Suzuki May Sell Daewoo In Japan

TOKYO September 15, 2003; Dow Jones reporte that Suzuki Motor Corp. said Tuesday that it is considering marketing vehicles made by GM Daewoo Auto & Technology Co. of South Korea in Japan in an effort to beef up global sales at the General Motors group but no final decisions have been made.

If Suzuki decides to go ahead, it would be able expand its product lineup in Japan. Daewoo would be able sell its products without having to establish a sales network on its own.

Both Suzuki and Daewoo are GM affiliates.

Suzuki has a 14.9% stake in GM Daewoo and began this month selling auto vehicles made at the South Korean auto maker in North America through its sales network there.

When Suzuki agreed to take the stake in GM Daewoo in June last year, it and GM agreed to market GM Daewoo's auto vehicles worldwide.

The Nihon Keizai Shimbun reported Monday that Suzuki will next spring begin marketing passenger cars made by GM Daewoo Auto & Technology, targeting sales of 5,000 to 6,000 units annually.

Suzuki will sell two models produced by GM Daewoo including the 2.5-liter Magnus midsize sedan under GM's Chevrolet brand in Japan through Suzuki dealerships, the newspaper reported.

GM Daewoo was created last October after GM and its group firms bought a controlling stake in the car manufacturing operations of the failed Daewoo Motor Co.