Tue, 19 Jul 2011 06:47:32 GMT

Suzuki unhappy with Volkswagen

Hamamatsu, Japan: Suzuki Motor Corp formed an alliance with Volkswagen AG in late 2009 as equal partners and takes issue with the German automaker's claim that it can wield influence over the Japanese company's management, a top executive said on Monday.

Suzuki unhappy with Volkswagen

It was made very clear when we tied up with Volkswagen that we did not want to become consolidated, and that we would remain independent, said Executive Vice President Yasuhito Harayama, who is in charge of Suzuki's relations with Volkswagen.

He added that there were other automakers who were willing to work with Suzuki on an equal footing, and that Suzuki would continue to pursue operational tie-ups with a broad range of companies while holding back on any projects with Volkswagen until the two can reaffirm their initial understanding.

Right now, there is no specific joint development project going on with Volkswagen, Harayama told reporters in a group interview with Suzuki's four new executive vice presidents.

Harayama's comments indicate a major step back for the Volkswagen-Suzuki partnership, which had been cheered by financial markets when it was formed in December 2009.

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