VW and Suzuki enter comprehensive partnership

Volkswagen AG (Wolfsburg, Germany “Volkswagen”) and Suzuki Motor Corporation (Hamamatsu, Japan “Suzuki”) have reached a common understanding to establish a comprehensive partnership. A framework agreement has been signed by representatives of both companies today.

In terms of global presence and product diversity, the partnership marks an important step towards the future for both Volkswagen and Suzuki. In terms of product portfolio, global distribution and manufacturing capacities, Volkswagen and Suzuki ideally complement each other. The companies plan a joint approach to the growing worldwide demand for more environmentally friendly vehicles. The management of Volkswagen and Suzuki have concluded that the complementary strengths of each company make for a perfect fit in exploiting their respective advantages as well as rising to the challenge of the global market.

In the automotive industry, where globalization and diversification proceed in parallel, both companies will establish a cooperative relationship while respecting each other’s independence as a stand-alone entity. Both parties are focused on achieving synergies in the areas of rapidly growing emerging markets as well as in the development and manufacturing of innovative and environmentally friendly compact cars.

To support a smooth development of this relationship, Volkswagen will purchase 19.9% of Suzuki’s issued shares. The Closing of the transaction is subject to approval of the relevant authorities and is expected in January 2010. Suzuki intends to invest up to one half of the amount received from Volkswagen into shares of Volkswagen. Both companies will form a long-term strategic partnership based on this which will support their successful strategies in these challenging times.

“Two of the world’s leading car makers are joining forces and preparing to meet the growing challenges that lie ahead. Together we can maximize our opportunities for growth. We are proud to be cooperating with such an esteemed and valued partner”, Volkswagen CEO Martin Winterkorn said.

Mr. O. Suzuki spoke that “We were very much impressed about the enthusiasm of Volkswagen towards manufacture of splendid automobiles.

The companies shall cooperate taking advantage of the strength of the other with the maximum consideration to the global environment.

We will also continue to extend our utmost efforts for customer satisfaction.

As demand continues to rise for smaller cars and for powertrains with higher fuel efficiency and lower CO2 output, Volkswagen and Suzuki will offer a compelling solution for customers in emerging markets buying a car for the first time and also for customers in advanced economies seeking to lower their CO2 footprint while still enjoying the freedom of transport offered by an exciting range of cars.

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Company information

In fiscal year 2008 Volkswagen, which has a workforce of 370,000, sold 6.3 million vehicles, generating sales revenue of € 113.8 billion and achieved an operating profit of € 6.3 billion. Volkswagen operates 61 production plants worldwide.

Suzuki, with a workforce of 50,000, sold 2.3 million vehicles and 3.28 million motorcycles in the 2008/2009 financial year (to March 31), generating sales revenue of € 20.9 billion and an operating profit of € 534 million. Suzuki operates 6 plants in Japan as well as 34 production companies in countries such as India, Hungary, China, Indonesia, Pakistan, Thailand and Spain.

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Suzuki Swift Sport

The top-selling Suzuki Swift has topped new car sales charts in New Zealand for the second time this year.

A long-time leader in the supermini small car class, the Swift is the first small car to take an overall lead in new motor vehicle sales in the local market.

The popular front-wheel-drive hatchback was number one in model sales for November, outselling the Toyota Corolla and Ford Falcon, according to official Motor Industry Association statistics.

At the same time, the Swift is heading for the top position in the supermini class for the fourth consecutive year.

In November the Swift outsold the nearest supermini rival by more than two to one and, with just December sales to be counted, it is virtually impossible for the Suzuki to be beaten for the calendar year.

The fifth generation Swift has been Suzuki’s most successful passenger car model and a runaway success in many markets, including New Zealand, India and Denmark.

Recording above forecast sales in world markets, the European-inspired Swift is one of the great automotive success stories in recent years.

