2008 Suzuki Grand Vitara Base on 2040-cars

Auto blog

Mitsubishi CEO vows to stay in US on heels of Suzuki's departure

By now, you're surely aware that Suzuki is pulling out of the US market. It was a bit of a foregone conclusion to most who've been paying attention to the automotive realm, but it still sent a small shockwave through the industry. And one of the most oft-heard retorts goes something like this: "Next up: Mitsubishi."
It's easy to understand why many question Mitsubishi's existence in the States. After all, now that Suzuki is gone, Mitsubishi is the Japanese automaker with the fewest sales in America. Furthermore, the automaker's market share has dropped from .7 percent to just .4 percent after seeing sales fall 29 percent to 50,103 units through October.
In any case, Mitsubishi fans needn't worry. Speaking to Automotive News, Mitsubishi President Osamu Masuko said, "We have no intention whatsoever of withdrawing from the US market." That's about as clear as clear can get. It's also worth mentioning that Gayu Uesugi was just named chairman of Mitsubishi Motors North America, and his main responsibility will be to revitalize the brand in the US.

Suzuki recalling 184k GM-built models for fire risk

Suzuki is recalling 184,244 total units of the 2004-2008 Forenza (pictured above) and 2005-2008 Reno manufactured under contract by Daewoo, now General Motors Korea, between September 1, 2003, through July 30, 2008, for a risk of fire. The exact split in terms of number of each model isn't available yet.
In the vehicles, the heat generated in the headlight switch or daytime running light module could cause the parts to melt and cause a fire. If this sounds somewhat familiar, it's the same reason that 218,000 units of the 2004-2008 Chevrolet Aveo are being recalled. According to General Motors spokesperson Alan Adler: "It's the same issue."
Adler explained that as the contracted manufacturer, GM is responsible for finding a remedy to this problem and providing it to Suzuki. It's a similar situation as Toyota recalling the Matrix and giving the automaker the repair parts to fix the Pontiac Vibe, which shares the platform.

Suzuki could disappear from new car market quickly thanks to low inventory

Yesterday's announcement that American Suzuki has filed for bankruptcy is all but a death blow for the Japanese automaker's 246 US dealers, but if there's any good news coming out of the situation, it could be the fact that the whole process will likely be quick and painless rather than drawn out. WardsAuto is reporting that with the current inventory and average sales numbers so far this year, there figures to be about three months left for Suzuki's new-car business in the US given current sales rates.
In October, Suzuki sold 2,023 units - a five percent increase over last year - but with just 5,549 left in inventory, it shouldn't take too long to wind down operations. Sales for the brand peaked 2007 with more than 100,000 units sold, but this year, Suzuki is barely on pace to reach a quarter of that amount, with just 21,188 units sold so far in 2012. In addition to poor sales, WardsAuto also notes that Suzuki faced problems due to its reliance on customers with subprime credit.
Suzuki will continue to sell motorcycles, ATVs and marine engines in the US, while the brand's cars will still be on sale in other countries including Canada and Mexico.