The bitter partnership between Volkswagen and Suzuki has finally reached its end. Suzuki, long unhappy about Volkswagen’s attitude in the tech tie-up, has announced that a settlement has been reached with the German car maker.
No figures were revealed, but it is reported that the sum to be paid by the Volkswagen Group to Suzuki will have little impact on the Japanese car maker’s earnings.
To recap, Volkswagen purchased a 19.9% stake in Suzuki in December 2009. The deal was struck for mutual benefit. Volkswagen was to gain an inside track into Suzuki’s small-car technology, and Suzuki was to gain access to Volkswagen’s hybrid and next-gen tech – many of which Suzuki had no means financially to develop on its own.
But as mentioned, Suzuki has long been unhappy in the relationship, which resulted in a split in 2011. It took the International Court of Arbitration four years to come up with a decision, and it was finally ordered in September 2015 that Volkswagen would have to liquidate all of its remaining shares in Suzuki.
“It’s good that a resolution came. I feel refreshed. It’s like clearing a bone stuck in my throat,” said Suzuki chairman, Osamu Suzuki, then. “The Tribunal upheld Suzuki’s claim regarding VW’s disposal of its shares in Suzuki and ordered VW to divest forthwith those shares to Suzuki or a third party designated by Suzuki using a method which is reasonably determined by Suzuki,” added Osamu.
At this point, Volkswagen may still choose to further prolong the battle. It is reported that the German car maker may still claim damages from Suzuki for not using its diesel engines – choosing to buy engines from the Fiat Group instead.
Looking to sell your car? Sell it with Carro.
inb4, Proton bought those shares.
Lucky Suzuki didn’t use VW’s diesel engine. If not, the dieselgate plague will spread to Suzuki too.