“Euro styling, outstanding driving dynamics and value for money have been factors in the strong appeal of the car,” said Tom Peck, General Manager of Marketing for Suzuki New Zealand.

Not only have buyers been attracted to the Swift’s styling, but also owner surveys reveal high ratings for the car’s performance, handling, low running costs and reliability.

Eiji Mochizuki, an executive with Suzuki’s minicar engineering division, said right from the beginning of the project to develop the Swift that it had to be a totally new kind of compact car.

“We set out to identify the kind of concept, body style and performance that would give us a compact car with a distinct Suzuki identity and genuine worldwide appeal,” said Mochizuki.

“The challenges were huge. We spent months in Europe working day and night on the styling and handling. And we even had to devise new systems for component development,” he said.

Veteran New Zealand motoring writer Allan Dick said the Swift was a remarkable little car with wide appeal which was a key to why it continued to be the biggest selling small car in New Zealand.

“But the Swift is more than just a pretty face with broad sex appeal – it’s also a darned good drive. I had forgotten how much until I took a 1.5 litre, five speed manual LTD for a brisk Saturday morning drive,” he said.

The car was fun to drive, delivered on performance and was delightful in every way, he said. “The driving position is great, the dash is uncluttered, and all-round visibility is great. This is a car that fits you like a glove,” said Dick.

“And the quality of what you are looking at from within matches the pleasure the car delivers from the outside. The fit, finish and quality of the materials inside are all excellent.” he said.

Such has been the success of the Swift that it has spawned several limited edition models. Seven versions are available in New Zealand, ranging from the $18,500 1.5-litre XE five-door model to the extra lively $26,500 1.6-litre Sport manual that dominates the Junior World Rally Championship.

Swift has been a major contributor to rising Suzuki sales world wide. In Britain, where total new car sales were down 8.8 percent for the year ending November, Suzuki increased volume by 8.4 per cent and was one of the few motor franchises to increase volume.

Maruti Suzuki in India posted its highest ever monthly sales in November. It sold 87,800 vehicles for the month and exported 11,500 cars. Sales of new Suzuki automobiles in India rose 60 percent for the first eleven months of 2009.

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William Bamber

Wanganui youngster William Bamber is marking himself out as a motor racing champion in the making after sterling performances in the early rounds of the Suzuki Swift Sport Cup series.

Following an opening season victory at Pukekohe in early November, Bamber consolidated his points lead by taking out all three championship races at Ruapuna near Christchurch on November 28/29.

William showed his maturity and will to win by overcoming challenging conditions and tough opposition to score maximum points and boost his two-round score to 421 points.

In his Suzuki Swift Sport debut championship last summer Bamber finished second overall, but has become the driver to beat this season. He set the pace right from the start of a wet qualifying session on the Canterbury circuit, clocking the fastest practice time.

Bamber then won the first qualifying race and, on the following day, not only celebrated his sixteenth birthday, but crossed the finishing line first in the subsequent two Swift Sport events.

If William made it sound easy, then quite the reverse was true. In qualifying a mere 1.85 seconds separated the top five Suzukis, with promising Aucklander Ben Dallas finishing runner-up and two-times Swift Sport Cup Champion Cody McMaster third. Christchurch driver McMaster, racing on his home turf, was always going to be a major threat.

Fourth top qualifier was Grant Ryan, followed by AJ Lauder and Craig Innes. After being the fastest in Friday mornings testing session, new entrant Hamish Cross driving ex Thurpps 08/09 car showed this class comes down to the driver and the set-up. Where Cross set the seventh fastest practice time ahead of 18-year-old Castrol Scholarship winner Matt Gibson. Cross finished in the top four in all three races held over the weekend.

Dallas made a good start in the first race but was overcome by the identical 1.6-litre Swift Sports of Ryan, McMaster and Bamber, all battling for the lead. Cross, who was third on the fourth lap, moved up to second soon after and then took the lead on lap 6, only to be beaten to the flag by Bamber in the eight lap event.

