Suzuki Motor Corp, Japan’s second-largest mini-car maker, is teaming up with SAIC Motor Corp Ltd and Volkswagen AG, to establish a three-way joint venture in China, sources reported.
Reportedly, the structure of new JV may be similar with the existing three-way JV set by Changan Ford Mazda Automobile Co, where Chongqing Changan Automobile Co Ltd, Ford Motor and Mazda Motor hold the stakes with 50%, 35% and 15%, respectively.
Upon the completion of the deal, Suzuki Motor will produce its sport-utility vehicles at the new venture in China, according to an insider with knowledge in this matter.
The Japanese firm Suzuki has seen a poor sales record in the Chinese market in the first half of this year. The new JV is expected to boost its business performance and break the sales bottleneck in China.
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