trending Market Intelligence /marketintelligence/en/news-insights/trending/oxl0qodbh0wmg1dxwer5hg2 content esgSubNav
In This List

Suzuki Motor to exit Chinese market

Blog

Gauging Supply Chain Risk In Volatile Times

Blog

The Future of Risk Management Digitization in Credit Risk Management

Blog

Climate Credit Analytics: Diving into the model

Video

How to use ESG Heat Maps in Credit Risk Analysis


Suzuki Motor to exit Chinese market

Suzuki Motor Corp. agreed to transfer the 50% equity it holds in joint venture Chongqing Changan Suzuki Automobile Co. Ltd. to state-owned JV partner Chongqing Changan Automobile Co. Ltd., confirming previous reports, and thereby exiting its operations from the country.

Suzuki previously ended its joint venture with China's Jiangxi Changhe Automobile Co. Ltd.

Under the agreement, Changan Suzuki will become a wholly owned subsidiary of Changan Automobile, the company said Sept. 4. The current president, who was sent from the Japanese automaker, is expected to resign.

Suzuki added that it will continue to license the production and sale of its models to Changan Suzuki after the transfer, which is expected to complete once legal proceedings in China are done.

Suzuki chairman Osamu Suzuki said the move is partly a result of the Chinese market's shift to larger vehicles.

The Shizuoka-based car manufacturer has plans of establishing a new manufacturing plant in Gujarat, India, following its reported exits in the U.S. and China, according to a Sept. 3 Mint report.