Hamish set the fastest lap of 1 minute 44.457 seconds and finished less than two-tenths of a second behind the winner, with McMaster hot on his heels, and Dallas back in fourth.

Cross made a great start in the second race, with Bamber second and Gibson third. This round quickly developed into a race-long struggle between Cross and Bamber while McMaster fell back after running wide and snagging a marker cone under his car. Cody even put his Swift onto two wheels in an effort to dislodge the cone, set the fastest race lap of 1 minute 43.579 seconds, and managed to finish sixth.

Just when it seemed Cross would take top honours, a frantic last lap battle saw Bamber and Dallas sneak through for first and second positions respectively. Cross missed a gear change and swept home third ahead of Gibson and Alan Dunkley. It was a great end to a nail-biting race.

Young AJ Lauder’s Swift had been damaged in the opening race the previous day, but an over-night repair saw the car return to the grid for Sunday’s racing. The series also welcomed back Whangarei Triple-X Team Motorsport driver Scott Harrison who had badly damaged his car after a spectacular roll-over at Pukekohe.

Harrison was rewarded by a fine drive in the final reverse grid race when he took an early lead from fifth on the grid to eventually finish runner-up, less than a second behind winner Bamber. McMaster suffered a drive-through penalty and finished in 14th position, while Cross was third ahead of Dunkley and Hamilton’s Shaun Lawrence. Bamber set the fastest race lap time of 1 minute 43.897 seconds, slightly slower than McMaster’s best lap in the second race.

The series heads for the Southland circuit of Teretonga for round three on January 15-17 with the three top contenders – Bamber, Dallas and McMaster – locked in battle for the championship lead. Dallas is 58 points behind Bamber with 363 points, followed by McMaster (315), Dunkley (296), Gibson (289) and Aucklander Mike Turley (243).

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2009-2010 Suzuki Swift Championship dates

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The result is all the more remarkable considering the test was undertaken on the inner city roads of Adelaide in the midst of the morning peak-hour traffic.

Shattering the illusion that frugal motoring is unattainable in stop-start traffic, the Adelaide road network proved no obstacle for the four-door Alto to set an all new benchmark for urban cycle fuel economy against not only its petrol-powered rivals but the more expensive diesel models.

Completing much of the 3,000km journey from Darwin to Adelaide against strong head winds and in undoubtedly some of Australia’s toughest road and weather conditions, the manual Alto never missed a beat to record a cumulative economy rating of 3.91L / 100km – an outstanding 18.55 per cent improvement on its official ADR fuel rating of 4.8 L / 100km that saw it outrank all other competing ‘light’ or ‘small’ cars (diesel or petrol) in the inaugural eco-challenge.

CO2 emissions also took an impressive dive with a recorded 89.9g/km compared to the standard 113g/km figure.

“The Global Green Challenge has been a fantastic opportunity for Suzuki to show its commitment to fuel efficient and low-emission vehicles driven in real-world conditions and readily available to all consumers,” said Suzuki Australia General Manager Tony Devers.

“The Alto proves that it is possible to maintain economical driving in urban traffic where we all know most motorists do the bulk of their driving and all of this without costly technologies such as hybrid powertrains or stop-start technologies.

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The Global Green Challenge has been run and won and it was the most affordable car in the strong line up of contenders, the Suzuki Alto, putting in one of the best performances with the lowest recorded economy figure of any car at 2.0L / 100km.
The achievement ensured the Alto took first class honours in both the ‘Light’ and car division (petrol) of the inaugural event.

Starting with an official ADR figure rating of 4.8L per 100km, the Alto finished the week-long driving marathon with an 18 per cent consumption improvement to record an average economy of 3.9L/100km. The improved percentage bettered all comparable small cars in the field including the fleet of diesel-powered urban cars each costing between $10,000 and $20,000 more than the standard Alto.

