Volkswagen is "Desperate" to the Alliance and Suzuki is no longer an ally

Geely Automobile News According to Bloomberg News and Automotive News, VOLKSWAGEN was involved in the whirlwind of disputes with Suzuki for several months and finally resolutely maintained the alliance's attitude, claiming that Suzuki is no longer an ally.

Recently, in the third quarter earnings report, Volkswagen claimed that Suzuki was no longer an ally, overthrew previous efforts to prevent the deterioration of alliance relations. It said: "The chance of exerting a significant influence on Suzuki Motors has now disappeared." At the same time, it added that Suzuki has been classified as "other shares." In response, Juniza Kumataki, president of Suzuki's Italian branch, re-emphasized the parent company's point of view to Automotive News: "Suzuki wants to break up with the public and there is nothing else to add."

Since March 2011, the alliance between the public and Suzuki has gradually deteriorated and it has been caught up in a confrontation. At the time, Volkswagen said in its report that Suzuki’s “financial and operational guidelines” could be considered as an “association company” and that it was protested by Suzuki. On September 11, 2011, Volkswagen accused Suzuki of violating the agreement by purchasing diesel engines from other manufacturers. The next day, Suzuki repaired the refutation of "default" and complained that the public had excessively interfered in Suzuki's operations and infringed Suzuki's independence.

Since then, Suzuki has repeatedly urged the public to sell their shares and demand that the alliance be dissolved. The public has been trying to salvage the cooperative relationship and has repeatedly shown its dedication to Suzuki. It even tried to completely acquire Suzuki. Moody's and other analysts analyzed that the public and Suzuki alliance will have a negative impact on the public's credit rating, and it is not conducive to the public to use Suzuki technology to develop low-cost small cars.