2011 at 4:37 pm

    Go Su go

    Like or Dislike: Thumb up 0 Thumb down 0
  • Wisdom on Jun 02, 2011 at 8:10 pm

    Why am i thinking Suzuki and Fiat combination will produce ugly cars. naah must be abad dream again…..

    Like or Dislike: Thumb up 0 Thumb down 0
  • jimbet on Jun 03, 2011 at 2:26 am

    Bring the Swift diesel to Malaysia!

    Like or Dislike: Thumb up 0 Thumb down 0
 

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