Crossing over one of Australia’s toughest highways and battling scorching 43 degree heat, the Alto managed to use just 123 litres of fuel for the entire 3,150km journey. With the current price of petrol sitting at $1.73 this equates to a total spend of less than $213 to drive from Darwin to Adelaide.

Compare this with your average Australian car which, according to the Australian Bureau of Statistics consumes fuel at an average of 11.5 litres/100km, and the same road trip would almost treble in cost to around to $627.

Similarly the Alto emitted just 89g/km of green house gases – a drop of 21 per cent on its standard rating – compared to the Australian vehicle fleet average of 250g/km.
“The Global Green Challenge has been a fantastic opportunity for Suzuki to show its commitment to fuel efficient and low-emission vehicles driven in real-world conditions and readily available to all consumers,” said Suzuki Australia General Manager Tony Devers.

“The Alto has shown that it can meet all the lifestyle needs of today’s motorists and meet the pressing global need for environmental compatibility as a vehicle that is easy on the planet from the manufacture phase through to its drive and eventual recycle.”

“More importantly, the Alto’s strong performance in some of the toughest of motoring conditions is testament to Suzuki’s legendary reliability. The result proves the Alto is just at home as a city runabout as it is cruising the open road.”
“Throughout the long journey the Alto was complimented for its high comfort levels including good seats and easy visibility. Combine this with its outstanding environmental credentials and you have one of the best value cars on the market.”

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Susuki Alto

The new Suzuki Alto is a shining example of improved motor vehicle build and quality standards in emerging nations.

Assembled in one of the cleanest car factories in the world, the latest generation Alto which recently went on sale in New Zealand is being applauded for its good build quality and general finish.

“The Indian motor industry, led by market dominating Maruti Suzuki, has made huge strides in the finish of its cars,” said Tom Peck, General Manager of Marketing for Suzuki New Zealand Ltd.

This is substantiated by recent independent surveys and customer feedback, reflecting the high international standards of vehicle finish produced by the Indian arm of Suzuki.

In the J.D. Power Asia Pacific India Customer Service Index for 2009, Maruti Suzuki was the top scorer, with 827 points, compared to an industry average of 785 points out of a possible 1,000 points.

Suzuki beat all rival brands, and finished 36 points clear of Honda, the runner-up make. Third ranking Mahindra achieved 757 points, and was followed by Toyota (754), Mahindra Renault and Tata (both with 750), Chevrolet (748), Hyundai (743), Ford (733), Fiat (727) and Skoda (722).

Suzuki has long been the market leader in India, and has won the 13-year-old J.D. Power index for ten consecutive years.

The results are based on responses from 5,800 owners of nearly 50 different car models sold in India, one of the fastest growing automotive markets in the world.

“Value for money has been paramount in Suzuki products for years, and this is appreciated by prospective Alto buyers,” said Tom Peck. “It is this philosophy that Michio Suzuki developed a century ago in Japan.”

“But the market is also impressed by the level of finish, the fine paintwork, and attention to detail in every new Alto,” he said.

“Add the level of safety, the environmental benefits and the excellent fuel economy, and it is not difficult to see why new Alto is such a winning package,” said Peck.

The Alto is manufactured in an award winning plant in Manesar to the same exacting standards customers have come to expect from every Suzuki.

Maruti is a key player in Suzuki Motor Corporation’s global strategy, and the company soon realised world-class standards were essential, especially for export markets.

As a new entry-level model in the Suzuki passenger car range, the Alto is an important arrival in these tough economic times.

The car’s European-inspired style, low running costs and attention to comfort give the Alto broad market appeal. Prices for the five-door hatchback start from $16,990, and include five years roadside assistance and all on-road costs.

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They include 23-year-old Christchurch driver Cody McMaster who is a two times winner of the Swift Sport Cup Championship, and is back to defend his title.

