[volkman10]

Suzuki to invest over $1 billion in Bengaluru

Maruti Suzuki India Ltd (MSIL), the leader in Indian automotive industry, is going to invest more than $1 billion in Bengaluru to begin manufacturing cars in a Toyota plant in Bidadi.

Toyota's Bidadi plant's capacity is three lakhs per year and the company is now availing only half of it. There is an ideal capacity of 1.5 lakh at the plant and Maruthi will make further investment to manufacture their cars at the facility

Toyota had invested $3 billion in Bengaluru 20 years ago. Here Maruti will have to make further investment to further refurbish the manufacturing facility for its requirement,

Link

[Aditya]

Suzuki to invest over $1 billion in Bengaluru - Post moved to a new thread.

[AccordSport]

Why dont Toyota buyout Suzuki ? It will be a win-win situation for both the companies.
All of a sudden Toyota can become No.1 company in India (already they are No1 in rest of the world) and Suzuki will get all the benefits of being under a bigger umbrella.

[srishiva]

As long as they dont have cars that overlap in the segments, they can easily collaborate. This doesnt require one entity to control everything. Hope this gives us hybrid/pure-electric vehicle faster in near future in segments which are affordable. Our market has failed in this aspect.
I think this collaboration also puts more pressure on other Asian makers and specifically on Honda.

[SmartCat]

Maruti Suzuki is going to invest more than $1 billion in Bengaluru to begin manufacturing cars in a Toyota plant in Bidadi

When I read the above statement, a big question mark was hovering over my head because -

1) I momentarily forgot about the Suzuki Toyota partnership.
2) Bidadi is not in Bangalore district. It is 40 km from Bangalore and in Ramanagara District.

[androdev]

Originally Posted by smartcat

Bidadi is not in Bangalore district. It is 40 km from Bangalore and in Ramanagara District.

The extent of traffic congestion is what demarcates Bangalore district, so yes Bidadi is in Bangalore We will soon see Suzuki company buses racing with Toyota company buses.

[deetjohn]

I was curious how Suzuki' sheer pace and Toyota' staid approach here in India was going to mix. Commissioning of this plant will give us hints towards that.

Originally Posted by AccordSport

Why dont Toyota buyout Suzuki ? It will be a win-win situation for both the companies.

Will be good for both companies, but bad for us - the customers and the market.

[volkman10]

Oficials from Maruti Suzuki visited the plant last week in order to discuss and assess the investment and expansion of the Bidadi plant in Karnataka.

The company will bring its supplier ecosystem at the Japanese Industrial Township at Tumakuru.

While the details of whether the new cars under the JV built at the factory will be badged Maruti Suzuki or Toyota is still unknown, a small percentage of the cars will also have electric or hybrid technology

LINK

[MaxTorque]

Another example of being lean and getting more economically competitive. It is a win-win situation for both the players as Toyota will be able to generate some income their dead investment while Suzuki will get benefits of a new plant at a fraction of the cost.

[sharktale]

Baleno to be the first car to be released cross-badged from Toyota's stable from Q1 2019-20.

Sharing this LiveMint post.

[shortbread]

Originally Posted by AccordSport

Why dont Toyota buyout Suzuki ? It will be a win-win situation for both the companies.
All of a sudden Toyota can become No.1 company in India (already they are No1 in rest of the world) and Suzuki will get all the benefits of being under a bigger umbrella.

Suzuki is a fiercely independent and thanks to the Indian operations very profitable car-maker. Ideally, it does not need to dance with someone and if selling was an option the company would be under the VW umbrella by now.

Suzuki is healthy by itself. The challenges it faces is the lack of R&D prowess in an industry which is going through a rapid transformation. This is a company that is very reluctant to venture outside its core strengths. Imagine this, 2 decades after borrowing Peugeot diesels to develop the Zen D, Suzuki still doesn't know how to do diesel engines!

Therefore the company's survival in a world turning to Hybrids and Electric propulsion, it needs a big daddy with the know how. The only thing Suzuki has that it can offer in exchange is it's Indian market domination, nothing else. It tried with VW and failed and now relying on Toyota.

Even if Toyota wanted to buy, Suzuki is not selling. If this collaboration delivers the intended results, 10-15 years down the line I don't think Toyota will really need Suzuki to enjoy a foothold in India. Reminds me of the route Honda took with Hero in the 2 wheeler sector.

For Toyota if this association succeeds it's simply another feather in it's already burgeoning hat, nothing more. On the other hand for Suzuki it's survival into the future depends on this.

[NFS2024]

Originally Posted by sharktale

Baleno to be the first car to be released cross-badged from Toyota's stable from Q1 2019-20.

Sharing this LiveMint post.

A question from a layman's perspective. How will selling Baleno / Vitarra Brezza help Toyota?

I mean does Toyota have plans to make the Baleno / Vitarra Brezza better in terms of structural strength, looks, features, service support etc? Will it be priced on par with Suzuki prices or will it be priced premium.

Does Suzuki have plans to make the Corolla more economical in terms of structural strength, looks, features, service support etc? Will it be priced on par with Toyota Corolla or will it be less premium for Suzuki Corolla.

What am I going to get from Toyota / Suzuki that is already not available from both the stables in their respective showrooms for these cars. Unable to understand this concept of cross selling.

Thanks.

[volkman10]

Originally Posted by NFS2024

---. Unable to understand this concept of cross selling.--

Similar and loosely based on VW-Skoda or the Renault-Nissan when you look at product and positioning.

Suzuki-Toyota are likely to differentiate it more and possibly with different power-train like Hybrid etc. Toyota being placed at being more Premium.

We have to wait to see how successful this pans out to be.

[GTO]

Originally Posted by AccordSport

Why dont Toyota buyout Suzuki ? It will be a win-win situation for both the companies

My opinion is that it'll happen eventually. Toyota now has a foot in the door. They don't care about the Baleno or Vitara Brezza - Toyota can & does build cars vastly superior to them.

In the short-term, I think Toyota agreed to help Suzuki based on a nudge from the Japanese government and to build a working relationship with Suzuki. It was also important to prevent Suzuki from tying up with a competitor.

In the longer-term, it will most definitely swallow up Maruti. Either Maruti (India) & Suzuki (Japan) both, or just Maruti. But Toyota is definitely going to do that and once it does, it's become the largest car maker in a Top 4 market worldwide.

[ajmat]

Originally Posted by GTO

In the longer-term, it will most definitely swallow up Maruti. Either Maruti (India) & Suzuki (Japan) both, or just Maruti. But Toyota is definitely going to do that and once it does, it's become the largest car maker in a Top 4 market worldwide.

What happens to Daihatsu? Similar if not as classy product range. I guess it will become a bargain basement brand