Wanganui high school student William Bamber who, at 15, is one of the youngest drivers in the championship, finished second in the point score last season and is chasing overall victory in the 2009/10 series.

Promising Aucklander Ben Dallas, 18, was third overall last season in the hotly contested category, and is making a return with the avowed intention of doing even better.

McMaster began racking up kart titles from the tender age of seven and was a major force to be reckoned with in the Suzuki Swift class right from the inception of the championship in 2007.

The Canterbury manager of a concrete grinding business is a consistently fast driver whose previous experience will put him in good stead for a championship trifecta.

Meanwhile Bamber is a determined starter out to make a solid impression when the first round takes place at Pukekohe on November 7 and 8.

William finished close behind Cody in the final point score last season, and says the experience gained in the 2008/09 series will be invaluable this summer.

Like McMaster and Dallas, Bamber learnt the early motor racing ropes racing highly competitive karts.

Ben Dallas won the 2008/09 Castrol Suzuki Scholarship and is a former New Zealand KartSport Champion and Formula BMW Scholarship winner. He won the rounds at Pukekohe and Ruapuna Park last season, and his third ranking in the championship was a fine achievement, especially considering it was his first season racing anything other than a kart.

He is looking forward to the challenges of the opening round. “Pukekohe is a fast circuit and it rewards both commitment and a cool head,” said the Auckland teenager.

Dallas hopes to start the season a little better than last year and is chasing an overall title win in the closely fought production-based saloon car class.

This year’s Swift Sport Cup races are expected to be the closest in the three year history of the event.

“We are delighted the drivers who finished in the top three places in the series point score last year are all returning to contest the new season,” said Paul Burborough, series coordinator for the Swift Sport Cup Championship.

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The Triple X programme provides another opportunity for promising young drivers to step up their motorsport involvement and further develop their skills.

“The objective for Triple X is to identify young drivers with the ability to move up to Porsche GT3 racing and beyond in future,” said Shane McKillen, Team Principal of Triple X Motorsport. “Obviously outright speed is a factor in these decisions but equally important is attitude and professionalism in all aspect of racing.”

At each round of the Swift championship, three or four of the young entrants will have the opportunity to visit Triple X and discuss the circuit where the meeting is being held that weekend with drivers Craig Baird and Daniel Gaunt.
If any one of the selected drivers for that weekend has concerns about the circuit or any other aspects of the racing they can ask their Triple X mentor for advice on how to overcome problems.

At the end of the season, Triple X will offer the winner of the programme a free test day in a Porsche 997 GT3 Cup car. This will involve the winner taking part in a formal driver evaluation test day at Taupo with tuition from Baird and Todd Bickerton, the Triple X technical director, on all aspects of driving the GT3.

If Triple X Motorsport believes the winner has the capabilities, the team will offer the driver a seat in a Triple X Porsche GT3 team car at a substantial discount to the normal fees. The sponsorship package, including the Taupo test day, is valued at $65,000 and provides an additional boost to the Swift Sport Cup series.

“All Swift drivers in the championship will have an opportunity during the season to win this award which is clearly designed to assist up and coming talent,” said Paul Burborough, series coordinator for the Suzuki series. “We already have a great class at the entry level into New Zealand saloon car racing, and the Triple X prize is icing on the cake for one lucky Swift Cup competitor,” he said.

“We are highly excited to be aligned with Triple X Motorsport, a team that has won two Porsche GT3 Cup Challenge Championships, the New Zealand Grand Prix crown and lap records at major local circuits,” said Burborough.

It made good sense for two excellent teams to be aligned for the same common goal, he said.

“Our drivers have a great opportunity to gain some extremely valuable knowledge from the Triple X team with drivers like Craig Baird and Daniel Gaunt who between them have more national championships than most others,” said Paul.

The 2009/10 Suzuki Swift Sport Cup championship starts at Pukekohe in early November and includes rounds in both North and South Islands.

web www.suzuki.co.nz

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